Massive Customs Duties Imposed on Import of Car Parts

Even in the latest fiscal budget, the car parts sector seemingly remains an afterthought. The official budget document available with ProPakistani states that the government has imposed a massive customs duty (CD) rate on the import of several car components.

According to the details, the government has set a 35% CD rate on the import of car components. The same rate has been applied to all car parts regardless of how basic or complex they are.

The list of some of the most common parts include:

Protective strips

Luggage compartments

Interior panels and padding

Water and air hoses and channels

Bumper and impact braces

Spare tires and parts thereof

Bodywork

Mounts, clamps, dampeners, and other fitment components

Engine and transmission assembly

Suspension and brake components

Wheels and tires

Exhaust system

Electrical components

The taxes on such basic components are likely to act as deterrents in car price control or reduction. For the parts importers, the high CD rates are likely to be a grave challenge.

Source: Pro Pakistani