FBR to Value Imported Auto Parts Based on Engine Capacity Instead of Weight
KARACHI: Pakistan’s Federal Board of Revenue (FBR) has revised the customs valuation mechanism for imported auto parts, deciding to determine their value based on vehicle type and engine capacity rather than weight.
According to Customs Valuation Ruling No. 2092 of 2026, issued by the Directorate General of Customs Valuation, Karachi, the new valuation covers a range of imported auto components, including water pumps, oil pumps, fuel pumps, in-tank fuel pumps, oil filters, fuel filters, and air filters.
The new ruling replaces the previous valuation framework introduced in 2019, which had remained in force for more than six years.
Customs officials said the revision was initiated following requests from industry stakeholders, who argued that auto parts are bought, sold, and identified primarily according to the vehicle model and engine capacity, making the weight-based valuation system outdated and ineffective.
The Directorate General of Customs Valuation held consultations with the Pakistan Automobile Spare Parts Importers and Dealers Association (PASPIDA), Indus Motor Company, and other importers before finalizing the revised mechanism. Officials also reviewed import data, conducted market surveys, and assessed prevailing market prices.
The new ruling also introduces a separate valuation category for in-tank fuel pumps, citing their specialized application and distinct market characteristics.
According to customs authorities, the updated valuation system aims to ensure fair, uniform, and transparent customs assessments while aligning import valuations with current market practices and industry standards.
