Hybrid cars in Pakistan are becoming more expensive following the Budget 2026-27. The government did not extend key tax breaks that expired on June 30, 2026. This has raised the total indirect tax burden on many hybrid vehicles to around 25%. Under the previous policy, imported and some locally assembled hybrids enjoyed reduced sales tax […]

Pakistan is moving fast toward cleaner roads. The government plans to have 2.2 million electric vehicles (EVs) on its roads by 2030. This goal was shared in a briefing to the Senate Standing Committee on Industries and Production. This target is part of the New Energy Vehicle (NEV) Policy 2025–30. The policy wants 30% of […]

Pakistan’s upcoming Auto Policy 2026–31 is facing delays after disagreements emerged over tax incentives for electric and other new energy vehicles. The uncertainty comes as discussions continue between the government, IMF, and relevant ministries. According to reports, the government proposed a reduced sales tax structure to encourage the adoption of environmentally friendly vehicles. Under the […]

Pakistan’s automobile market could see major changes as the federal government reviews a proposal to significantly reduce import tariffs on vehicles and auto parts under the National Tariff Policy (NTP). According to reports, authorities are considering cutting customs duties on cars, jeeps, and automotive components by 25% to 50%. If approved, the move could lower […]

Motorists in Islamabad could face higher expenses under the proposed Budget 2026–27, as the government is considering significant revisions to the vehicle token tax structure. According to reports, the proposed changes would increase annual token taxes for several categories of vehicles. Owners of cars with engine capacities up to 1000cc may be required to pay […]

Pakistan’s luxury car and EV markets are expected to face higher prices from July 1 following new taxation measures announced in the federal budget for the upcoming fiscal year. The revised tax structure is likely to increase the cost of several vehicle categories, including luxury petrol cars, hybrid vehicles, and electric cars. Industry experts believe […]

Pakistan’s automobile industry has shown strong improvement during the first 11 months of the fiscal year 2025–26, reflecting a clear recovery in demand across different vehicle categories. Total vehicle sales in the country increased by 45%, reaching 183,704 units compared to the same period last year. This growth indicates renewed interest from buyers and improved […]

Chinese electric vehicle giant BYD is moving forward with plans to establish a large-scale electric vehicle production facility in Sindh, marking a major development for Pakistan’s growing EV industry. The project will be built on a 73-acre site and is expected to play an important role in expanding local vehicle manufacturing capabilities. Industry observers view […]