Despite years passing, the local car industry is still struggling. There has been much concern over the ongoing decline of Pakistan’s car industry, with no significant efforts to alleviate the situation. After a brief improvement, car sales have once again hit a low point.
Established companies like Toyota Indus Motors (IMC) and Honda Atlas are also experiencing a decrease in sales. According to the monthly report from the Pakistan Automotive Manufacturers Association (PAMA), Toyota Pakistan saw a 26% decline in sales, selling 2,036 units last month compared to 2,762 vehicles in January 2024. The company sold 1,759 units of Corolla and Yaris, as well as 277 units of Fortuner and Hilux.
IMC’s counterpart, Honda Atlas, faced a similar situation. The company’s sales dropped by 13%, reaching 1,517 units last month compared to 1,339 units in January 2024. Honda Pakistan sold 1,375 units of City and Civic, as well as 142 units of BR-V.
Interestingly, Pakistan Suzuki Motors Company (PSMC) showed a different scenario. Their sales increased by 7%, totaling 4,885 vehicles compared to 4,550 cars in January 2024.
Several factors, including price hikes, high auto financing costs, and reduced purchasing power, have collectively deterred customers from buying new cars.
Car Sales Decline by 8%
Despite a brief improvement, there has been a recent decline in car sales. According to the latest report from PAMA, there was an 8% decrease in month-on-month car sales, with 9,709 units sold in February 2024 compared to 10,536 vehicles in January 2023.
However, in a year-on-year comparison, there has been a significant 57% increase in sales. Car manufacturers sold 6,186 cars during the same period last year.
What are your thoughts on the current sales trends? Do you see any hope for improvement in the coming months? Let us know in the comments.
