The President of the Vehicle Importers’ Association of Sri Lanka (VIASL), Prasad Manage, said the government should prioritize reducing the prices of small vehicles commonly used by the general public.
He called on the authorities to revise the pricing and tax structure applicable to low engine-capacity vehicles in order to improve affordability.
Commenting on the current tax regime, Manage said the association is seeking tax reductions for vehicles in the 1,000cc category, including models such as the Alto, Wagon R, Yaris, and Hustler, which are typically purchased by middle-income consumers.
He pointed out that a Wagon R currently attracts taxes of around Rs. 4 million, despite being a small and fuel-efficient vehicle.
“These are vehicles primarily purchased by middle-class citizens. Such vehicles should be encouraged and made more accessible to the general public,” he said.
Manage also noted that the recent disaster situation in the country has led to a sharp decline in vehicle sales.
Referring to the broader economic impact, he urged the government to relax certain conditions imposed on imported vehicles.
He explained that economic hardships have left many customers who placed orders unable to complete their purchases.
“Under current regulations, a penalty of three percent is imposed if the three-month period for vehicle clearance is exceeded,” he said.
In this context, Manage appealed to the government to consider the prevailing disaster situation and, if possible, waive the three percent penalty.
