Apr 25, 2011 (LBO) – Prices of several models of imported cars in Sri Lanka will rise after a government import duty increase, senior officials of motor vehicle importers said. The price of a Viva car imported from Malaysia with an engine capacity below 1,000 cc, which had become popular recently, could rise by 150,000 rupees, said a senior official of United Motors, which imports the vehicle.
“We sold about 1,800 Viva cars in the last financial year, after the government slashed import taxes,” the official, who declined to be identified, told Vimasuma.
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“A Viva car costs about 1.3 million rupees now. We estimate its price might rise by about 150,000 rupees with the import duty rate increase although we’re not yet in a position to say exactly how much prices will rise.”
The import duty hike came less than a year after the government slashed import duties which led to a flood of vehicle imports last year and also increased state revenue.
The United Motors official said the prices of Mitsubishi Lancers with engine capacities between 1,000cc and 1,600cc, also popular models, could rise by 250,000 rupees with the latest tax hike.
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