Chinese electric vehicle company BYD has raised concerns about Pakistan’s recent suggestion to allow the import of five-year-old used cars. The company believes this move could damage the country’s auto industry and slow down the progress of clean energy vehicles.
During a press conference in Karachi, Danish Khaliq, Vice President at BYD, said that bringing in older cars especially those that are heavily depreciated in value would have serious consequences.
These vehicles, often sold at 60% lower prices than new ones, might seem affordable, but they could harm local car manufacturers and lead to more fuel imports.
Khaliq pointed out that older cars are less fuel-efficient and can worsen pollution. He warned that the policy could slow down the development of new energy vehicles (NEVs), such as electric and hybrid cars, which are more environmentally friendly and aligned with Pakistan’s clean energy goals.
He also said this decision could send the wrong message to global investors. Local automakers, including those working on EV technology, may lose confidence if the market is flooded with old imported vehicles.
BYD recommended that any tax relief in the upcoming Budget 2025–26 should be given only to NEVs and companies that are investing in Pakistan’s auto sector. According to the company, this will encourage innovation, create jobs, and help build a greener future.
The company urged the government to rethink the proposal and focus on policies that support long-term growth and sustainability in the automobile industry.
American Dollar Exchange Rate