Pakistan's federal government has unveiled a new auto policy aimed at cheaper cars and more electric vehicles. Information Minister Attaullah Tarar and Adviser to the Prime Minister on Industries and Production Haroon Akhtar Khan announced it at a press conference in Islamabad on Saturday. Prices of all vehicles except luxury models will come down gradually, and automobile exports are targeted to rise from $200 million to $6 billion over five years.

Six pillars of the policy

The policy rests on six pillars: affordable vehicles, especially for the middle and lower-middle classes; higher exports; more electric vehicles; greater local manufacturing; improved safety; and transparency. Haroon Akhtar Khan said duties on fully built imported vehicles and assembly plants would be cut each year, leading to competitive tariffs after five years. Cutting prices of vehicles below 1300cc was a special priority for the prime minister, he said, while petrol vehicles of up to 800cc would remain under existing facilities.

Electric vehicles and buyers

Electric-vehicle financing has risen from Rs2 million to Rs10 million, and import duties on charging stations have been cut. The ministers said this would cut carbon emissions and the oil import bill. Carmakers may no longer take an advance of more than 20 per cent of a vehicle's price.

[Source: TechJuice](https://www.techjuice.pk/govt-unveils-new-auto-policy-to-cut-car-prices-and-lift-vehicle-exports-to-6-billion/) | [Source: Islamabad Post](https://islamabadpost.com.pk/govt-unveils-new-auto-policy-to-promote-evs-make-cars-affordable-for-middle-class/)