Govt Removes 5-Year Age Limit on Used Car Imports

For context, the federal administration has removed the five-year age limit on commercial imports of employed vehicles, effective from July 1, 2026, according to the Ministry of Commerce.

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• Administration sources earlier informed ProPakistani that 2, 276 applied vehicles were imported in September 2026, compared with just 48 in May.
• The ministry conveyed the clarification to the Federal Board of Revenue (FBR) in an office memorandum dated October 30, 2026.

In practice, the ministry conveyed the clarification to the Federal Board of Revenue (FBR) in an office memorandum dated October 30, 2026.

FBR had sought guidance on October 23 on whether the age restriction still applied to commercial imports of applied vehicles after June 30, 2026. Car Industry Unhappy With New Gift Scheme. Age Cap Was Set to Expire in June.

According to the memorandum, commercial imports of applied vehicles under PCT headings 8702, 8703, 8704, and 8711 were initially allowed only for vehicles not older than five years until June 30, 2026.

These imports additionally had to meet the environmental and safety standards set by the Ministry of Industries and Production and the Engineering Development Board (EDB).

Meanwhile, the ministry remarked the decision approved by the ECC and the Federal Cabinet additionally stated that the vehicle age limit could be removed after that date.

"In view of the approved decision of the Federal Cabinet, the five-year age limit for the commercial import of used vehicles stands removed with effect from 01.07.2026, " the memorandum stated.

Meanwhile, the removal is subject to compliance with other applicable import policy requirements and prescribed standards.

For context, the administration opened commercial imports of employed vehicles last year under a phased plan that included an extra 40 percent duty. It is due to fall by 10 percentage points each year until 2029-30.

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Applied vehicle imports have since climbed sharply. Administration sources earlier informed ProPakistani that 2, 276 applied vehicles were imported in September 2026, compared with just 48 in May.

Local car manufacturers are not happy regarding the impact of rising imports on locally assembled vehicles as of the government's recent policies for imported vehicles. Stay Connected with ProPakistani.

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Taken together, the developments around govt Removes 5-Year Age Limit on Used Car Imports point to a situation that is still moving, and the coming days should bring more clarity.