Pakistan’s luxury automotive market has received a powerful push following the announcement of Budget 2025, which significantly reduces customs duties and import taxes on premium vehicles. As a direct result, BMW and Toyota Indus Motor Company (IMC) have slashed prices on several flagship models, offering substantial relief to high-end vehicle buyers and automotive enthusiasts.

BMW Price Cuts in Pakistan

Dewan Motors, the official distributor of BMW in Pakistan, has reduced prices across both its petrol-powered and plug-in hybrid (PHEV) lineups.

Major Highlights:

  • BMW X7 M60i Drive has experienced the steepest price reduction. It is now available for Rs. 13.9 crore, down from Rs. 18.68 crore, representing a massive Rs. 4.78 crore drop.
  • The BMW 218i Gran Coupe, a popular entry-level model, has seen a reduction of nearly Rs. 45 lakh, with its new price set at Rs. 2.88 crore.
  • High-performance sports models such as the BMW M2 and M4 now fall below the Rs. 10 crore mark, with price cuts exceeding Rs. 3 crore each.

These changes not only increase affordability but also strengthen BMW’s position in Pakistan’s luxury vehicle segment, making high-performance German engineering more accessible to affluent buyers.

Toyota Land Cruiser Prices in Pakistan

Following suit, Toyota Indus Motor Company (IMC) has also adjusted its pricing in response to the government’s favorable tax revisions.

New Pricing Breakdown:

  • Land Cruiser LC300 Petrol Variant is now priced at Rs. 9.5 crore, down from Rs. 12 crore, delivering a straight Rs. 2.5 crore price reduction.
  • The Land Cruiser LC250 Diesel Variant is now available for Rs. 6 crore.
  • The LC250 Petrol Variant has also seen a significant markdown, with the price reduced from Rs. 6.66 crore to Rs. 5.5 crore.

These new rates reflect a direct and substantial benefit for consumers in the premium SUV segment.

Impact of Budget 2025 on the Luxury Car Market

The 2025 federal budget introduced sweeping reforms aimed at:

  • Reducing import duties on luxury vehicles
  • Promoting automotive diversity by making high-end models more competitive in pricing
  • Encouraging legal importation rather than reliance on grey markets

This is a strategic move by the government to not only stimulate the automotive sector but also generate revenue through formal channels and uplift local showrooms and dealerships.

Conclusion

The significant price reductions on BMW and Toyota Land Cruiser models are a clear indication of shifting government priorities to support the automotive industry and attract investment in Pakistan’s premium car segment. With price drops reaching up to Rs. 50 million, luxury cars are becoming more attainable for high-net-worth individuals and car enthusiasts.

As the auto sector adapts to new fiscal policies, further competitive pricing across other luxury brands may follow, reshaping the dynamics of Pakistan’s high-end vehicle market in 2025.