Manufacturing and importing are two different things. Here import duties are high so to protect Pakistan local industry. Pakistan automobile industry is just an assembly shop. Here the assemblers find short cuts and loopholes in policy with the connivance of corrupt government.
If Pakistan has been given protection against imported competition, the price should be lower. But that is not the case. A fully loaded, well equipped Honda Civic is CAD$23,000 (CAD$1 = PkR.97.5). The quality of body and paint is much higher. As Canada is a wet country 8 out of 12 months. There is a longer warranty too - 5 years with 4 year roadside assistance. Add to that the quality of workmanship that is way higher than Pakistan and you have a car which is much, much lower in price and high in quality.
Increasing duties only artificially raises the price and in our case makes the local industry complacent.
Pakistan has been assembling cars since 1982 when first Suzuki 800 rolled out for Rs. 45,000. It has been a long time. Pakistan should have been manufacturing and exporting cars by now.