New EV Policy Under Enormous Pressure
Some industry players are pressuring the Federal Board of Revenue (FBR) and the International Monetary Fund (IMF) to derail the new Auto Policy 2026-31 and delay the country's transition to new energy vehicles (NEVs), sources close to the matter have…
Some industry players are pressuring the Federal Board of Revenue (FBR) and the International Monetary Fund (IMF) to derail the new Auto Policy 2026-31 and delay the country's transition to new energy vehicles (NEVs), sources close to the matter have informed ProPakistani.
Article outline
- What happened
- The details
- A closer look
- The bottom line
Key points
- World's Fastest BYD Hypercar Crashes at High Speed During Testing in China Nov 4, 2026 4: 59 pm.
- PM Shehbaz Orders Action Against Petrol Pumps Denying Relief to Consumers Nov 4, 2026 4: 58 pm.
- LHC Seeks Replies on Safety Features in Pakistan's Small Cars Nov 4, 2026 4: 49 pm.
- The administration earlier rejected IMF's proposal to impose an across-the-board 18 percent sales tax on electric vehicles.
- Sources remarked they are running a coordinated campaign to push for higher sales tax on NEVs, threatening incentives intended to encourage electric mobility.
Sources remarked they are running a coordinated campaign to push for higher sales tax on NEVs, threatening incentives intended to encourage electric mobility. Pakistan to Purchase Winter LNG Cargoes Worth $100 Million Each.
In practice, the proposed policy offers differentiated tax treatment for battery electric, range-extended and plug-in hybrid vehicles.
Meanwhile, the administration earlier rejected IMF's proposal to impose an across-the-board 18 percent sales tax on electric vehicles. The draft instead proposed a 6 percent sales tax on range-extended vehicles and 9 percent on plug-in hybrids.
Notably, the policy additionally seeks to reduce customs duties on eligible imported electric vehicles and expand financing opportunities for buyers. Sources warn that reversing these incentives could undermine Pakistan's EV transition. Stay Connected with ProPakistani.
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Taken together, the developments around new EV Policy Under Enormous Pressure point to a situation that is still moving, and the coming days should bring more clarity.
