Chairman All Pakistan Car Dealers & Importers Association (APCDIA) Mian Shoaib Ahmed has called for an end to policies that favour a limited number of automobile assemblers, arguing that regulated commercial imports of used vehicles could increase competition, expand consumer choice and create new business opportunities.
Leading an APCDIA delegation during a visit to the Karachi Chamber of Commerce & Industry (KCCI), Mian Shoaib said prolonged protection for local assemblers had not delivered the desired improvements in vehicle quality, localisation and export performance. He called for a transparent and competitive automotive market that encourages manufacturers to improve product quality, safety standards and efficiency.
APCDIA Calls for Fair Competition in the Automobile Market
Mian Shoaib welcomed progress towards the commercial import of used vehicles and appreciated KCCI’s support, including its correspondence with the Prime Minister and relevant government officials.
He said implementation had been delayed despite an earlier notification. However, the association was moving towards importing vehicles commercially under its own business name through formal banking channels and in compliance with applicable inspection, quality and regulatory requirements.
According to Mian Shoaib, regulated imports would introduce greater competition and give consumers access to a wider range of vehicles. He argued that local manufacturers should compete through product quality and efficiency rather than rely on restrictive policies.
Pakistan Car and Machinery Zones Could Attract $400 Million Investment
Highlighting Pakistan’s potential to become a regional hub for automotive and machinery trading, Mian Shoaib discussed the proposed Pakistan Car and Machinery Zones project.
The initiative aims to bring used vehicles and machinery into Pakistan for refurbishment, value addition and re-export to international markets. Drawing a comparison with Dubai’s established transit-trade model, he said Pakistan could use its strategic location, skilled workforce and competitive labour costs to develop a similar export-oriented ecosystem in Karachi.
The proposed project could also generate business for domestic auto-parts manufacturers, vendors and supporting industries. Mian Shoaib expressed optimism that the initiative was approaching its final stages, with an ambition to attract approximately $400 million in foreign direct investment (FDI).
BMG Supports Regulated Used-Car Imports
Chairman Businessmen Group (BMG) Zubair Motiwala, who joined the meeting via Zoom, strongly supported the regulated commercial import of used vehicles.
He said the policy could provide consumers with better-quality cars at affordable prices, generate additional government revenue, conserve foreign exchange and introduce competition into the domestic automobile market.
Motiwala cautioned that the automobile manufacturing lobby was influential and well-resourced, making it important for car dealers to present strong, evidence-based arguments in support of their position. He also raised concerns about the durability, performance and standards of certain locally assembled vehicles.
Used Cars Serve a Different Consumer Segment
Motiwala maintained that the used-car market serves consumers who cannot afford expensive new vehicles and should have access to affordable alternatives. He argued that used-car imports would not necessarily undermine domestic automobile manufacturing because the two markets cater to different customer segments.
He also highlighted the employment of thousands of people in car dealerships and related businesses, urging the government to consider the wider economic implications of its policy decisions.
According to Motiwala, the potential benefits of regulated imports include employment generation, foreign-exchange savings and increased government revenue. He assured the delegation that KCCI would continue to raise the association’s legitimate concerns with the relevant authorities.
KCCI Reaffirms Support for Commercial Imports
Speaking at the meeting, KCCI President Talat Mahmood reaffirmed the Chamber’s commitment to supporting APCDIA in addressing concerns surrounding the commercial import of used vehicles.
He stressed the need for continued engagement with the government to ensure effective implementation of the notified policy and facilitate legitimate business activities.
Talat Mahmood also invited the delegation to submit its recommendations to KCCI’s Executive Committee. This would help the Chamber better understand the sector’s concerns and determine appropriate measures to support the business community.
He further emphasised the importance of keeping businesses informed about initiatives that could generate investment opportunities and strengthen commercial activity, reiterating KCCI’s willingness to remain engaged with the association.