Importers respond to rise in vehicle prices in Sri Lanka following 2017 Budget – VIDEO

November, 12, 2016

The engine capacity-based manufacturing tax imposed on motor vehicles last year will be extended to motorcycles as well through the 2017 Budget.

Furthermore, steps have been taken through the 2017 Budget to reduce the manufacturing tax on electric cars of less than 100 kilowatt capacity.

However, vehicle importers say that the manufacturing tax on motor vehicles would see a higher revision through the manufacturing special provisions tax. Hence, the price of a 1,000 cc engine capacity motor vehicle would increase by approximately Rs. 200,000 they added.

Below are the views expressed by the Lanka Motor Vehicle Importers’ Association and the Sri Lanka Motor Vehicle Importers’ Association and how the prices of each category of vehicle increase: