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Pakistan may end used car import scheme due to surge threatening domestic auto industry.
Pakistan is considering ending its Personal Baggage Scheme for used car imports and tightening rules on gift and residence transfer programs amid a surge in secondhand vehicle inflows—45,758 units from Japan between December 2024 and October 2025.
The move follows concerns over threats to the domestic auto industry, which includes 1,200 factories, 2.5 million jobs, and generates Rs500 billion in annual revenue.
Industry leaders warn that ongoing import liberalization, including plans to remove the five-year age limit by June 2026, risks Rs50 billion in losses and foreign exchange leakage.
The government is drafting a new Auto Policy, with the Economic Coordination Committee expected to decide on proposed changes soon.
Pakistán podría poner fin al esquema de importación de automóviles usados debido al aumento que amenaza a la industria automotriz nacional.