Following the fiscal measures introduced in Pakistan’s Finance Act 2025, along with fresh Statutory Regulatory Orders (SROs), the government has reduced the overall incidence of duties on imported vehicles.
Key components such as Customs Duty (CD), Regulatory Duty (RD), and Additional Customs Duty (ACD) have been revised downward, with ACD lowered from 7% to 6%. While initial discussions centered on percentage reductions in these duties, the actual impact is now evident in the retail prices of imported high-end SUVs, offering substantial savings to consumers.
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One of the most noticeable effects is on vehicles like the Toyota Prado LC150, where prices have dropped significantly. For the 2020 model year, price reductions range between PKR 2.4 million to 2.6 million, while the 2021 model now sees a decrease of about PKR 2.9 million to 3 million. Similarly, Lexus LX570 models have seen steep price cuts, with the 2020 variant dropping by PKR 6.5 million to 6.7 million, and the 2021 model by PKR 7.5 million to 7.8 million.
The Toyota LC200 (URJ 202 series) has also become more affordable. The 2020 URJ 202-ZX model is now cheaper by PKR 4.1 million to 4.2 million, and the 2021 model by PKR 4.7 million to 4.8 million. Meanwhile, the URJ 202-AX variant shows price decreases of PKR 3 million to 3.2 million for 2020 models, and PKR 3.5 million to 3.7 million for 2021 models.
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Significant reductions are also seen in the latest Toyota LC300 lineup. For the AX variants, the 2021 model year now costs PKR 3.7 million to 3.8 million less, the 2022 model is down by PKR 4.5 million to 4.6 million, and the 2023 model has dropped by PKR 5.4 million to 5.5 million. The ZX variants reflect even steeper savings, with the 2021 models reduced by PKR 4.9 million to 5 million, 2022 models by PKR 6 million to 6.1 million, 2023 models by PKR 7 million to 7.1 million, and the 2024 models by PKR 7.6 million to 8 million.
These duty reductions under Budget 2025–26 are making premium SUVs more attainable for importers and affluent buyers in Pakistan. Beyond lower prices, this shift could promote more transparent vehicle import practices, minimize the misuse of amnesty schemes, and encourage a rise in legitimate, documented imports. Whether for dealerships, enthusiasts, or investors, these developments mark a noteworthy change in the luxury vehicle market.