Prime Minister Shehbaz Sharif Approves Draft of New Auto Policy 2026–31; Price Equilibrium to Be Maintained Between Local and Imported Hybrid Vehicles
ISLAMABAD: The draft of the New Auto Policy (2026-31) has been approved by the Prime Minister Shehbaz Sharif for its formal presentation to the federal cabinet for final approval.
The Ministry of Law officials presented Shehbaz Sharif with the overall framework of the draft policy, on the basis of which he gave instructions to present it before the federal cabinet immediately.
The following are some of the key highlights of the new Auto Policy (2026-31) Draft Approval.
Priority to Price Balance of Hybrid Vehicles: The proposed policy has specific elements to ensure stability of price balance and level playing field between locally produced hybrid cars and imported hybrid cars.
All imported vehicles now need to have a formal certificate of conformity and vehicle lifespan standard, under the new draft guidelines.
Path to Implementation: Given that the final rubber-stamping approval by the federal cabinet, the policy will become a reality and the regulatory and manufacturing trajectory of the country’s vehicle industry will be defined up to 2031.