ISLAMABAD – Special Assistant to the Prime Minister (SAPM) on Industries and Production, Haroon Akhtar Khan, chaired a high-level consultative meeting on Tuesday to review the 2026-27 budget proposals specifically tailored for the automotive sector.
The session served as a critical platform to align the interests of the government and private stakeholders, focusing on the formulation of the upcoming auto policy and fiscal frameworks.
Stakeholder Engagement and Consensus
The meeting was attended by prominent representatives from the Pakistan Association of Automotive Parts and Accessories Manufacturers (PAAPAM) and the Pakistan Automotive Manufacturers Association (PAMA).
During the discussions, the SAPM emphasized a collaborative approach to governance:
“All budget proposals will be finalized on the basis of consensus. We are ensuring that stakeholder input is fully incorporated into the policymaking process to create a sustainable industrial environment.”
Key Highlights of the Proposals
The consultation focused heavily on duty structures and the localization of the supply chain. Key points discussed include:
• Protection for Local Parts: Proposals are being evaluated to provide significant protection to automotive parts currently manufactured within Pakistan.
• Future Localization: A five-year roadmap is being considered to extend protection to parts that have the potential to be produced domestically by 2031.
• Policy Coordination: The Secretary for Industries and Production and the CEO of the Engineering Development Board (EDB) are working directly with the industry to refine these proposals.
Strengthening the Industrial Base
The SAPM reiterated that the primary objective of the 2026-27 fiscal strategy is to empower domestic manufacturers. By enhancing Pakistan’s industrial base, the government aims to significantly reduce reliance on expensive imports and bolster the national economy.
The meeting concluded with a commitment to continued coordination, attended by the Secretary for Industries and Production, CEO EDB, Additional Secretary, and other senior officials.