Auto sector: PAAPAM conveys concerns to FBR
Imposition of 15 per cent regulatory duty on imports of auto parts termed unjustified
“In case of hardening steels, the 15 per cent RD is in addition to 5 per cent import duty and 15 percent protection duty. STOCK IMAGE
LAHORE:
The Federal Board of Revenue (FBR) has assured Pakistan Association of Automotive Parts and Accessories Manufacturers (Paapam) of giving due consideration to the case of regulatory duty (RD) with reference to the auto sector.
“These items are imported by auto parts manufacturers under SRO 655(I)/2006, and not manufactured in Pakistan. In case of alloy steels produced in the country, this duty is on top of existing slabs bringing the total impact on price to 30 per cent,” he said. Former chairman Munir Bana added that as the PCT codes of raw materials manufactured by Pakistan Steel Mills (PSM) are common for auto grade material.
Published in The Express Tribune, July 12th, 2015.
The Federal Board of Revenue (FBR) has assured Pakistan Association of Automotive Parts and Accessories Manufacturers (Paapam) of giving due consideration to the case of regulatory duty (RD) with reference to the auto sector.
Paapam’s Senior Vice Chairman Mumshad Ali held a meeting with the FBR chief and expressed concern over the imposition of 15 per cent regulatory duty on imports of auto parts, calling it unjustified. “In case of hardening steels, the 15 per cent RD is in addition to 5 per cent import duty and 15 percent protection duty.
“These items are imported by auto parts manufacturers under SRO 655(I)/2006, and not manufactured in Pakistan. In case of alloy steels produced in the country, this duty is on top of existing slabs bringing the total impact on price to 30 per cent,” he said. Former chairman Munir Bana added that as the PCT codes of raw materials manufactured by Pakistan Steel Mills (PSM) are common for auto grade material.
Published in The Express Tribune, July 12th, 2015.