KARACHI: Opening up the automotive sector under the International Monetary Fund’s (IMF) economic liberalisation plan for Pakistan has stoked fears of uncertainty among industry players, claimed an auto assemblers representative association on Saturday.

Under the IMF plan, the government will open the country’s economy to competition with foreign goods by lowering tariffs by as much as 42 per cent over the next five years.

This would mean the weighted average tariff would decrease to 6pc from 10.6pc. Auto assemblers fear that a cut in tariff on the auto sector may be made in two stages: first to 7.4pc and then to 6pc to a maximum 20pc.

The tariff walls of additional customs duty (ADC) and regulatory duty (RD) would also go off in the manner as agreed upon by the government and IMF.

Pakistan Automotive Manufacturers........

© Dawn Business