Islamabad, July 20, 2025 – The Federal Board of Revenue (FBR), the apex tax body of Pakistan, has issued an official notification detailing the revised customs duty structure on the import of electric vehicles (EVs) for the fiscal year 2025–26.
The move is part of the government’s ongoing efforts to promote clean energy transportation and reduce environmental pollution through wider adoption of electric mobility.
According to the notification, several categories of electric vehicles have been assigned concessional duty rates to encourage local assembly and manufacturing. The new rates are aligned with Pakistan’s Electric Vehicle Policy 2020 and are being implemented in coordination with the Engineering Development Board (EDB), which will oversee compliance and certification.
The FBR has outlined that the import of electric auto rickshaws, classified under PCT code 8703.8030, will be subject to 50% of the prevailing customs tariff. This concession is valid for five years from July 1, 2020, and applies to a maximum of 200 units of the same variant to be locally assembled or manufactured within Pakistan. The EDB will ensure these imports comply with the EV policy and will notify the FBR of any violations to halt further clearances at the reduced rate.
Similarly, electric motorcycles (PCT 8711.6040) and 3-wheeler electric loaders (PCT 8711.6060) are covered under the same concessional structure, supporting the expansion of two- and three-wheeler electric mobility in Pakistan.
For larger transport segments, electric buses (PCT 8702.4090), electric trucks (PCT 8704.6030), and electric prime movers (PCT 8701.2490) have been assigned a flat customs duty rate of just 1%, with no additional conditions. This generous incentive is aimed at encouraging commercial adoption of clean energy vehicles across public and freight transport sectors.
Moreover, electric vehicles (4-wheelers) with a value not exceeding USD 50,000 will be taxed at 25% duty. However, companies assembling or manufacturing the same variant in Pakistan are allowed to import up to 100 CBU (completely built-up) units at just 50% of this rate until June 30, 2026, subject to EDB certification.
This updated duty framework reflects Pakistan’s strong policy direction toward fostering an ecosystem that supports local production and long-term investment in electric vehicles.