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Govt urged to provide relief to local auto parts industry

SAARC Chamber of Commerce and Industry former President Iftikhar Ali Malik has urged the government to withdraw the proposed 15 percent customs duty to protect the domestic auto industry. Talking to a delegation from the Pakistan Association of Automotive Parts and Accessories Manufacturers (PAAPAM) here on Sunday, he stressed that countries around the world safeguard their local industries and avoid imposing taxes that could hinder their growth. He expressed serious concern that the proposed duty would significantly harm the local auto parts industry by increasing production costs and reducing the competitiveness of domestic manufacturers. “This duty directly contradicts the government’s stated objective of promoting industrial growth and localization,” he noted. “Instead of encouraging development, it threatens to reverse years of progress by making locally manufactured parts more expensive and less viable for vehicle assemblers. He emphasized that Pakistan’s auto industry, which supports thousands of jobs and plays a vital role in the national economy, depends on specific imported raw materials that are not produced locally.

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