Govt Tightens Vehicle Import Rules for Overseas Pakistanis. The government has introduced major changes to how overseas Pakistanis can import vehicles into the country. These new rules aim to stop misuse, protect foreign exchange, and ensure that only genuine expatriates benefit from special import schemes. The Economic Coordination Committee (ECC), led by Finance Minister Muhammad Aurangzeb, has approved multiple amendments that will directly impact thousands of overseas Pakistanis planning to bring cars to Pakistan in 2026.
Why the Govt Changed Vehicle Import Rules
For years, the Transfer of Residence, Gift, and Personal Baggage schemes were widely misused. Cars were often shipped from third countries, fake residency claims were made, and the government faced heavy losses due to currency outflow and tax manipulation.
To fix these issues, inter-ministerial consultations took place involving:
- Federal Board of Revenue (FBR)
- Ministry of Industries and Production
- Ministry of Finance
- Ministry of Overseas Pakistanis
After a long debate, the ECC approved strict new checks and conditions.
Key Changes in Pakistan’s 2026 Vehicle Import Policy
1. Transfer of Residence Scheme Now Limited to Country of Stay
Vehicles imported under the Transfer of Residence (TOR) scheme must now originate from the same country where the overseas Pakistani is living. This change stops the common misuse of importing vehicles from cheaper markets through third-country shipments.
Note: This restriction does not apply to the Gift Scheme.
2. New Eligibility Criteria: Minimum 3 Years Abroad (850 Days)
To import a car under any eligible scheme, overseas Pakistanis must prove:
- At least 3 years of stay abroad
- A minimum of 850 days during that period
This rule ensures that vehicle import benefits go only to genuine expatriates, not frequent travelers.
3. Personal Baggage Scheme Discontinued
The government has abolished the Personal Baggage scheme due to major misuse and financial damage.
Only two schemes now remain:
- Transfer of Residence (TOR)
- Gift Scheme
4. Same Safety & Environmental Standards as Commercial Imports
All imported used cars must now meet the same regulatory, safety, and environmental standards required for commercial vehicle imports. This improves vehicle quality and ensures compliance with global safety norms.
5. Import Gap Extended from 2 Years to 3 Years
Overseas Pakistanis can now import cars only once every three years instead of two. This reduces repeated misuse and controls the number of imported used cars entering the market.
6. One-Year Non-Transferability Rule
Every imported vehicle will now be non-transferable for one year from the date of registration. This stops the practice of importing cars for immediate resale.
Summary of Updated Vehicle Import Conditions (2026)
| Feature / Requirement | Previous Rules | New ECC Rules 2026 |
|---|---|---|
| Vehicle origin (TOR) | Any country | Must match country of residence |
| Stay abroad | 2 years (varied) | 3 years + 850 days |
| Personal Baggage | Allowed | Discontinued |
| Gift Scheme | Allowed | Allowed |
| TOR Scheme | Allowed | Allowed |
| Import gap | 2 years | 3 years |
| Transfer of ownership | Allowed earlier | Locked for 1 year |
| Safety standards | Basic | Same as commercial imports |
Why These Changes Matter
These policy changes directly target:
- Misuse of foreign exchange
- Fake residency claims
- Under-invoicing and tax abuse
- Mass import of low-quality used vehicles
For genuine overseas Pakistanis, the government says the updated rules will bring transparency while still keeping essential schemes available.
ECC Also Approves Several Economic Measures
Apart from vehicle import rules, the ECC discussed and approved several national financial updates.
1. Circular Debt Management Plan Reviewed
The Power Division was directed to prepare a medium-term strategy to reduce fiscal support and improve sustainability in the power sector.
2. OMC & Dealer Margin Adjustments
Margins for petrol and diesel dealers were revised based on inflation, with controlled increases of 5–10%.
3. Chloroform Import Restrictions
Chloroform imports will now require DRAP NOC, as it is carcinogenic and hazardous.
4. Rejection of Concessionary Gas Tariff
A request from Ghani Glass for cheaper gas/RLNG was rejected due to government policy against industry-specific subsidies.
5. Rs. 1.28 Billion Grant for Digital Transformation
Pakistan Digital Authority (PDA) will receive funds to support digital innovation across government departments.
6. Rs. 5 Billion Allocated to Housing & Works Division
Approved as a Technical Supplementary Grant for FY 2025–26.
7. PASSCO Wind-Up Through Special Company
A new special-purpose company will handle PASSCO liabilities before dissolution.
8. Support for PIA Holding Company
Funds will cover pensions and medical expenses of PIACL employees.
What Overseas Pakistanis Should Do Now
If you plan to import a car in 2026:
- Check your stay duration records
- Ensure your vehicle is purchased from your country of residence
- Follow updated environmental and safety standards
- Keep proof of travel history
- Prepare for a 3-year gap between imports
Government departments will soon update their portals to reflect the revised procedures.
Conclusion
Pakistan has tightened vehicle import rules to prevent misuse and protect national resources. Overseas Pakistanis can still import cars, but only under stricter conditions. These updates aim to bring transparency, fairness, and better regulation to the import process.
FAQs
1. Can overseas Pakistanis still import cars in 2026?
Yes. Only the Transfer of Residence and Gift schemes remain active.
2. What is the stay requirement for importing a car?
You must have spent at least three years abroad and a total of 850 days.
3. Are cars still allowed under the Personal Baggage scheme?
No, the scheme has been officially discontinued.
4. Can I import a car from another country cheaper than where I live?
Not under TOR. The vehicle must originate from your country of residence.
5. Can I sell my imported car immediately?
No. The car cannot be transferred for one year.
6. How often can I import a car?
Only once every three years.
7. Will safety and emission standards apply?
Yes. Imported used cars must meet the same standards as commercial imports.
