ISLAMABAD: The government has approved a new auto policy following extensive consultations, setting ambitious targets to gradually reduce vehicle prices, improve manufacturing standards and significantly increase exports.
Speaking at a press conference alongside Federal Minister for Information Attaullah Tarar, Prime Minister’s Adviser Haroon Akhtar said the new policy aims to increase Pakistan’s automotive exports from the current $200 million to $6 billion.
He noted that several policies had been introduced for the auto sector over the past decade, but they had failed to deliver a significant increase in exports. Under the new framework, export promotion will receive particular attention, while manufacturers failing to meet their prescribed export targets may face financial penalties.
According to Akhtar, automobile manufacturers will not be allowed to charge customers an advance payment exceeding 20 per cent of a vehicle’s price. The policy also introduces 45 additional standards aimed at bringing locally manufactured vehicles in line with international quality requirements.
He further announced that the financing limit for electric vehicles (EVs) had been increased from Rs2 million to Rs10 million to encourage their adoption. Import duties on equipment for EV charging stations have also been reduced.
Akhtar said the new policy seeks to make vehicles more affordable and improve their quality, promote electric mobility and strengthen Pakistan’s automotive industry’s competitiveness in international markets.
