Chairman of Pakistan Association of Auto Parts and Accessories Manufacturers (PAAPAM) Abdul Rehman Aizaz expressed surprise over the government decision of reducing the Additional Customs Duty (ACD) on the import of Completely Knocked Down (CKD) and Completely Built Up (CBU) car parts, though the raw material imported by vendors under SRO 655 was not exempted. Terming it highly regrettable, he said that it went against the government’s vision of employment generation.
With regard to recent SRO 845(I) 2021, automobile expert Mashood Ali Khan said that the additional customs duty on raw material was hampering the growth of auto parts manufacturing segment. He said:
“This action will not benefit the local parts manufacturing segment, which is one of the most essential industries in Pakistan.”
For fostering the growth of this vital sector and to substantially reduce the cost of production, the government must accord special importance to the auto parts segment and reduce the additional customs duty on raw material imported by it, he said.
However the Chairman of the Pakistan Automotive Manufacturers Association (PAMA) Ali Asghar Jamali, said that the industry appreciated the announcement of new auto policy. “I am confident that all stakeholders including customers, industry, auto parts makers and the government will reap equal benefits of the new auto policy,” Jamali said.
Source: The Express Tribune
A 3d animation professional with over 20 years of industry experience having served in leading organizations & production facilities of Pakistan, an avid car enthusiast and petrolhead with an affection to deliver writings to help shape opinions. Formerly written for PakWheels as well as major publications including Dawn. Founder of CarSpiritPK.com