Automotive Blog in Pakistan

Auto Policy 2026-31 levy on petrol cars and EV tax impact on prices

Auto Policy 2026-31: What a 2% to 10% Levy on Petrol Cars and Lower EV Tax Would Mean for Prices

The PM-approved draft Auto Policy 2026-31 would add a 2% levy on 1,001-2,000cc petrol and diesel cars and 10% above 2,000cc, and cut sales tax on qualifying EVs, REEVs and PHEVs. It still needs cabinet and IMF approval and has no effective date. Draft estimates for Corolla, Fortuner, Tiggo 7 PHEV, XPeng L03 and Chery Q.

XPeng L03 REEV vs EV in Pakistan: Which to Book

Waqas Afzal8 Min Read

XPeng L03 REEV vs L03 Long Range EV in Pakistan: why the range-extender is about Rs 700k cheaper, official range figures, booking and on-road cost.

XPeng L03 REEV Pakistan launch thumbnail

XPeng L03 REEV Pakistan Launch on 12 October at Rs 11.5 Million Ex Factory

Waqas Afzal6 Min Read

The XPeng L03 REEV is set for its formal Pakistan launch on 12 October 2026 at a reported Rs 11.5 million ex factory, Rs 700,000 below the L03 Long Range. Range, charging and booking figures differ between sources.

Pakistan Hybrid and EV Taxes in 2026: What Is Law Now and What Is Still Draft

Waqas Afzal13 Min Read

Pakistan’s hybrid and electric-vehicle tax rules are currently split between enacted tax law and the still-unfinished Auto and Auto Parts Manufacturing Policy 2026–31. As of 24 September 2026, qualifying locally manufactured hybrid electric vehicles with engines up to 2,000 cc are no longer subject to the earlier 25% Table-II treatment. S.R.O. 1525(I)/2026, effective from 13 September 2026, moves those qualifying vehicles back to the standard 18% sales-tax framework. Specified locally assembled four-wheel EVs and certain EV CKD kits also continue to benefit from relief extended through 30 June 2027 under the FY2026–27 tax measures. By contrast, reported Auto Policy 2026–31 proposals covering future GST structures, EV financing, tariff changes, localisation and export-linked incentives are not yet final law.

Automotive Blog in Pakistan

Auto Policy 2026-31: What a 2% to 10% Levy on Petrol Cars and Lower EV Tax Would Mean for Prices

XPeng L03 REEV vs EV in Pakistan: Which to Book

Find Your Next Car

XPeng L03 REEV Pakistan Launch on 12 October at Rs 11.5 Million Ex Factory

Pakistan Hybrid and EV Taxes in 2026: What Is Law Now and What Is Still Draft

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