Pak Suzuki Motor Company’s (PSMC) sales dipped massively in April due to insufficient inventory and import restrictions.
Autojournal.pk has reported that Pak Suzuki sold fewer than 1,500 units in April. Since the nationwide COVID-19 lockdowns in April 2020, during which both production and sales were at a standstill, this is among the automaker’s worst performances to date.
The report has attributed the decline to sporadic production halts and assembly kit shortages. The State Bank of Pakistan’s (SBP) reluctance to approve letters of credit (LCs) for the clearance of imported goods has also been blamed by the automakers.
Misery Across the Board
The situation is miserable across the entire car industry. Recently, Honda Atlas extended the production shutdown till May 15. The company cited disruption in the supply chain, inventory shortages due to restrictions on LCs, and the current economic crisis as the main reasons.
By the end of the latest production pause, Honda’s plant will have observed a total shutdown for two months. The frequent production pauses will likely take a heavy toll on the sales and revenue of all major carmakers.
