Vehicle imports increase in April

Monday, 1 June 2026 00:24 - - {{hitsCtrl.values.hits}}

The vehicle imports bill, including personal and commercial vehicles, expanded to $ 208 million in April from $ 195 million in March.

Imports of vehicles had fallen to $ 194 million in February from $ 224 million in January, and from a 10-year peak of $ 301 million recorded in December 2025, reflecting a moderation after the reopening of the sector.

Cumulatively, vehicle imports during the first four months of 2026 reached $ 821 million from $ 613 million in March, according to Central Bank of Sri Lanka (CBSL) data.

The total import cost of vehicles in 2025 amounted to $ 2.05 billion after the Government lifted a five-year ban on vehicle imports in February 2025 to boost tax revenue.

New tax changes are expected to impact vehicle imports going forward.

The Government has gazetted amendments to the Social Security Contribution Levy (SSCL) Act, reducing the registration threshold to Rs. 9 million per quarter (Rs. 36 million annually) and revising the levy’s application to motor vehicles at import, while maintaining the SSCL rate at 2.5%, with changes effective from 1 May 2026.

Most recently, the Government amended its recent Gazette Notification on vehicle imports to ensure that the 50% surcharge on Customs duties also applies to Letters of Credit (LCs) opened on or before 15 May if amendments were made after the Gazette came into effect from 18 May for three months.