Import dispute leaves over 2,000 vehicles stranded at Sri Lankan ports

Over 2,000 newly imported vehicles have been stuck at the Colombo and Hambantota ports for more than two months, creating major logistical bottlenecks for unloading incoming shipments. A recent vessel carrying additional vehicles was reportedly forced to remain docked at Hambantota Port for several days due to a lack of space caused by the growing backlog.

According to customs sources, over 1,000 of the stranded vehicles are being held because Japanese imports were brought in using Letters of Credit (LCs) issued through third-party countries—an issue that emerged on May 27 and remains unresolved. The government’s failure to provide a clear policy direction has prompted several importers to initiate legal action.

Sources also noted that demurrage charges have now reached unsustainable levels, with fees for some individual vehicles soaring to as much as Rs. 500,000. The case is scheduled to be heard in court today. Vehicle importers have warned that these mounting fees will likely be passed on to consumers, potentially driving up local market prices once the vehicles are cleared.