LAHORE: The government has assured the auto industry of consulting its main stakeholders before taking final decisions on the proposals for tariff rationalisation and used car imports.
The assurance was given by Special Assistant to the Prime Minister (SAPM) and Minister-in-Charge for Industries and Production Haroon Akhtar Khan in a meeting with Lucky Motor Corporation (LMC) Chairman Muhammad Ali Tabba on Friday.
Mr Tabba shared his concerns about the proposed Tariff Rationalisation Plan, particularly reduction of duties on completely built units (CBUs) to 15pc over a period of five years.
Mr Tabba emphasised that while the intent behind tariff rationalisation might be to make cars more affordable for customers, the proposal currently under consideration could have an adverse impact on the local auto industry and undermine investor confidence.
He pointed out the Auto Development Policy (ADP) 2016-21 under which the Korean, European and Chinese automakers entered the Pakistani automotive market with a cumulative investment of approximately $1.2bn to establish local manufacturing plants.
He said the initiative achieved key objectives, including offering more choices to consumers, fostering competition and creating employment opportunities both in vehicle assembly and the auto parts manufacturing sector.
Published in Dawn, May 24th, 2025