FBR Will Now Set Prices of Imported Car Parts Based on Engine Capacity

The Directorate General of Customs Valuation, Karachi, has revised the customs values of several imported auto replacement parts from China, Japan, and Europe, introducing a new valuation framework based on vehicle and engine capacity instead of product weight.

The revised customs values, issued through Valuation Ruling No. 2092 of 2026, cover water pumps, oil pumps, fuel pumps, in-tank fuel pumps, oil filters, fuel filters, and air filters.

The new ruling replaces Valuation Ruling No. 1402-I/2019, which had remained in force for more than six years.

According to the Directorate, the review was initiated after industry stakeholders requested an update to reflect prevailing market conditions. The exercise was carried out under Section 25A of the Customs Act, 1969.

Representatives of the Pakistan Automobile Spare Parts Importers and Dealers Association (PASPIDA), Indus Motor Company (IMC), and other commercial importers participated in consultations with customs officials.

During the discussions, stakeholders argued that auto parts are bought, sold, and identified primarily by vehicle application and engine capacity, making the existing weight-based valuation system outdated.

After reviewing stakeholder submissions, import data, market surveys, and prevailing prices, the Directorate adopted a vehicle and engine capacity-based valuation structure. It also created a separate valuation category for in-tank fuel pumps, citing their distinct application in the auto parts market.

Customs said the revised valuation is intended to ensure fair, consistent, and uniform assessment of imported auto replacement parts while better reflecting current market practices and import trends.