Late in 2017, the Pakistani Rupee was steady at Rs. 104 against the US dollar in the open market but over the last 18 months, the Rupee has plunged to a record low of Rs. 160 against one US dollar.
The substantial depreciation of the Pak Rupee has led to multiple price increases in the case of vehicles as their prices in Pakistan have been changed 5-8 times by multiple automakers during this timeframe.
This, along with added duties and taxes in the latest financial budget, has pushed the prices of cars to an impractical region, badly damaging the sales of cars in the country. The sector showed a slowdown in sales which fell by 8% to 237,950 units in the fiscal year 2019. This is also the first time after 6 years that vehicles sales in Pakistan fell.
On average, prices have increased by 40% in the last 18 months. The table below shows the prices of locally assembled cars to help shed light on the massive change in these prices.
|Car||December 2017||July 2019||Price Difference %|
|FAW X-PV Dual A/C||919,000||1,174,000||27.74%|
|FAW X-PV Dual Standard||869,000||1,114,000||28.19%|
|Honda City 1.3 M/T||1,549,000||2,309,000||49.06%|
|Honda City 1.3 P/T||1,689,000||2,489,000||47.36%|
|Honda City 1.5 M/T||1,599,000||2,369,000||48.15%|
|Honda City 1.5 P/T||1,739,000||2,539,000||46.03%|
|Honda City 1.5 Aspire M/T||1,729,000||2,539,000||46.84%|
|Honda City 1.5 Aspire P/T||1,869,000||2,699,000||44.40%|
|Honda Civic 1.8 CVT||2,349,000||3,499,000||48.95%|
|Honda Civic 1.8 CVT Oriel||2,499,000||3,749,000||50.02%|
|Honda BR-V CVT||2,229,000||2,949,000||32.30%|
|Honda BR-V CVT-S||2,329,000||3,099,000||33.06%|
|Toyota Corolla 1.3 XLi||1,759,000||2,499,000||42.06%|
|Toyota Corolla 1.3 GLi M/T||1,889,000||2,749,000||45.52%|
|Toyota Corolla 1.3 GLi A/T||1,964,000||2,849,000||45.06%|
|Toyota Corolla 1.6 Altis||2,149,000||3,149,000||46.53%|
|Toyota Corolla 1.8 Altis M/T||2,224,000||3,299,000||48.33%|
|Toyota Corolla 1.8 Altis CVT||2,349,000||3,449,000||46.82%|
|Toyota Corolla 1.8 Altis Grande M/T||2,399,000||3,499,000||45.85%|
|Toyota Corolla 1.8 Altis Grande CVT||2,549,000||3,699,000||45.11%|
|Toyota Fortuner 2.7 Petrol||5,399,000||7,999,000||48.15%|
|Toyota Fortuner 2.8 Diesel||5,899,000||8,649,000||46.61%|
|Toyota Hilux Revo 2.8 V||4,649,000||6,249,000||34.41%|
|Toyota Hilux Revo 2.8 G M/T||4,124,000||5,599,000||35.76%|
|Toyota Hilux Revo 2.8 G A/T||4,349,000||5,899,000||35.64%|
|Suzuki Mehran VX||679,000||839,000||23.56%|
|Suzuki Mehran VXR||732,000||923,000||26.09%|
|Suzuki WagonR VXR||1,054,000||1,540,000||46.11%|
|Suzuki WagonR VXL||1,094,000||1,625,000||48.53%|
|Suzuki Cultus VXR||1,250,000||1,745,000||39.59%|
|Suzuki Cultus VXL||1,391,000||1,855,000||33.35%|
|Suzuki Cultus VXL AGS||1,528,000||1,975,000||29.25%|
|Suzuki Swift DLX M/T||1,327,000||1,905,000||43.55%|
|Suzuki Swift DLX A/T||1,463,000||2,050,000||40.10%|
Previously, the auto industry had projected an increase in sales to 0.3 million units by 2021 and 0.5milion units by 2022 but from the recent outlook, the sector is adrift from achieving this goal.