Overview

• Only used vehicles up to five years old can be brought in until June 30, 2026, after which the age cap will be removed.
• Imports will be allowed only for vehicles that meet prescribed environmental and safety standards.
• The regulatory duty will decline by 10 percentage points each year after June 2026, reaching zero in fiscal year 2029–30 per Tariff Policy Board guidance.
• The government framed the change as part of its understanding with the IMF to open the auto market.
• Industry groups warn consumers are unlikely to see immediate price relief due to high existing taxes on locally assembled cars.