Federal government plans penalties for auto firms missing export targets

The Federal government intends to penalise automobile manufacturers and Tier-1 auto parts companies that fail to meet required export goals. This policy framework suggests implementing Mandatory Export Targets (METS) for both original equipment manufacturers (OEMs) and Tier-1 manufacturers.
Furthermore, the government plans to introduce a Duty and Tax Remission for Exporters (DLTL) scheme to support trade. The DLTL scheme offers a baseline compensation of five percent, alongside an extra ten percent compensation on any exports that increase.
An Export Facilitation Council will be established to manage export targets, promote market growth, and oversee international trade activities. Strengthening local auto parts makers and developing industrial clusters is also proposed through a Vendor Upgradation and Technology Transfer Programme.
Currently, the draft policy remains in the finalisation stage by the government. Separately, Punjab Industrial Zones secured Rs 76 Billion in investment and generated 7,000 jobs during September.












































































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