Pakistan’s local auto-manufacturing market is on a roll as the industry saw a 20% increase in sales from last year.
The increasing success of the local market is due to a change in the procedure of getting imported cars.
Just last year in October, the import procedure and taxes were changed for both new and used cars which led to a decrease in their levels.
Statistics of Locally Assembled Car Sales
Pakistan Automobile Manufacturers Association (PAMA) released the sales data for cars in December. Here are some of its main findings:
- Sales of locally assembled automobiles increased to 19,237 units in December. Last year during the same month 16,042 units were sold. These figures also include jeeps and light commercial vehicles.
- Overall during the first half of current fiscal year, 124,138 units were sold as compared to last year’s 97,533 units (27% increase).
Ride-hailing services like Uber and Careem also contributed to the increased demand of cars. Suzuki benefited most from it as the company remains popular for its smaller-engine units.
The local market imports smaller-engine segments, therefore a decrease in their imports meant that Suzuki’s market share rose.
Suzuki’s sales went up by 29% year-on-year from last fiscal year. Suzuki’s low and medium priced models contributed most to the company’s growth. Mehran sales increased 22% from last year, sales of WagonR were up by a huge 100% from last year. Cultus which was somewhat criticized also managed to rack up 15% more sales from last year.
During the first six months of current fiscal year Suzuki’s sales went up by 32% from last year during the same time span. Suzuki has already sold 69,224 units this fiscal year.
Toyota Pakistan was last among top 3 auto manufacturers of Pakistan in terms of sales. Indus Motors is currently facing a bit of crisis because of its limited capacity constraints.
Year-on-Year sales of Toyota went down by 3% while month-on-month declined by a huge 14%. Overall during the year, Toyota managed a 6% sales growth from last year.
Honda has had a steady year so far. Their car sales stood at 3,213 units for the month of December up 33% from last year.
However sales declined by 28% month-on-month due to heavy demand of Honda models.
Honda introduced new Civic, City and BR-V models which quickly became popular in public making company’s sale increase by 50% during first six months of current fiscal year. Honda has sold a total of 24,780 units so far during fiscal year 2017-18.