Automotive News

Great News for Small Car Buyers In Pakistan

December 22, 2021 / By Zunair Tahir / News Pakistan

New Auto Policy will be presented in federal cabinet today for approval.

According to the Official news the new auto policy will be presented in federal cabinet today for the approval there are many chances that the new policy will get approved

According to new Policy it Includes proposal for tax exemption on vehicles up to 850 cc, and the additional custom duty may also be removed that is very good news for small car buyers because in Pakistan and the Covid-19 conditions are going on people are disappointed and lack of jobs and
people are in very pain and it will be great relief for the people and good news for the people of Pakistan


It is proposed to abolish excise duty on locally manufactured vehicles and also to abolish withholding tax on small vehicles. It will also be proposed to apply tax exemption on small imported vehicles.

Under the new auto policy, the export target for vehicles will be set with a proposal to revise the tax exemption on imported vehicles every year.

Car manufacturers will be given a target of 10% exports by 2026, according to which car companies will export 2% of vehicles next year, while in 2024 4% and in 2025, 7% of vehicles will be targeted.

Measures to increase exports of vehicles and spare parts are also proposed, under which the Ministry of Commerce will be entrusted with the responsibility of negotiating with foreign countries, and tax incentives for exports of vehicles and spare parts will also be proposed.


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