The federal government has announced Auto Policy (2021-2026) and announced multiple benefits and perks for electric vehicles. According to the government these are the approved recommendations for EVs.
The biggest benefit for the EVs is that the government has reduced Customs Duty from 25% to 10% on CBU units for one year only. After that the duty will be back to 25%. Furthermore, there are rumors that sales tax will also be reduced by 5%, however, this is not confirmed as yet.
So, it means that Audi E tron Quattro 50 price will be decreased from Rs16.2 Million to Rs13.95 Million. Meanwhile, E tron Sports Back’s price is reduced from Rs17.7 Million to Rs15.4 Million due to reduction in custom duty.
Furthermore, there are also reports that the price of MG ZS EV may also reduce by Rs1million. It means, its rate will drop to Rs5.85million from current Rs6.85million.
Note: This is a developing story and we will share further updates with you.
Electric Vehicles Policy:
Last year in December, the federal government approved and announced massive tax exemptions for 4-wheeler electric vehicles in Pakistan. Minister for Industries and Production, Hammad Azhar, made the announcement in a tweet.
Features of Policy for Electric Vehicles:
- Removal of Additional Customs Duty and AST on imports of EV cars
- Only 1% tax on import of EV parts for local manufacturers
- No Registration and annual renewal fee for EVs in Islamabad
- 1% sales tax for local made EVs up to 50kwh and light commercial vehicles up to 150 kwh.
- Only 1% Duty on import of charging equipment
- No Federal Excise Duty (FED) on Electric Vehicles
- Duty free import of plant and machinery for manufacturing of EVs.
