Local automobile sales have suffered a slight decline in the first 8 months of the current fiscal year 2017.
Sales this year stood at 138,103 units in the first 8 months of current fiscal year (July 2016 to February 2017) compared with 149,311 automobiles sold in the same period in the previous fiscal year. This information was shared by Pakistan Automotive Manufacturers Association (PAMA).
Topline Securities, an analyst firm, stated that car sales are expected to reach 270,000 in the current financial year. This includes 60,000 imported cars.
Sales in the month of February, however, were as per expectations. The sales declined by 6% on a month-on-month basis in February 2017 (the average decline recorded in the last 5 years was at 8% average, month-on-month). The reason for this decline was due to the lesser number of days in February compared with January.
Pak Suzuki Going Strong
The sales volume of Pak Suzuki Motor Company remained strong (not including the taxi scheme) with Wagon-R and Bolan recording strong sales in the first eight months of the current fiscal year.
Wagon-R in particular sold strongly despite an increase in prices with 1,638 units sold.
Indus Motors suffered losses in the first eight months and this was due to operational issues. Sales for Toyota Fortuner went up to 237 units sold in February 2017 (an increase of 6.6 times compared with February 2016).
Honda Not Far Behind
Honda Car’s sales increased with the company recently launching bookings for the Honda BR-V SUV with 2000 cars booked already.
Tractor sales also saw a significant rise in sales with an 80% increase in the first eight months of FY 2017 compared with the same period in FY 2016. The sales are expected to increase further due to falling prices (less GST) and a better crop yield overall.