The government has decided to introduce amendments to the used car import schemes aimed at facilitating genuine overseas Pakistanis while preventing misuse of these schemes. Proposals to unify the baggage, gift, and transfer-of-residence schemes are also under consideration, with the summary expected to be presented to the Economic Coordination Committee (ECC) for approval.
According to a statement from the Ministry of Commerce, Federal Minister for Commerce Jam Kamal and Special Assistant to the Prime Minister on Industries and Production Haroon Akhtar chaired a high-level meeting on the auto industry. Representatives from the Pakistan Association of Automotive Parts and Accessories Manufacturers (PAAPAM) and the Pakistan Automotive Manufacturers Association (PAMA) also attended.
The meeting discussed the national auto policy, the import of used vehicles, and measures to facilitate the industrial sector. Minister Jam Kamal emphasized that corruption in the commercial import of used cars would be eliminated through strict mechanisms, including pre-shipment and post-shipment inspections. He stated that standardization, transparent import regulations, and quality control would ensure fair practices and promote growth in the local auto industry.
He added that the government’s key objective is to curb the misuse of import schemes while encouraging local production and enhancing global competitiveness. The statement further mentioned that proposals for amending used car import schemes are being finalized to help genuine overseas Pakistanis while restricting their exploitation for commercial gains.
Currently, the commercial import of used vehicles is subject to a 40% regulatory duty, but the government plans to gradually reduce the duty in the coming years.
The ministry also revealed that unifying the baggage, gift, and transfer-of-residence schemes is under review. During the meeting, Haroon Akhtar highlighted the need for close coordination between the Ministry of Commerce and the Ministry of Industries to build a sustainable auto sector.
Representatives from PAAPAM and PAMA also presented proposals regarding localization, vendor development, tariff structure, and research and development.
