Pakistan has lifted the five-year age ceiling on commercial used car imports, a change the Ministry of Commerce says took effect on 30 October 2026. Importers may now bring in vehicles older than five years on a commercial basis, provided they meet import-policy conditions and mandatory environmental and safety standards.
What the new rules allow
Until this clarification, commercially imported used cars could be no more than five years old. The ministry’s statement removes that age cap while stressing that compliance with environmental and safety rules remains compulsory.
All Pakistan Motor Dealers Association chairman H.M. Shehzad said vehicles must not be accident-damaged or stolen, and that inspection before export and again after arrival in Pakistan is required. Commercial importers, he added, need income-tax and sales-tax registration plus registration with the Engineering Development Board (EDB), the body that oversees engineering and auto-related industry rules. Firms without their own workshop or spare-parts setup may contract with another organisation that has those facilities.
Kamran Khan, senior vice-chairman of the All Pakistan Car Dealers and Importers Association, said that although cars older than five years are now allowed, his side has advised importers to keep shipments to roughly ten years of age or less so pre-inspection and other conditions are easier to meet.
Prices, duty and what buyers may get
Auto-sector specialists say used car imports in Pakistan are unlikely to deliver an immediate, sharp drop in sticker prices. Shehzad rejected the idea of a quick cheapening of commercially imported cars, pointing to regulatory duty set at 50% on commercial shipments. By comparison, he said, the same car under the gift scheme might face about 20% regulatory duty. That commercial rate is due to fall by 10 percentage points each year, which he linked to a possible easing of import prices over the next five years.
Kamran Khan was more hopeful for consumer choice: in his example, the money that buys a new locally made 660cc car could instead stretch to a ten-year-old imported vehicle with a larger engine and more comfort. Experts still urge the government to support domestic manufacturing as well, arguing that stronger local production would create jobs and, over time, better and more affordable cars for buyers.
Shehzad also noted that under the gift scheme a key condition remains: after a car arrives in Pakistan, it cannot be transferred to another person’s name for one year. Industry voices have asked the government to revisit that rule.
Separately, Prime Minister Shehbaz Sharif has already approved a new auto policy aimed at more competition, electric vehicles, and stronger export capacity in local assembly; that package still needs final clearance from the federal cabinet.
Timeline: what has happened so far
- Financial year 2024–25 budget: Commercial import of used cars was allowed, but conditions were so strict that practically no vehicles arrived over the following year and a half.
- 2025: The government banned car imports under the baggage scheme while keeping transfer-of-residence and gift schemes.
- Before 30 October 2026: Commercial used imports were capped at a maximum age of five years.
- 30 October 2026: The Commerce Ministry says the five-year commercial age limit no longer applies; environmental and safety standards still bind importers.
Aasan alfaaz mein
Sarkar ne commercial bunyad par purani gariyan import karne ki paanch saal ki umar ki had khatam kar di hai. Ab paanch saal se zyada purani gariyan bhi rules ke sath aa sakti hain. Dealers ke mutabiq duty abhi 50 percent hai, is liye foran bohot sasti hone ka imkaan kam hai. Mamooli budget wale buyer ko shayad utni hi qeemat mein local chhoti gari ke muqable behtar imported option mil sakta hai.
