Massive demand for new vehicles continues despite soaring price

15 May 2025 01:22 am Views - {{hitsCtrl.values.hits}} 19 Bookmark

CHATURANGA PRADEEP SAMARAWICKRAMA Follow

A A A

Over 3,000 out of 5,000 recently imported vehicles already sold
No vehicle categories have been banned, but models like the Toyota Aqua and Prius face tax and regulation hurdles.
Severe delays at Colombo and Hambantota ports due to limited customs staff are causing frustration and increased costs.
Vehicle release from port storage now takes at least 16 days

Colombo, May 15 (Daily Mirror) - Vehicle sellers in Sri Lanka are currently grappling with an overwhelming demand for new vehicles, despite the persistently high prices of imported units, the Vehicle Importers' Association of Sri Lanka (VIASL) President Prasad Manage said.

Speaking to the Daily Mirror, Manage said that a total of 5,000 vehicles have been imported into the country over the past three months, and over 3,000 of them have already been sold.

“The prices of imported vehicles are currently high, but there’s still a strong, consistent demand for new vehicles in the market,” he noted.

He stressed that many middle-income earners are actively purchasing vehicles within their financial means.

“No category of vehicle has been banned from being imported. However, certain models like the Toyota Aqua and Prius have not been brought in recently as they fall outside the three-year manufacturing date requirement and are subject to higher taxes,” he explained.

Meanwhile, importers have reported difficulties in identifying which vehicle models are currently in higher or lower demand due to the overall surge in interest for new vehicles.

In addition, significant delays at both the Colombo Port and Hambantota Port have caused frustrations among buyers and importers alike. Industry representatives claimed that only four officers are currently on duty at each port, a number deemed insufficient to manage the growing influx of vehicles.

Although importers have repeatedly requested the Customs Director General to assign more officers to expedite the clearance process, no steps have been taken so far. The delays have led to substantial demurrage charges, which customers are ultimately forced to bear.

Importers highlighted that at Hambantota Port, 80 percent of the collected demurrage fees are payable to China, placing an additional financial burden on vehicle buyers. It now reportedly takes at least 16 days to release a vehicle from port storage.

The VIASL and its members have reiterated their readiness in managing importation and shipping processes smoothly, urging authorities to address the bottlenecks at the clearance stage to ease the strain on both businesses and consumers.

Comments - 19

Ram P Thursday, 15 May 2025 06:22 AM

Good to see the demand for the new vehicles. Since ID details too are placed in these transactions the IRD too will have to check how the buyers found the money and any unexplained money used, IRD must take suitable action.

4 29

JRDW Thursday, 15 May 2025 11:33 AM

dont be jealous, what do you care if they have ID or not,

23 5

D Thursday, 15 May 2025 01:57 PM

Nothing to be jealous about. IRD need to do their job and look into how these people can afford vehicles at 3 times the price.

5 25

JUK Thursday, 15 May 2025 06:31 AM

In the past, we did not face such severe issues with vehicle clearance at our ports. The current delays, which now stretch up to 16 days, are unprecedented and are causing serious disruptions to both importers and consumers. We are compelled to ask: Why is this happening now? Is it because certain individuals are no longer offering unofficial incentives to facilitate faster clearance? If so, this is deeply troubling. This situation reflects poorly on the efficiency and transparency of our systems. It is unacceptable that importers and, ultimately, the public are forced to bear heavy demurrage costs—especially when 80% of these fees at Hambantota Port reportedly go to foreign entities like China. We urge the Government and relevant authorities to act immediately to resolve the customs clearance delays. Continued inaction will harm businesses, burden citizens, and further erode public trust.

6 11

Percy Thursday, 15 May 2025 05:59 PM

It's been done on purpose by the government and the customs. Its an unscrupulous way of getting more money from the importers and end users by this delaying tactics, they end up paying more in demurrage which is a novel dirty way to earn.

0 2

Joshua Thursday, 15 May 2025 06:52 AM

Spat on the face of opposition who said vehicles won't move and the government will have to reduce prices.

21 11

nizam Thursday, 15 May 2025 03:10 PM

Not just the opposition, it is more a spat for the low-income folk, seems the corrupt are making hay whilst the sun shines. Are vehicles only for the corrupt? The less fortunate folk are cheated by these decisions to import at any cost and at the same time keep the prices of old used vehicles at a high price too. If we had a sensible government the prices of old vehicles should have reduced by now. Leaders should be independent and ensure everyone is treated in a fair manner. Will it happen in the next couple of days?

0 3

stfup!dawg Thursday, 15 May 2025 07:02 AM

Who is thriving in this economy? How are they earning money?

3 32

smh Thursday, 15 May 2025 06:03 PM

stfup!dawg eh? It's called education, talent, investments, innovation, business and skills.

3 1

Mahesh Thursday, 15 May 2025 07:16 AM

What he mentioned about the demand is a big lie. They want to create a demand by saying that there is a huge demand.

3 30

Upul Thursday, 15 May 2025 08:53 PM

I think the same. This is a business tactic so that people will rush to buy before it's too late.

0 0

Perera Thursday, 15 May 2025 07:22 AM

I cannot recall a time when vehicles were cheap in SL to the extent that they were affordable by all and sundry. They are more expensive now due to inflation and taxes and were cheaper then, but were still very expensive even then compared to many other countries such as Aussi, NZ, the US etc etc.

1 21

Dr. Amal Perera Thursday, 15 May 2025 08:22 AM

It is the bribe takers , police personel and commission kings including all corrupt customs officials who can now buy new cars. They are completely out of reach of the nomal hard working and honest professionel people. What a country ??

2 23

BnW Thursday, 15 May 2025 08:34 AM

Perhaps the only country in the world, where people buy vehicles at 3,4,5 times of the vehicle's real value.

0 24

Sokrates Thursday, 15 May 2025 09:05 AM

Import licences must be abolished so that every buyer can decide whether to import a vehicle himself or commission an importer to do so. If I need a new vehicle, I fly to England, buy it from a dealer there, who then ships it by container to Sri Lanka. My company, which also has an import licence, takes care of the customs formalities in Sri Lanka, which is done in a day. We only use the licence for ourselves and don't do any business with it. The advantage is that I can choose a vehicle according to my wishes and have it equipped accordingly. Of course, there are no commission payments to greedy professional importers.

22 15

katukanna Tissa Thursday, 15 May 2025 10:02 AM

"Wow! I never would have guessed the massive demand for the Wagon R and Suzuki Alto in Sri Lanka ! Now lets overflow with these K batto.

1 14

Jagath Leanage Thursday, 15 May 2025 03:19 PM

Which means our people do have money.

0 3

M Fernando Thursday, 15 May 2025 04:40 PM

What's the problem? Japan is full of Kei cars.

0 0

Ghaus Thursday, 15 May 2025 08:46 PM

Now even Rolls Royce cars have been imported to Sri Lanka by the rich. Government should allow importing cheap cars from India and China so that lower middle class can buy such cars. This will reduce number of three wheelers on the road.

0 0

222

Add comment
Comments will be edited (grammar, spelling and slang) and authorized at the discretion of Daily Mirror online. The website also has the right not to publish selected comments.