The Pakistani government has increased the Customs valuation rate on imported cars with the engine displacement of 1,800CC.
According to Pro Pakistani, the import duty would be raised by Rs. 200,000 to Rs. 1.5 million depending on the model of the vehicle. The said decision has been made all of a sudden without taking the stakeholders into confidence.
H.M. Shehzad, Chairman All Pakistan Motor Dealers Association (APMDA) reveals that due to higher valuation rates, the association members had to suspend the clearance of 200 vehicles at the port.
The members of APMDA has sent a letter to Finance Minister, Ishaq Dar relaying that since 2008, the assessment of the customs duty has always been finalized by the consensus of all stakeholders involved.
The number and use of imported cars in Pakistan are increasing but the government won’t be able to collect on their duties if the cars wouldn’t clear out. The auto industry of Pakistan is going through a major facelift, thanks to the new auto policy 2016, where many
The auto industry of Pakistan is going through a major facelift, thanks to the new auto policy 2016, where many international auto brands are making its way to Pakistan.
The increase in duties of imported cars would definitely put a damper on many businesses but was this move, a way to protect the local industry or cash in on the imports of vehicles, only time would tell/