KARACHI: Local auto parts manufacturers have warned of a potential shutdown of Pakistan’s car assembly industry within the next two years if the government proceeds with plans to liberalise the commercial import of used vehicles from September.

Former chairman of the Pakistan Association of Automotive Parts and Accessories Manufacturers (PAAPAM), Aamir Allawala, raised concerns during a media briefing at various vending units, stating that used vehicles already account for 25pc of the market — over 40,000 units annually. In contrast, used car market share stands at zero in India, 0.3pc in Vietnam, and 1.2pc in Thailand, he noted.

Allawala said import duties on completely built-up (CBU) units in Pakistan range from 50–100pc, compared to 125pc in India, 52pc in Vietnam, and 80pc in Thailand. The negligible used car imports in these countries are the result of both tariff and administrative measures, he........

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