FBR Revises Customs Values for Imported Smartwatches, Bands, and Rings

The Federal Board of Revenue (FBR) has revised customs values for imported smartwatches, smart bands, and smart rings in an effort to curb under-invoicing and prevent revenue losses.

The updated values were 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 origins.

According to the ruling, customs authorities found that smart wearable devices were being under-invoiced at the import stage, leading to a loss to the national exchequer. Officials said the new valuation was finalized after reviewing import data, carrying out market inquiries, and consulting relevant stakeholders.

A meeting for the determination of customs values was held on April 7, 2026, during which importers and traders were asked to provide documentary evidence regarding prevailing market prices and import values.

Authorities examined 90 days of import data, including declared and assessed values, before finalizing the revised customs values. The ruling noted that transaction value methods, as well as valuation methods based on identical or similar goods, could not be applied because of inconsistent declarations by importers.

As a result, customs values were determined under Section 25(7) of the Customs Act, 1969.

Under the new ruling, customs values for non-GSM smartwatches have been set at $5 per piece for Category A brands, $3 for Category B brands, and $1.5 for Category C brands.

For smart bands and rings, the values have been fixed at $4.5 per piece for Category A, $2.5 for Category B, and $1.25 for Category C.

The valuation directorate has also divided wearable brands into three 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 covers Dany, Faster, Login, Ronin, and Zero, while Category C includes all other low-end brands.

The FBR has clarified that premium brands such as Apple, Samsung, Huawei, Garmin, and Google will not fall under the notified customs values.

Instead, these brands will be assessed separately by collectorates under Section 25 of the Customs Act at values higher than those notified for Category A brands.

The ruling further states that if an importer declares an invoice value higher than the notified customs value, duties and taxes will be charged on the higher declared value.

In the case of air shipments, customs authorities will also add the difference between air freight and sea freight charges while determining the assessable value for taxation.