The government plans to stop the importation of second-hand vehicles in order to grow the local car assembly industry. This is one of the measures planned by the Industrialization ministry that will help in streamlining the motor assembly industry.
“The government, through the ministry of Industrialization, drafted the National Automotive Policy to streamline the motor assembly industry with the ultimate goal of phasing out the importation of second-hand vehicles by 2026,” said the Treasury in a draft budget paper.
In addition to the draft statement, it is viewed that the adoption of the policy will also promote the utilization of locally manufactured products, local content, sub-contracting, innovation, research and development, capacity and skills development and training, and technology transfer.
“The automotive policy would create jobs for the youth, enhance local value addition and help raise the manufacturing sector’s contribution to the economy,” said the Treasury.
Finally, according to the 2021 Budget draft, the manufacturing pillar of the Big Four Agenda would continue to offer the necessary training ground for the youth to acquire skills.
The treasury also added that the government, through the manufacturing pillar, is developing productive capabilities to necessitate the youth to move from rudimentary to complex operations, and thus speed the process of shifting them from wage earners to owners of capital.
