ISLAMABAD – The federal government has abolished the five-year age restriction on the commercial import of used vehicles, with the revised policy set to take effect from July 1, 2026.
The Ministry of Commerce issued an official office memorandum to the Federal Board of Revenue (FBR) on October 30, clarifying the government’s decision.
The clarification followed an inquiry by the FBR on October 23, seeking guidance on whether the five-year age limit would remain applicable to commercially imported used vehicles after June 30, 2026.
According to the Ministry of Commerce, commercial imports of used vehicles falling under Pakistan Customs Tariff (PCT) headings 8702, 8703, 8704 and 8711 were previously permitted only if the vehicles were not more than five years old.
Imported vehicles were also required to comply with environmental and safety standards prescribed by the Ministry of Industries and Production and the Engineering Development Board (EDB).
The ministry clarified that, under decisions approved by the Economic Coordination Committee (ECC) and the federal cabinet, the five-year age restriction will be abolished from July 1, 2026.
However, the removal of the age limit does not exempt importers from complying with other applicable import policy conditions and prescribed standards.
The government had introduced commercial imports of used vehicles last year under a phased plan, imposing an additional 40 percent duty.
Under the existing schedule, the additional duty will be reduced by 10 percentage points annually until 2029-30.
