Bus and Truck Manufacturers Get Big Relief in Budget 2023-24

The government has allowed big relief for the manufacturers of Heavy Commercial Vehicles (HCVs) in the 2023-24 fiscal budget. Finance Bill 2023-24 document available with ProPakistani states that the Customs Duty (CD) on the import of completely knocked down (CKD) buses and trucks has been reduced from 10% to 5%. This will likely have an impact on the prices of buses and trucks. While the manufacturers may not increase the price, the reduction in CD will likely help keep the prices where they stand for a while, which may be good news for the owners of goods and people transporter services. The government has also imposed a 15% CD on the import of agricultural tractors. According to the details, the government has set the CD for these tractors as per their engine power. A document available with ProPakistani states that the government has imposed 15% CD on tractors with engine power between 26 kW and 75 kW. For agricultural tractors other than those mentioned above, the CD is 10%.