Vehicle prices increase by millions

Report Summary

Vehicle prices in Sri Lanka have increased significantly, with some models rising by up to Rs. 4.5 million, after the Government extended a 50% surcharge on import duties through December 31. The higher rates apply to vehicles imported under Letters of Credit (LCs) opened after May 15. Vehicle Importers Association of Sri Lanka (VIASL) President Prasad Manage explained that consignments subject to the new duty regime are now entering the market, leading to higher showroom prices, and suggested alternative measures such as revising tax policy and regulating LCs to help stabilise prices.