Pakistan's Stricter Vehicle Import Policy: Key Changes for Overseas Pakistanis in 2026

Pakistan just updated its vehicle import policy. The Federal Cabinet approved stricter rules to stop misuse. This ends the Personal Baggage scheme. Now, overseas Pakistanis face tighter checks. Let's break it down.

Why the Change Happened

The old system had loopholes. People used personal schemes for commercial imports. This drained foreign exchange reserves. It also hurt local car makers. The government wants to fix that.

Back in December 2025, the Economic Coordination Committee (ECC) first okayed this. Now, the Cabinet has made it official. The goal? Protect the economy and support homegrown industry. No more sneaking in cars for quick sales.

And it's not just talk. Once the Statutory Regulatory Order (SRO) drops, Customs will enforce it right away. If you're planning to bring a car home, pay attention.

The Big Shifts in Import Schemes

Used cars can only come in two ways now: Transfer of Residence or Gift schemes. Forget the Personal Baggage option it's history.

Under Transfer of Residence, you import when moving back. But rules are tougher. You need proof of at least three years abroad. The car must come from your country of residence. No picking up a vehicle from elsewhere.

The Gift scheme lets you send a car as a present. The same strict checks apply. Both schemes cap the car's age at three years. That's younger than before. Why? To keep outdated models out and push for newer, safer rides.

But here's a hook: You can't sell the car for one year after import. This stops flippers from turning personal imports into business. It's a smart move to cut illegal trade.

Imagine saving up abroad, buying a dream car, and bringing it home. Now, you must play by these rules or face rejection at the port.

How This Affects Overseas Pakistanis

If you're living abroad, this hits close. Many Pakistanis work overseas and dream of returning with a reliable car. These changes make it harder but fairer.

First, gather your documents. Provide a three-year stay with passports, visas, or work records. No shortcuts. Customs will check everything.

Second, source your car right. For the Transfer of Residence, it must match your residence country. Lived in the UAE? Get it from there. This prevents shopping around for cheap deals in other places.

And the resale ban?

It means you commit to keeping the car. Plan to use it yourself or gift it genuinely. No quick profits.

But think about the upside. Fewer misused imports mean stable prices locally. Your foreign exchange helps the country without leaks. Plus, supporting local assembly creates jobs back home.

One story I heard: A friend in Saudi Arabia tried importing under the old rules. He faced delays over suspicions of commercial intent. Now, with clear guidelines, that hassle might drop if you follow them.

Impact on the Economy and Auto Industry

This policy guards foreign reserves. Pakistan's economy needs every dollar. Illegal imports siphon them out. By tightening up, the government keeps more in the system.

Local auto makers cheer this. Brands like Toyota and Suzuki in Pakistan get a boost. More people might buy new cars here instead of imports. That means growth, jobs, and tech upgrades.

But is it all good?

Some argue it limits choices. Overseas Pakistanis might feel squeezed. Newer cars cost more, and the three-year cap narrows options. Yet, the aim is balance personal needs versus national good.

Data shows imports spiked in recent years. In 2024 alone, thousands of used cars entered via personal schemes. Many ended up resold fast. This policy could halve that, saving millions in reserves.

And enforcement? Customs steps up. Immediate action post-SRO means no grace period. Get caught bending rules, and your car stays at the dock.

What to Do Next If You're Importing

Planning an import? Start early. Check your eligibility. Lived abroad three years? Got proof? Car under three years old? From the right country?

Consult a customs agent. They know the forms. Avoid brokers promising loopholes—they'll lead to trouble.

Track the SRO announcement. It could come any day in early 2026. Once out, rules kick in.

If you're giving, ensure the recipient understands the resale ban. It's binding.

And for locals? This might stabilize used car prices. Fewer imports mean less flooding in the market.

Final Thoughts on the Policy

These changes make sense in tough times. Pakistan needs to plug leaks and build inward. For overseas folks, it's a nudge toward genuine use.

But watch how it plays out. Will it cut misuse without hurting families? Time will tell.

If you're affected, share your take. Policies evolve with feedback. This one aims to protect, not punish.

In the end, it's about fair play. Bring your car home right, and everyone wins. For more updates, visit DrivePK.com