Pakistan moves to tighten used car import rules as PM orders new regulatory framework

Government prepares stricter safety and compliance checks amid industry warnings over rising inflows of second hand vehicles

ISLAMABAD: The government has decided to tighten regulations on used car imports by enforcing mandatory pre-shipment inspections and stricter compliance checks, as policymakers move to address concerns voiced by the auto industry over the rising influx of second-hand vehicles.

According to official sources all used vehicles imported into Pakistan will now undergo enhanced pre-shipment inspections to verify safety features, structural integrity, mileage authenticity, and emission levels before they are cleared for loading at foreign ports. The decision marks a significant shift in the oversight regime, following earlier reports highlighting gaps and inconsistencies in the inspection process.

The development came during a meeting chaired by Special Assistant to the Prime Minister on Industries and Production Haroon Akhtar Khan, who met a delegation of auto-sector representatives to review the challenges facing the industry. Secretary Industries Saif Anjum and Engineering Development Board (EDB) CEO Hammad Mansoor were also present.

Industry representatives warned that unchecked used vehicle imports were undermining local manufacturing and eroding recent gains made by domestic assemblers. The Pakistan Auto Manufacturers Association urged the government to implement predictable tax reforms and enforce controls on second-hand imports to prevent what they described as “distortions” in the market.

Mr Khan acknowledged the industry’s concerns, saying the government was revisiting the existing import regime on the instructions of Prime Minister Shehbaz Sharif. He said only those used vehicles that meet Pakistan’s safety and environmental standards would be allowed to enter the country, with strengthened inspections becoming a central plank of the new policy.

He added that fair competition was essential, but it must not come at the cost of public safety or the viability of local production. “We support competition, but it must be rules-based and transparent,” he said, according to participants of the meeting.

Secretary Industries Saif Anjum said current conditions for commercial vehicle imports — including the requirement of at least three years of overseas residency and one-year prior registration in the importer’s name — would remain intact. He noted that these checks were necessary to prevent the misuse of personal baggage and gift schemes.

Officials said the government is drafting new legislation and regulatory mechanisms to streamline the used car market, ensure compliance with quality standards, and plug loopholes that have historically allowed substandard vehicles to enter the country.

 

Ghulam Abbas
Ghulam Abbas
The writer is a member of the staff at the Islamabad Bureau. He can be reached at [email protected]

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