50% Vehicle Import Surcharge Imposed for 3 Months
A media briefing was held this afternoon to clarify facts regarding the newly imposed 50% surcharge on customs import duties for imported vehicles, effective from today.The briefing was attended by Deputy Minister of Finance and Planning, Dr. Anil Jayantha, and Deputy Minister of Economic Development, Nishantha Jayaweera.Speaking at the briefing, Dr. Anil Jayantha noted that since the additional tax is a temporary three-month measure, the public could choose to defer vehicle imports until the period ends.He clarified that the newly introduced measure is a surcharge on existing customs duties, rather than an entirely new tax.He explained that motor vehicles are currently subject to a 30% customs import duty, and the new policy introduces a 50% surcharge on that existing rate. This means personal importers will face an effective additional duty of 15%.However, he emphasized that this adjustment should not significantly affect market prices, as it is a temporary measure lasting only three months and is designed to encourage importers to defer shipments if possible.Dr. Jayantha further noted that if an importer urgently requires a vehicle within this three-month window, they will have to pay the additional amount.He pointed out that the measure was introduced because unnecessary panic in the forex market could put pressure on the exchange rate.He stressed that the temporary surcharge applies only to limited categories of passenger vehicles and explicitly excludes motorcycles, bicycles, three-wheelers, and commercial vehicles.Consequently, he warned that there are no reasonable grounds for anyone to use this announcement to manipulate the market or artificially inflate vehicle prices.The 50% import surcharge must be paid on both the general and preferential duty bases.This additional duty applies to passenger motor cars, buses, jeeps, vans, goods transport vehicles, ambulances, motor vehicles, and land vehicles.The surcharge will also apply to fully electric vehicles and hybrid vehicles.According to the notification issued under the signature of President Anura Kumara Dissanayake, the 50% surcharge will be in effect for a period of three months starting from today.However, it also states that the surcharge will not apply to vehicles for which Letters of Credit were opened on or before May 15, 2026.
