ISLAMABAD: The federal government has initiated talks with trade bodies following the announcement of a countrywide wheel-jam strike by the Karachi business community and transporters on July 19. The strike protests against certain measures introduced in the Finance Act 2025.
Finance Minister Muhammad Aurangzeb reached out to representatives from various chambers of commerce and trade associations, inviting them to a meeting scheduled for July 11. This follows concerns raised by the Karachi Chamber of Commerce and Industry (KCCI) and the Goods Carrier Association about the impact of the new budgetary provisions.
The strike call, led by KCCI President Javed Bilwani and Goods Carrier Association head Malik Shahzad Awan, is in response to provisions in the Finance Act, specifically Sections 37A and 37B, which they argue give the Federal Board of Revenue (FBR) excessive powers. The opposition also includes a clause imposing penalties on cash transactions above Rs200,000 and the mandatory introduction of digital invoicing.
In a press conference, Malik Shahzad Awan confirmed the participation of all transporters in the planned strike and warned that it would continue until the government addresses their concerns. “We are prepared for a longer-duration strike,” Awan added.
The Finance Minister, in his address at the Overseas Investors Chamber of Commerce and Industry (OICCI) in Karachi, dismissed these concerns as “propaganda” designed to undermine the efforts to combat large-scale sales tax fraud. He explained that the new regulations focus on cases involving tax evasion exceeding Rs50 million and do not affect small businesses. Aurangzeb reassured the chambers of commerce that their concerns would be heard and clarified in the upcoming meeting.
Bilwani, however, emphasized that the KCCI’s demands were not being adequately addressed. He called for the immediate suspension of the controversial sections in the Finance Act and the restoration of the Final Tax Regime for exporters.
“We will not postpone the strike until these demands are fully accepted,” Bilwani stated, underscoring the unity of the business community in their opposition to the new measures.
While efforts for dialogue continue, KCCI members remain firm in their stance, with over 50 business associations nationwide expressing solidarity with the protest.
