Pakistan Unveils Major Plan to Boost Auto Exports After US Tariff Cut
ISLAMABAD: Federal Minister for Commerce Jam Kamal Khan has announced an ambitious strategy to transform Pakistan’s auto industry, following a landmark US tariff reduction that opens new opportunities for exports.
Speaking at a meeting with auto industry leaders on Wednesday, the minister revealed the formation of a high-level committee comprising representatives from the Ministry of Commerce, Federal Board of Revenue (FBR), and Ministry of Industries and Production. The body will address industry challenges, create a long-term growth roadmap, and enhance export potential.
The move comes after a successful trade agreement with the United States that reduced tariffs from 29% to 19%, the lowest in the region. Kamal said the development would give Pakistani exporters a competitive edge in the US market, calling it a “pivotal moment for the auto sector.”
Industry stakeholders welcomed the initiative but urged the government to curb the influx of used imported vehicles that could hurt local production. They also raised concerns about increasing costs due to new technology adoption.
The minister assured that the government will introduce policies to protect local manufacturers while expanding exports. “After tractors and motorcycles, Pakistan will now export cars,” Kamal declared, signalling a bold step towards global market expansion.
Plans are also underway to gradually reduce auto sector tariffs over the next five years to encourage innovation, healthy competition, and investment.
With the US tariff cut offering unprecedented opportunities, the minister expressed optimism: “We are committed to ensuring Pakistan’s auto exports reach new heights in the coming years.”
