The Economic Coordination Committee (ECC) of the Cabinet, chaired virtually by Finance Minister Muhammad Aurangzeb on Wednesday, approved the commercial import of used vehicles up to five years old, subject to compliance with environmental and safety standards.
According to the Ministry of Finance, the government will amend the Import Policy Order 2022 to permit these imports. Initially, only cars not older than five years will be allowed until June 30, 2026, after which the age limit will be lifted.
To regulate the policy, the ECC imposed an additional 40% Regulatory Duty (RD) on commercial imports of used vehicles, over and above existing customs duties. This duty will remain in effect until June 30, 2026, and then be gradually phased out, reduced by 10 percentage points annually, until its complete removal in the 2029–30 fiscal year, following recommendations of the Tariff Policy Board.
The ECC also approved a Technical Supplementary Grant of Rs800 million for the Pakistan Virtual Asset Regulatory Authority (PVARA).
The meeting was attended by Federal Minister for Petroleum Ali Pervaiz Malik, Federal Minister for National Food Security and Research Rana Tanveer Hussain, Federal Minister for Power Sardar Awais Ahmad Khan Leghari, along with federal secretaries and senior officials from relevant ministries and regulatory bodies.
