Following the passage of Pakistan’s Finance Act 2025 and the issuance of supporting SROs, the federal government has significantly reduced the total incidence of import duties on vehicles. The revised taxation structure includes lower rates for Customs Duty (CD), Regulatory Duty (RD), and Additional Customs Duty (ACD) with ACD now reduced from 7% to 6%.
While earlier commentary focused primarily on percentage-based relief, the real impact of these fiscal adjustments is now evident in showroom prices. High-end imported SUVs such as the Toyota Land Cruiser LC300, LC200, Prado LC150, and luxury Lexus models like the LX570 and LX600 have all seen dramatic price cuts offering substantial savings for buyers in Pakistan’s premium vehicle segment,according to a report by Pakwheels.
In the case of the Toyota Prado LC150, model year 2020 units are now cheaper by Rs. 2.4 to 2.6 million, while 2021 models have dropped by Rs. 2.9 to 3 million. The Lexus LX570, meanwhile, has seen even steeper cuts: the 2020 model is now cheaper by Rs. 6.5 to 6.7 million, and the 2021 variant by Rs. 7.5 to 7.8 million.
For the Toyota Land Cruiser LC200 series (URJ 202), the ZX variant from 2020 is now Rs. 4.1 to 4.2 million cheaper, while the 2021 model sees a reduction of Rs. 4.7 to 4.8 million. The AX variant of the same series is down by Rs. 3 to 3.2 million for 2020 models and Rs. 3.5 to 3.7 million for those from 2021.
As for the newer Toyota LC300 lineup, the AX variants show a drop of Rs. 3.7 to 3.8 million for model year 2021, Rs. 4.5 to 4.6 million for 2022, and Rs. 5.4 to 5.5 million for 2023. ZX variants from the same series have dropped by Rs. 4.9 to 5 million for 2021, Rs. 6 to 6.1 million for 2022, Rs. 7 to 7.1 million for 2023, and Rs. 7.6 to 8 million for 2024.
By reducing excessive duties on premium imports, the government has made luxury SUVs more financially accessible to affluent buyers and importers. This shift is also expected to encourage more transparent trade practices, reduce dependence on amnesty and grey-market channels, and potentially boost legitimate imports through documented means. For dealerships, collectors, and investors alike, these developments mark a notable turning point in Pakistan’s high-end automotive market.
