Sri Lanka, Aug. 6 -- Sri Lanka's automotive sector is transitioning from its traditional reliance on imported vehicles toward domestic manufacturing.

The government is shifting its policy focus toward local vehicle production to generate industrial jobs, strengthen manufacturing capabilities, and retain economic value within the country.

Over 15 assembly plants currently operate in Sri Lanka under regulations requiring locally assembled vehicles to maintain a minimum of 20 percent domestic value addition, according to the Ceylon Chamber of Commerce Motor Vehicle Industry Report 2025/26.

This trend represents a strategic shift for an industry historically focused on vehicle distribution. Although imports remain essential, the emphasis o...