The car was spotted by locals in Farfal village last night following which they gave it a chase, Pathankot Senior Superintendent of Police Rakesh Kaushal said, adding the occupants of the car then locked the vehicle and fled.
Police launched a hunt for the occupants.
After the investigation, Kaushal ruled out terrorist angle and said "nothing suspicious" was found from the car after it was opened by police.
"Investigations revealed that Mustaba is a notorious smuggler," he said.
"It seems the car was being used for smuggling purpose," he said, adding Punjab police had got in touch with its counterpart in Jammu and Kashmir in this regard.
On January one, four heavily-armed terrorists struck at Airbase here.