The federal government enforces 2%-7% customs duties on various automotive imports, including parts, tractors, and commercial vehicles.
A new SRO imposing additional customs taxes on selected imported items listed in the First Schedule to the Customs Act has been announced by the Federal Board of Revenue (FBR).
Imports of automobile climate control systems and batteries, as well as sub-components and subassemblies, are now subject to an additional 2 percent customs levy. This covers products that are sold on the open market, used internally, or supplied to OEMs and assemblers.
These components are essential to the manufacture of road tractors for semi-trailers (Prime Movers) with displacements up to and including 280 horsepower, agricultural tractors, and CNG-only vehicles.
In addition, imports of parts—such as tires and tractor tubes—that are intended for assembly or manufacturing in kit form are now subject to an extra 2 percent levy.
The components needed to assemble and manufacture road tractors for semi-trailers and trailers (prime movers) with 280 horsepower are also included in this assignment.
Furthermore, under Chapter 87 of the Customs Act’s First Schedule, imports of sub-components, components, subassemblies, and assemblies (apart from consumables) in kit form or as raw materials for assembling or producing vehicles are subject to a 2 percent charge.
Additionally, imports of cars, jeeps, and light trucks will be subject to an additional 7 percent levy.
