Pakistan Automotive Manufacturers Association (PAMA) has expressed resentment over Regulatory Duty (RD) on vehicles' air-conditioning items. In a letter to the chairman FBR, the PAMA said that RD imposed through SRO-1035(1)/2017 on certain items - protectors, evaporators, condensers - used as input in local manufacturing of vehicles' air-conditioners would be counterproductive.
It further said that SUVs tyres, which were not manufactured locally, were also subjected to 20 per cent RD; adding that the said levy was also previously under SROs 131(I)-2015 and 246(I)-2015 on steel products used by the auto industry as the same were not manufactured in the country that left no option for the industry to absorb its impact. Therefore, it has been requested not to impose the extra burden and exempt this newly imposed RD on protectors, evaporators, condensers and tyres which are imported under SRO-655 and 656.
The letter further said that previously additional duty was not applicable to the items subject to RD and this was done by inserting the then regulatory duty SRO-568 as clause in the additional duty SRO 1178/2015. Now, the RD SRO-568(1)/2014 stands superseded by SRO-1035(1)2017, it said and added that the old position needed to be restored by an amendment in SRO-1178(1)/2015 replacing the superseded number SRO-568 by the new SRO No. 1035(1)/2017.