News

Pakistan Approves Its First Car Safety Law With Jail Terms, Fines Up to Rs. 10 Million

•
5 min read
•
Legal Editorial Desk
Pakistan Approves Its First Car Safety Law With Jail Terms, Fines Up to Rs. 10 Million
The federal cabinet on Wednesday approved Pakistan’s first law on minimum safety standards (Motor Vehicles Industry Development Act) for all locally assembled and imported vehicles. According to the law, there will be jail terms of up to three years and fines reaching Rs. 10 million for violators, reported Express Tribune. The Motor Vehicles Industry Development Act aims to enforce safety, quality, performance, and environmental benchmarks for all vehicles. Under the draft, no vehicle can be sold without registration under the new law and a certificate of conformity. Manufacturers and importers failing to comply face up to one year in jail or fines starting at Rs. 500,000. Not issuing a certificate could lead to six months’ imprisonment, while failure to recall defective vehicles could result in two years’ jail or a fine of at least Rs. 5 million. Ignoring a recall order from the Engineering Development Board (EDB) could trigger a mandatory three-year jail term or Rs. 10 million fine. The bill now moves to parliamentary committees for review before a final vote. Only licensed companies with approved capital and vehicle import as their primary business will be permitted to bring in vehicles needing repair. Imports under baggage and gift schemes will remain exempt. All vehicles must display technical specifications including size, weight, seating capacity, and usage details. Electric vehicles must carry battery type, performance, recycling, and charging standards. Any vehicle or part posing safety risks must be recalled, even if it meets prior approvals. If ignored, the EDB will initiate recalls directly.
Share:

Editorial & Legal Practice Group

Authored and reviewed by the corporate law and tax litigation practice group at Javid Law Associates. Our team comprises High Court advocates, corporate legal advisors, and authorized tax practitioners across Pakistan.

Advocates High Court & Tax Counsel Jurisdiction: Pakistan

Need Expert
Legal Counsel?

Free Session
Initial Consultation
100% Secure
Private & Confidential

Request a Callback

Enter your WhatsApp number and our legal team will connect with you shortly.

Typical response: Prompt response during chamber hours