The Directorate General of Customs Valuation, Karachi, has revised the customs value for stainless steel cutlery sets (low-end/unpopular brands) and imported aluminum utensils from China. This revision aims to ensure accurate assessment of duties and taxes.
In this regard, the Directorate has issued two valuation rulings: Ruling No. 1985 for stainless steel cutlery sets and Ruling No. 1987 of 2025 for aluminum utensils.
Revised Customs Values
- The customs value for stainless steel cutlery sets (low-end/unpopular brands) has been set at USD 6.65 per kilogram.
- For imported aluminum utensils, different categories have been assigned separate customs values:
- Non-stick kitchenware (with or without lids): USD 6.25 per kilogram.
- Plain/anodized aluminum cooking ware: USD 4.37 per kilogram.
- If these items are imported with glass lids, the value of the glass lid will be determined separately as per the relevant valuation ruling.
Background and Justification for the Revision
According to Valuation Ruling No. 1985, the customs value of stainless steel cutlery sets (low-end/unpopular brands) was previously determined under Valuation Ruling No. 1108/2017. As this ruling is now over seven years old, the Directorate has initiated a re-evaluation process under Section 25A of the Customs Act, 1969.
A stakeholders’ meeting was scheduled for February 19, 2024, but no stakeholders attended. Since the previous valuation ruling is over seven years old, the Directorate proceeded with reassessing customs values based on current international and local market prices.
The valuation methods outlined in Section 25 of the Customs Act, 1969, were applied in sequential order. The transaction value method under sub-section (1) of Section 25 was found inapplicable as the declared values did not align with market prices.
Similarly, the customs values determined using the comparable goods method under sub-sections (5) and (6) of Section 25 were deemed unreliable due to the lack of verifiable evidence regarding trade levels, quantities, and quality.
As a result, under sub-section (7) of Section 25, a market inquiry was conducted to determine the fair customs value of the imported goods. Surveys of various wholesale and retail markets were carried out, and actual market prices were collected. These prices were adjusted for profit margins to establish the final customs values.
Revised Valuation for Aluminum Utensils
Similarly, under Ruling No. 1987 of 2025, the customs valuation of aluminum utensils, which was previously determined under Valuation Ruling No. 1201/2017, has now been reassessed. Given that the previous valuation ruling was also over seven years old, the Directorate initiated a re-evaluation process under Section 25A of the Customs Act, 1969.
Stakeholders’ meetings were scheduled, but no stakeholders attended. Consequently, the Directorate proceeded with reassessing the customs values in light of current market conditions at both the international and local levels.
The decision further states that the customs value of aluminum utensils has been determined under Section 25(7) of the Customs Act, 1969.
These revised valuations ensure that customs duties and taxes are assessed accurately, reflecting current market prices and preventing undervaluation of imported goods.
