Suppressing Competition: Local Carmakers Get Stay Order Against New Auto Policy

If you thought it was a matter of time before you could buy a car from a new automobile manufacturer, get ready to be shocked. Indus Motors (Toyota) and Pak Suzuki Motors have challenged the new auto policy by going to the Sindh High Court. The court has approved a stay order against the implementation of the auto policy.

Pak Suzuki Motors, Toyota Indus Motors and Honda Atlas Cars have had exclusive control over the Pakistani automobile market and they have been selling cars with poor quality while charging 50% more than what their cars cost around the world. With the stay order in their favor, it is clear that these automakers are still not ready to build technologically advanced cars at cheaper prices, even though they can afford to do it.

Read More: Pathetic Build Quality of Honda Civic 2016

The new auto policy also included guidelines on timely delivery of vehicles to customers, setup for the development and enforcement of safety regulations, pre-installation of immobilisers in all vehicles to prevent car theft and a product recall clause, similar to the rest of the world, which forces the car manufacturers to recall cars in case of manufacturing defects in the design. The new policy also required buyers to pay half the amount upfront instead of the full amount when booking a new car.

The new auto policy is key to breaking the monopoly that these car manufacturers have in Pakistan. It offers incentives to new comers and the others who had left the Pakistani market some years ago.

According to the officials, Toyota, Honda and Suzuki were to install immobilisers in their Corolla XLI, City, Cultus and Mehran cars. However, they have refused to do so arguing that they were given a very small amount of time and require up to one year for this task.

Read More: Everything You Need to Know About the New Auto Policy

Suzuki has argued that they are going to phase out Mehran cars that is why they cannot invest in immobilisers for the vehicle. But they would launch the feature in the new cars they release.

The car manufacturers were also forced to deliver cars within two months or offer discounts to the customers at the rate of Kibor plus 2% when delivering the vehicle. Clearly aimed at preventing long wait times. Previously, customers used to be charged extra at the time of delivery even after paying the full amount in advance, citing that the car’s price has been increased.

The new auto policy was aimed at making the automobile market more lucrative and offering a better customer experience to the buyers. However, the current automakers seem to be adamant that they wont change their ways any time soon and the Sindh court has sided with them.

He is the Editor at ProPakistani.


  • Abu Zaid

    Charging premium is norm at Auto Dealers. If you want ‘Zero Meter’, you have to pay extra.

    • Mohib Alvi

      I believe, you are an Auto dealer yourself.
      No sane person can comment like you.

    • Mian jee

      Sir, you are an idiot. Or a PML-N voter. Or may be both.

      • ranasrule

        Being a PML-N voter is the same as being an idiot

        • KaKa

          Haha you nailed it. I wonder if he feels any shame after reading this conversation :D

          • TRUTH

            @ KaKa, I doubt it. Abu Zaid is probably an insane car dealer with thick skull/mind so wont budge.

    • Muhammad Yasir

      one word for you : JACKASS

    • Foxhound

      You sir are a Nincompoop

  • Mohib Alvi

    Why people are not taking interest in this important matter? Everything gets a stay in Pakistan and then forgotten.

    • Shower

      Even in General Elections :-P
      NA 125, NA – 110 and a lot more :-P

  • The person in court seems to be running a side business. At first we don’t have policies and policy makers, however, if someone comes up with policy the system wastes no minute to put a hold on it.

  • disqus_K9Rpm3bs5y

    This is insane! The world is moving ahead and these people want us to drive garbage vehicles using old technology.

  • Sporty man

    Pese dye honge judge ko is lye stay order de dya hoga .

  • Waqas

    What was the reason for this “stay order”? What’s wrong court see in new auto policy and issued a stay order?

    • akhtarmir

      Reason my dear is greed of these 3 car manufacturers. Thats why people are buying imported used cars. The last resort is Judiciary to survive for greed. Inshaallah this time they will fail. The case will be disposed off in peoples favor
      ..

      • LootMaarKaro

        Monopoly

  • Kazim

    Money Talks.

  • noman

    F**K off sindh High court
    protecting monopolies

    • Truth

      Jab koi sahi kaam shuru ho . Sondh high court stay order de deti hai . Like they did in ramdan against PEMRA when PEMRA banned geo tv Ramdan prog of Aamir liaqat.
      Sindh high court please dont do it again. Kisi ko apna sahi kaam kernay se na rokain.

  • Muhammad Yasir

    wtf is this shit ?!

    and for once we thought something was going to improve in this blighted region !

    CANNOT BELIEVE THAT A GOVT AGENCY (Sindh High Court) IS SIDING WITH MONOPOLISTS … AGAINST A POLICY WHICH IS DESIGNED BY THE GOVT ITSELF !

    can any sane person make sense of the BS going on in this country ?!

  • Muhammad Yasir

    wtf is this UTTER CRAP ?!

    and for once we thought something was going to improve in this blighted region !

    CANNOT BELIEVE THAT A GOVT AGENCY (Sindh High Court) IS SIDING WITH
    MONOPOLISTS who are sucking the country dry … AGAINST A POLICY WHICH IS DESIGNED BY THE GOVT ITSELF !

    WTAF IS THIS !

    can any sane person make sense of the BS going on in this country ?!

  • mar222184

    I guess not many judges have learnt from the lesson of that judge whose son was kidnapped by his own “friends” he had provided services to at many instances.