Due to the ongoing economic crisis, Pak Suzuki Motor Company (PSMC) is once more in a difficult situation. Due to a lack of inventory, the company has decided to suspend motorcycle assembly for 5 days.
The official notification states that the motorcycle assembly will be suspended from June 12 to June 16. With the dollar rate in a topsy-tervy state once again, Suzuki may increase the bike prices following the resumption of production.
Car and bike production may continue to suffer due to a substanceless 2023-24 fiscal budget for the car industry. The official budget document available with ProPakistani states that the government has imposed a massive customs duty (CD) on the import of several car components.
The government has set a 35% CD on the import of car components. The same rate has been applied to all auto parts regardless of how basic or complex they are.
The taxes on such basic components are likely to act as deterrents in car price control or reduction. For the parts importers, the high CD is likely to be a grave challenge.
