Government ends five-year age limit on used vehicle imports

The Ministry of Commerce has removed the five-year age limit on commercial imports of used vehicles with effect from July 1, 2026, and told the Federal Board of Revenue that the cap no longer binds consignments cleared after June 30.

The decision was conveyed in an office memorandum dated October 30, 2026. FBR had written to the ministry on October 23 asking whether the age restriction still applied to commercial used vehicle imports after June 30.

Until that date, vehicles brought in commercially under PCT headings 8702, 8703, 8704 and 8711 could be no more than five years old. Importers also had to meet environmental and safety standards set by the Ministry of Industries and Production and the Engineering Development Board.

The memorandum said the removal rested on a decision already approved by the Economic Coordination Committee and the federal cabinet. "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, according to ProPakistani.

Other import policy requirements and the prescribed standards still apply to these consignments, both outlets reported.

Imports have risen sharply since the government opened the trade last year under a phased plan. Government sources told ProPakistani that 2,276 used vehicles were imported in September 2026, against 48 in May.

The plan carries an additional 40 percent duty on commercial used vehicle imports, which is scheduled to fall by 10 percentage points each year until FY2030.

ProPakistani reported that local car manufacturers are unhappy about the effect of rising imports on locally assembled vehicles.

Neither report said what age ceiling, if any, now replaces the five-year limit, and neither gave the value of the vehicles affected by the change.