Sri Lanka to Lift Vehicle Import Suspension After Four-Year Ban
The Sri Lankan government has officially announced the removal of the vehicle import suspension, a restriction initially imposed in March 2020 to address the country’s foreign exchange crisis
The Sri Lankan government has announced the gradual lifting of the vehicle import suspension, which was initially imposed in March 2020 to address the country’s foreign exchange crisis. President Anura Kumara Dissanayake confirmed that vehicle imports would be reinstated in three stages, starting with passenger buses and special-purpose vehicles, followed by personal motor vehicles.
Registration and Fines
The government has emphasized strict compliance for all vehicle imports prevent unnessary imports. Vehicles must be registered within 90 days of the Customs Declaration date.
Late Registration Penalties:
3% of the vehicle's CIF value per month (capped at 45%).
Delays under 30 days count as a full month.
Failure to comply for over six months may result in a 36-month import suspension for the importer.
The suspension on vehicle imports, imposed in March 2020, severely impacted the local automobile market, causing skyrocketing vehicle prices. The phased reopening, starting December 14, 2024, and concluding with personal vehicle imports on February 1, 2025, aims to balance economic recovery with controlled foreign exchange management.