No major drop in vehicle imports despite restrictions

Vehicle imports continue to enter the local market without a significant decline, despite the surcharge introduced earlier this year, according to Sri Lanka Customs.

While a large volume of vehicles remains unsold, imports did not drop as anticipated. The minor reduction recorded failed to create any financial impact on state revenue. Customs spokesperson Chandana Punchihewa shared these details during a media briefing.

Vehicle imports provide approximately 30 percent of the total income generated by Customs.

Monthly revenue statistics highlight this consistent financial contribution. In January, overall revenue reached Rs. 235 billion, with Rs. 91 billion generated from vehicles. February recorded Rs. 215 billion in total, including Rs. 75 billion from vehicles. March brought in Rs. 231.9 billion, with Rs. 77 billion coming from vehicles. April saw Rs. 242.9 billion overall, featuring an Rs. 84 billion contribution from vehicles. Up to May 28, total revenue reached Rs. 212 billion, with Rs. 76 billion driven by vehicles. This data was provided by Chandana Punchihewa.

The appreciation of the dollar rate, influenced partly by the Middle East conflict, raised the rupee value of Customs tariffs. This factor elevated overall revenue instead of lowering it, Chandana Punchihewa noted.

During the previous year, vehicle imports represented 30 to 35 percent of Customs collections, and this pattern persists through the current year, he added.

No drop-off occurred as previously expected despite the introduction of the surcharge, he concluded.