Vehicle importers voice concern over price hike in Japanese cars

The Chairman of the Vehicle Importers’ Association of Sri Lanka (VIASL), Indika Sampath Merenchige, has highlighted that the main reason for the rise in the price of Japanese vehicles is the government’s decision to allow the importation of vehicles that are 2 years old instead of the previous limit of 5 to 7 years from the year of manufacture.

Speaking about the government’s decision to remove import restrictions starting today (01), Merenchige expressed his concerns, stating that this move would make it impossible for an ordinary citizen to purchase a vehicle for less than Rs. 10 million. 

He further emphasized that if the government had maintained the 5-year limit, vehicles would have been priced between Rs. 6 million to Rs. 6.5 million, making them more affordable for the public.

“What will ultimately happen is that the ordinary people of this country will not be able to purchase a vehicle for less than Rs. 10 million. This is something that could have been bought for about Rs. 6 million to 6.5 million if it had been extended to 5 years,” he said.

He further explained, “The increase in prices is significant because of the government’s decision to allow only vehicles that are within 2 years old to be imported.”

Merenchige also revealed the current auction prices of 2-year-old Japanese vehicles and the subsequent increase in their prices after the addition of taxes in Sri Lanka.

A Toyota Raize 1200cc could reach around Rs. 16 million. 

A Toyota Yaris could cost more than Rs. 11 million.

A Honda Vezel 1500cc hybrid, priced around Rs. 19.5 million, is expected to go up to Rs. 24 million.

Even a popular model like the Wagon R, which many in Sri Lanka favor, could exceed Rs. 10 million.