Like most industries, the local automotive industry is struggling due to the ongoing economic crisis. In a recent development, Toyota Indus Motor Company (IMC) has decided to suspend vehicle production for the second time this year.
The company will observe four non-production days (NPDs) from March 24, 2023, to March 27, 2023. Furthermore, starting from March 28, 2023, the company will continue with single-shift production due to limited stock.
The official notification is as follows:
A relentless economic crisis has ravaged the Pakistani car industry in the past few months, stunting various operations including vehicle sales and production.
Last week, Pakistan’s biggest truck maker, Hinopak Motors Limited, informed the Pakistan Stock Exchange (PSX) that it will shut down its manufacturing plant for 12 days. The shutdown will continue from March 24 till April 4.
Foreign exchange shortages and parts supply problems are suffocating the automobile industry. Car sales slumped once again last month due to diminished production and demand.
According to February’s report from Pakistan Automotive Manufacturers Association (PAMA), carmakers (association members only) collectively sold just 5,762 vehicles in February 2023, witnessing a month-over-month (MoM) decrease of 47%, but a year-over-year (YoY) decrease of 73%.
Car financing also went down for the 8th consecutive month due to diminished sales. Experts reckon that the situation will remain bleak for the foreseeable future.
