Pakistan has revised customs values for auto engine parts, as the Directorate General of Customs Valuation Karachi issued a new valuation ruling covering imports of auto replacement and engine components, including piston and ring sets.
The updated values apply to imports from China, South Korea, Taiwan, the United States, Malaysia, Indonesia, Japan, European countries, and Thailand.
According to customs officials, the revision followed requests from industry stakeholders who sought a fresh valuation aligned with current market conditions.
The previous ruling, issued on May 12, 2020, had been in place for over five years and was due for review under the Customs Act, 1969.
To reassess the valuation structure, the directorate held consultations with key industry players, including the Pakistan Automobile Spare Parts Importers and Dealers Association and Indus Motor Company.
The discussions focused on market trends, pricing challenges, and differences in product specifications.
Officials said the new valuation takes into account variations in engine capacity, vehicle category, country of origin, quality, and compatibility with different vehicle models.
Special consideration was given to older vehicles, which remain widely used across Pakistan and require frequent engine part replacements.
The ruling noted that large differences were found in declared import values across shipments and origins, making it difficult to apply uniform valuation using identical or similar goods methods.
To address this, customs authorities refined engine-capacity-based categories to better reflect actual market price ranges. Market surveys and import data analysis were also used to ensure consistency and transparency in customs assessments.
The revised customs values have been determined under relevant provisions of the Customs Act, 1969, and are expected to affect import duty calculations for engine replacement parts in Pakistan’s sizeable automotive aftermarket.
