Islamabad, January 26, 2026 — In a significant policy move aimed at facilitating vehicle importers, the Federal Board of Revenue (FBR) has officially ended the role of authorized local agents in the valuation of imported vehicles, especially luxury cars originating from Europe.
Under the new framework, customs authorities will assess duties and taxes based solely on prices certified by vehicle manufacturers. Importers will no longer be required to obtain valuation certificates from authorized local agents for new, old, or used European vehicles.
According to the revised policy, the Free on Board (FOB) value of a motor vehicle at the time of manufacture, as verified by the manufacturer, will serve as the basis for customs assessment. The change has been enforced through Customs General Order (CGO) No. 2 of 2026, issued on January 26, 2026.
The FBR has also amended Customs General Order No. 14 of 2005, which previously regulated the assessment of imported vehicles. With the latest amendment, the involvement of local agents in determining vehicle values has been completely eliminated.
Sources said the decision is expected to streamline the import process by saving time and reducing costs for importers. Previously, importers were required to approach authorized local agents and pay fees to obtain valuation certificates for customs clearance.
Officials noted that the availability of verified manufacturer data and online pricing information has made the role of local agents redundant. The new system is designed to enhance transparency and minimize the risk of under-valuation of luxury vehicles, which has been a concern for revenue authorities.
The FBR believes the revised valuation mechanism will not only provide relief to genuine importers but also strengthen revenue collection by ensuring accurate and fair assessment of imported vehicles.