I don’t understand your rational behind point # 2. All the cars that are imported is for domestic use. Though they may sit on the sellers site for a while they will get snapped up by a local buyer at some point. It’s not like they have a shelf life and get shipped back or destroyed. If the government is to stem the flow of imports only option is to make them unattractive to potential buyers in the form of tax/duty hike. Another option may be to introduce a permit/license (per car) at a cost to import a car. Or increase the license, registration, insurance etc fees and funnel that money into infrastructure and public transportation improvements. Latter option will of course effect pretty much all the cars in the country but on the plus side there will only be a need for a smaller increase.
Bottom line is amount of cars pouring in to this country far out phase the rate of infrastructure development and there’s no other option but to stem the flow (atleast till the infrastructure catches up). This should effect everyone from a Maruti buyer (though I would personnel like to see the lower middle class upgrade from a 2/3 wheeler to a 4) to the BMW buyer. Similar schemes are in operation in other developed countries.
I find most of the responses here regarding this matter to be somewhat self-centered. You have a group of people (car owners of course) who want to see a cut in imports because of the traffic situation and then you have a group who has realized there is a problem but still would like the option to buy decent car for a reasonable price (have the cake and eat it too situation).
As some of you have already mentioned unless you sold your car weeks leading up to this fiasco and do not own a car right now, there no need to panic and start buying one. Unless you have “Sumanadasa’s” power of foresight best is to wait till the budget is tabled. My view is if there is a significant tax increase during the budget it’ll be short term (as in 3 -5 years) till the economy picks up. I won’t be surprised if the policymakers adopt some short term austerity measures.