The issue of cross-border importing is very simple.
Pakistan Govt. wants to promote the local auto industry.
Indian auto Industry and the local Indian market is atleast 20 times bigger than that of Pakistan's and if the market is opened, the Pakistan's local auto market will not be able to take the huge punch.The basic Idea is understandable but now the Idea has been hijacked by the Chinese and some corrupt Pakistani officials.The Pakistani Local market is now full of crappy Chinese models and the chinese just dont want the local pakistani market to grow..caz..they know they are going to be out of business.
In the beginning, India also was very close and controlled market.There was 1)Yamaha 2)Suzuki 3)Kawasaki.
After a few years,the local market tied up with these big names, like Bajaj with Kawasaki, Suzuki with TVS , and worked for many years and took the expertise and learned the technology.Hence today Bajaj and Tvs are making 100% Indian bikes and are market leaders.Suzuki,Yamaha or Kawasaki are nowhere in the picture in the Indian bike market.It is only after India opened the Market, that the progress was possible.
The trick lies in the Liberalisation of the market rather than keeping it close, Pakistan must understand that, and its high time.