Federal Board of Revenue has revised customs values for imported smartwatches, smart bands, and smart rings as part of efforts to address under invoicing and reduce revenue losses linked to wearable technology imports. The updated valuation has been issued by the Directorate General of Customs Valuation through Valuation Ruling No. 2076/2026 under Section 25A of the Customs Act, 1969. The ruling applies to non GSM wearable devices imported into Pakistan from all countries of origin. According to customs authorities, the move follows concerns that several import consignments of wearable devices were being declared at significantly lower values, resulting in reduced duty and tax collection at the import stage.
Officials stated that the revised customs values were determined after detailed market analysis, examination of import records, and consultations with traders and importers involved in the wearable device business. A valuation meeting was held on April 7, 2026, during which stakeholders were requested to provide supporting documents related to prevailing international prices, invoice trends, and import costs. Customs authorities also reviewed 90 days of import data, including declared and assessed values, before reaching the final decision. The ruling noted that standard transaction value methods and valuation methods based on identical or similar goods could not be applied effectively because of inconsistent declarations submitted by importers. As a result, authorities determined the customs values under Section 25(7) of the Customs Act, 1969, which allows customs officials to establish valuation through alternative methods when standard procedures cannot be implemented accurately.
Under the revised structure, customs values for non GSM smartwatches have been fixed at $5 per piece for Category A brands, $3 per piece for Category B brands, and $1.5 per piece for Category C brands. For smart bands and smart rings, the values have been set at $4.5 per piece for Category A brands, $2.5 per piece for Category B brands, and $1.25 per piece for Category C brands. The valuation directorate has also grouped wearable brands into three separate categories for assessment purposes. Category A includes brands such as Amazfit, Armitron, Aurafit, Awei, Black Shark, Blaktron, Boost, CMF, Fire Boltt, Fitbit, Haylou, Yolo, Honor, Howear, Imilab, Infinix, Itel, Joyroom, Kieselect, LDNIO, Lenovo, Mibro, Miniso, Nordic, Oppo, Oraimo, Realme, Redmi, Sveston, Tozo, Vivo, Wiwu, and Xiaomi. Category B includes Dany, Faster, Login, Ronin, and Zero, while Category C consists of all other low end wearable brands being imported into the country.
FBR has clarified that premium wearable brands including Apple, Samsung, Huawei, Garmin, and Google will not be covered under the newly notified customs values. Instead, these products will be assessed separately by collectorates under Section 25 of the Customs Act at values higher than those assigned to Category A brands. The ruling further states that if an importer declares an invoice value higher than the notified customs value, then duties and taxes will be charged on the higher declared amount. In addition, customs authorities will include the difference between air freight and sea freight charges in the assessable value for taxation when goods are imported through air shipments. The revised valuation is expected to impact import costs for wearable technology products in Pakistan while strengthening customs monitoring of gadget imports entering the local market.
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