Car Sales in Pakistan Increased Significantly Despite the April Slowdown

Pakistan’s auto industry reported a 40% year-over-year increase in car sales during the first 10 months of FY25, reaching 111,464 units, according to data released by PAMA and analyzed by Topline Securities. However, April 2025 saw a monthly decline of 5% due to logistical disruptions.

Car Sales Overview

In April 2025, total passenger car sales stood at 10,596 units, reflecting a 1% increase from April 2024 but a 5% drop compared to March 2025. The decline was mainly due to highway closures in Sindh, which delayed vehicle deliveries.

Year-to-date (10MFY25), car sales rose sharply from 79,596 units last year to 111,464 units. Analysts attribute the growth to improved macroeconomic stability, lower interest rates, reduced inflation, better consumer sentiment, and the introduction of new models.

Company Wise Performance

• Pak Suzuki Motor Company (PSMC) reported April sales of 4,003 units, down 12% month-over-month (MoM) and 33% year-over-year (YoY). For 10MFY25, its total sales reached 39,849 units, a 30% YoY increase.
• Indus Motor Company (INDU) saw a significant 58% YoY increase in April sales to 3,259 units, though MoM sales fell 4%. Year-to-date, INDU sold 24,877 units, up 58% YoY.
• Honda Atlas Cars (HCAR) recorded 1,707 units sold in April, up 70% YoY and 20% MoM. HCAR’s 10MFY25 sales totaled 14,483 units, marking a 32% annual rise.
• Hyundai Nishat posted 900 units in April, down 5% MoM but up 18% YoY. Year-to-date sales reached 8,190 units, a 26% increase.
• Sazgar Engineering Works (SAZEW) reported the highest MoM growth among carmakers at 42%, selling 549 units in April. However, YoY figures remained flat. Cumulative sales reached 8,576 units, up 130% YoY.
• Other carmakers reported 178 units in April, down 83% MoM but up 107% YoY.

Motorbikes and Three-Wheelers

Total sales in this segment reached 135,721 units in April 2025, up 26% YoY but down 6% MoM. Year-to-date figures rose 30% to 1.23 million units.

• Atlas Honda (ATLH) led with 115,300 units in April, up 21% YoY.
• PSMC sold 1,892 units, up 12% YoY but down 21% MoM.
• SAZEW followed with 1,958 units, a 17% YoY rise.
• Other manufacturers contributed 16,571 units, a 77% increase YoY.

Tractor Sales

Tractor industry sales totaled 1,602 units in April 2025, representing a 48% decline YoY and 4% MoM. Year-to-date sales reached 24,388 units, 26% lower than last year.

• Millat Tractors sold 859 units, down 58% YoY.
• Al-Ghazi Tractors (AGTL) followed with 743 units, down 28% YoY.

The decline is attributed to weaker farm economics and reduced rural demand.

Trucks and Buses

Truck and bus sales totaled 520 units in April 2025, up 127% YoY and 13% MoM. Cumulative sales for 10MFY25 reached 3,885 units, up 85% from 2,098 units in the previous year.

• Hino sold 42 units (45% YoY growth)
• Master sold 152 units (3% YoY increase)
• JAC sold 43 units (158% YoY increase)
• Isuzu led with 283 units (129% YoY growth)

Outlook

Topline Securities expects the positive momentum in auto sales to continue through the remainder of FY25, supported by interest rate cuts, a more stable currency, and ongoing new model launches. The industry’s performance suggests an ongoing recovery driven by improved demand and macroeconomic stability.