The government has decided to withdraw the additional 2% GST being charged by auto mobile manufacturers. The Finance Minister Mr. Ishaq Dar stated that “the additional GST constituted a hardship for the industry and may lead to the undesirable effect of raised prices for the end purchasers”
This was a good initiative, the Auto industry is providing direct employment to 400,000 workers and indirectly employed 3.2 million people.
There is 13 vehicles per 1,000 people in Pakistan at present, whereas in Indonesia and Brazil the number of vehicles per 1,000 people was 79 and 259. We need to give more incentives to this industry