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Why Are Used-Car Imports Rising Again?

Several policy changes are overlapping.

Dawn reports that lower CBU duties in the 2026–27 budget have reduced import costs, while importers argue that demand remains strong for imported Japanese vehicles. Local manufacturers and parts vendors, meanwhile, are concerned about the effect of higher used-car volumes on localisation and domestic production. Dawn

There is also a separate commercial-import channel.

Pakistan originally opened commercial imports of used vehicles under SRO 1895(I)/2025. For FY2026–27, FBR's SRO 1065(I)/2026 reduced the specific additional regulatory duty on qualifying commercial used-vehicle imports from 40% to 30%. That 30% is levied in addition to other applicable duties and taxes, so headlines describing it as the total import duty are misleading. PID

More recently, an Engineering Development Board notification dated September 30 has reportedly relaxed importer eligibility and shifted aspects of the inspection framework toward the Pakistan Standards and Quality Control Authority.

Dawn reports that tax-registered individuals or firms can now participate without the earlier minimum-capital requirement, and that inspection is conducted through PSQCA-approved or registered inspection agencies rather than directly by PSQCA itself.

That distinction is important.

A buyer should not assume that simply because a seller says a car is “PSQCA inspected,” PSQCA personnel physically inspected that particular vehicle. The authority maintains a registration framework for inspection agencies. PSQCA

Buying an Imported Used Car? Check These Seven Things First

The biggest information gap in most import-policy stories is what the change means when you actually stand in front of a car with money ready.

Here is the part buyers should not skip.

1. Confirm Which Import Scheme Was Used

Ask for documentation showing how the vehicle entered Pakistan.

A car may have arrived through:

Gift Scheme
Transfer of Residence
Commercial import
An older import route applicable when the vehicle was originally imported

Do not rely on a dealer verbally telling you that it is “gift,” “TR” or “commercial.”

The route matters because transfer restrictions and eligibility requirements can differ.

Pakistan removed the Personal Baggage vehicle-import route through SRO 61(I)/2026. Current personal import provisions therefore centre on Gift and Transfer of Residence.

2. Check Whether the Vehicle Can Be Transferred Today

This is one of the most important checks in 2026.

SRO 61(I)/2026 requires vehicles imported under the Gift or Transfer of Residence schemes to remain non-transferable for one year from the date of importation. Dawn

That creates a potentially serious problem for a buyer.

You can physically take possession of a car without necessarily being able to become its registered owner immediately.

A seller might suggest:

“Take the car now and transfer it later.”

That should be treated as a major transaction risk, not a routine convenience.

Before paying a token:

verify the chassis against the relevant Excise record and confirm that ownership can actually be transferred into your name.

CarAdvisers Insight

Possession is not ownership.

A clean car, original smart card and willing seller do not solve a legal transfer restriction.

For a recently imported car, transfer eligibility should be checked before price negotiation reaches the token-payment stage.

3. Match the Chassis Number Everywhere

The chassis number is the vehicle's primary identity.

Check it on:

Physical chassis/body stamping
Registration record
Customs documents
Import documents
Auction record
Export certificate
Inspection certificate
Seller-provided documentation

Even one unexplained mismatch should stop the transaction until it is resolved.

Do not verify documents separately from the car.

The purpose is to establish that every piece of paperwork belongs to the exact vehicle parked in front of you.

4. Verify the Auction Record Independently

Japanese auction sheets remain extremely useful—but only when they are authentic and matched to the correct chassis.

A screenshot supplied by a seller is not independent verification.

Check:

Chassis number
Auction date
Auction house
Mileage recorded at auction
Auction grade
Interior grade
Damage diagram
Inspector remarks
Repair or replacement markings

A genuine-looking sheet can still be edited, reused or paired with the wrong car.

Important: the auction sheet describes the vehicle at the time it went through the auction.

It does not certify the car's condition today.

A vehicle can be damaged, repaired, repainted, flooded, have parts changed or accumulate additional mileage after leaving Japan.

5. Compare the Mileage With the Vehicle's History

Do not judge mileage from the odometer alone.

Compare the displayed mileage with:

Verified auction record
Export documentation
Service history where available
Japanese inspection records where available
Current ECU/diagnostic information where supported
Physical wear

Look closely at:

Steering wheel
Driver seat
Pedal rubbers
Door handles
Switchgear
Carpet
Gear selector
Tyres

A low number on the dashboard is not proof of low use.

If an auction record shows substantially higher mileage than the car currently displays, investigate before making any payment.

6. Verify Customs Clearance

An attractive auction grade means very little if the vehicle has a documentation problem in Pakistan.

Ask to see the relevant import and customs-clearance documentation and match it to the chassis.

For a recently imported vehicle, verify that its clearance has been completed through the applicable customs process and that no unresolved issue remains against the vehicle.

Do not calculate the legitimacy of a car from the seller's claimed “duty paid” amount alone.

Pakistan's vehicle tax structure can involve customs duty, regulatory duty and other taxes depending on the vehicle and import route. Current FBR notifications should be checked for the specific transaction. Federal Board of Revenue

7. Inspect the Car's Condition Today

This is where many imported-car buyers make the biggest mistake.

An auction sheet is a history document.

A pre-shipment inspection is a regulatory/compliance check.

Neither replaces a pre-purchase physical inspection of the car as it exists today.

Check:

Body and paint
Chassis repairs
Underbody
Engine or hybrid system
Transmission
Suspension
Steering
Brakes
Tyres
Electronics
Airbags and warning systems
OBD diagnostic faults
Battery condition
Road-test behaviour

For hybrids and EVs, also examine the high-voltage system and available battery-health information where technically supported.

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The Seven-Point Imported Car Check

For a buyer, the full process can be reduced to this:

Check	What You Need to Confirm
Import Route	Gift, ToR or commercial
Transfer	Can ownership legally transfer now?
Chassis	Same number on car and all records
Auction History	Genuine record matched independently
Mileage	Auction/history vs current odometer
Customs	Proper import and clearance documentation
Current Condition	Independent physical inspection

Do these checks before paying the token—not after.
Auction Sheet vs Current Condition: They Answer Different Questions

This distinction deserves particular emphasis.

Auction verification tells you:

What was recorded about the vehicle in Japan?

It may help establish previous mileage, auction condition, repairs, grading, and recorded damage.

Physical inspection tells you:

What condition is the vehicle in today?

It can identify current mechanical, body, diagnostic, electrical, suspension, tyre, brake and other issues.

You need both because a genuine auction sheet cannot tell you what happened to the vehicle after the auction.

For Japanese imports, the stronger buyer workflow is:

Verify History → Verify Identity → Verify Transfer → Inspect Condition → Negotiate → Pay

Not:

See Car → Like Car → Pay Token → Check Documents Later

What the September Import Surge Means for Buyers

More imported vehicles can potentially mean more choice.

It can also mean more cars moving rapidly through dealers, traders and informal sales channels.

That makes buyer discipline more important, not less.

Local manufacturers argue that increasing used imports can pressure domestic assembly and parts production, while importers argue that additional competition benefits buyers and expands vehicle choice. Both positions are currently part of Pakistan's wider auto-policy debate.

For an individual buyer, though, the policy argument comes after a much simpler concern:

Can you safely buy the particular car being offered to you?

That is the question the paperwork, auction history and physical inspection need to answer.

CarAdvisers Insight

The biggest mistake buyers can make in the current imported-car market is to treat one document as proof of everything.

An auction sheet does not prove legal transfer eligibility.

A registration card does not prove accident history.

A customs document does not prove today's mechanical condition.

A pre-shipment certificate does not guarantee that nothing happened to the vehicle afterwards.

And a physical inspection does not replace checking the legal identity and import history.

For a recently imported Japanese car, CarAdvisers recommends a three-layer verification approach:

Identity & Legal Status → Import & Vehicle History → Current Physical Condition

A problem at any one of those three layers can turn a seemingly good deal into an expensive mistake.

Before Paying: Imported Used-Car Checklist

Do not pay a token until you can answer YES to all of these:

☐ Is the seller's identity verified?
☐ Does the chassis match every document?
☐ Is the import scheme known?
☐ Is the vehicle transferable today?
☐ Are customs documents verified?
☐ Has the Japanese auction record been independently checked?
☐ Does recorded mileage make sense?
☐ Has the physical car been professionally inspected?
☐ Are parts and maintenance support realistic for this model?

Explore More with CarAdvisers

Car Inspection — Get a 220 + points professional pre-purchase inspection before buying a new or used car

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Auction My Car — Sell your car through a transparent auction process and reach serious buyers

FAQs

How many used vehicles did Pakistan import in September 2026?

Commerce Ministry figures reported by Dawn show 2,276 imported vehicles in September, including 2,238 under the Gift Scheme.

Is the Personal Baggage Scheme still available for used-car imports?

No. Pakistan removed the Personal Baggage vehicle-import route through SRO 61(I)/2026. Gift and Transfer of Residence remain the relevant personal schemes.

Can a Gift Scheme imported car be sold immediately?

The federal import framework requires vehicles imported under Gift or Transfer of Residence to remain non-transferable for one year from importation. Buyers should additionally confirm how the restriction is implemented by the relevant provincial or territorial Excise authority before paying.

Is an auction sheet enough before buying a Japanese car?

No. An auction sheet records the vehicle's earlier auction history. Buyers should independently verify it and separately inspect the vehicle's current physical and mechanical condition.

Does pre-shipment inspection replace a pre-purchase inspection?

No. Pre-shipment inspection addresses import/compliance requirements. A buyer still needs to establish the vehicle's current condition before completing the purchase.

Conclusion

Pakistan's September figure of 2,276 imported used vehicles shows that imported-car supply is becoming significant again, particularly through the Gift Scheme. Dawn

That may give buyers more options, but changing import, inspection and transfer rules make due diligence increasingly important.

For a recently imported Japanese vehicle, the best deal is not necessarily the car with the lowest mileage, highest auction grade or cleanest photographs.

It is the car where the chassis matches, the import documents are legitimate, the ownership can legally transfer, the auction history checks out and the vehicle's present condition has been independently verified.

Buying a Japanese import? Verify its auction history through CarAdviser's Auction Sheet Verification, then inspect its current condition before finalising the deal.

Stay connected with Car Advisers Blogs for trusted reviews, market intelligence, and the future of mobility in Pakistan.

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