Atlas Honda has increased prices of its two-wheelers for the third in the past six months. The undisputed leader of the motorcycle market jacked up the prices by Rs 900 to Rs 2,000 which will come into effect immediately.
The company cited the recent rupee depreciation against the dollar as the reason behind the price hike. The motorcycles are assembled locally, however, most parts are imported and as the rupee’s value falls down, the import bill increases. The company told that it passed down the increase in import bill to the customers.
According to Pakistan Bureau of Statistics, the company imported $87 million worth of semi-and completely-knocked down kits during July-April 2017-18. The figure stood at $73 million a year before that, recording an increase of 19.5%.
Some sources also tell that Honda is taking advantage of the situation to make more profit as sales are at their highest point ever while the value of rupee deteriorated just a few days ago and will take a few more weeks to impact the auto industry.
After the price hike, the models will be sold at following prices:
- CD-70: Rs 64,900.
- CD Dream: Rs 68,900.
- Pridor: Rs 89,900.
- CB150F: Rs 167,000.
The company saw a huge increase in sales over the course of last one year. Atlas Honda sold 1.058 million units from July to May of the fiscal year 2017-18 against last year’s sales of 888,640 units in the same time period.
Last month, the company also announced to increase the capacity of its assembly plant to 1.5 million units a year with a $15 million investment.