Pakistan car sales climb up by 50% in 11 months

Pakistan car sales climb up by 50% in 11 months

KARACHI: The sales of locally assembled cars in Pakistan have surged by 50 per cent during 11 months (July – May) of 2021/2022 as compared with the same period of the last fiscal year, according to data released on Monday.

The car sales climbed up to 250,888 units in first 11 months of the current fiscal year as compared with 167,647 units in the corresponding months of the last fiscal year.

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Analysts believed the surge in sales of locally assembled cars in 11 months to macroeconomic recovery.

Pakistan car sales (including sales of Non-PAMA members) clocked in at 27000 units, which is almost flat Month on Month (MoM) in May 2022 amid higher car prices, and Eid holidays at the start of month. The same is up by 46 per cent YoY.

Analysts at Topline Securities believe economic slowdown, increase in interest rates and further tightening of financing requirements by SBP will significantly impact car sales moving ahead.

READ MORE: Pakistan allows conditional import of CBU vehicles

Hyundai Nishat posted strong numbers registering an increase of 33 per cent MoM led by increase in sales of Elantra (+148 per cent MoM) and Sonata (+37 per cent MoM).

Honda Atlas Car (HCAR) recorded second highest increase of 11 per cent MoM to 2,910 units in May-2022 led by increase in sales of City & Civic by 18 per cent MoM. Similarly, Indus Motors (INDU) also posted increase of 2 per cent MoM due to increase in sales of Corrolla & Yaris by 4 per cent MoM.

Pak Suzuki (PSMC) was the only player which reported decline of 3 per cent MoM to 12,212 units in May-2022. All variant of company reported decline on MoM basis except for Wagon-R and Alto where sales were up by 24 per cent MoMand 9 per cent MoM respectively.

READ MORE: Honda Cars declares 40% surge in annual profit

Amongst Tractors, Millat Tractors (MTL) recorded increase of 12 per cent MoM while Al Ghazi Tractors (AGTL) recorded decline of 8 per cent MoM.

Pakistan bike sales were down by 2 per cent MoM while remained flat on YoY in May-2022. This takes 11MFY22 bike sales to 1.7mn units, down 4 per cent YoY.

Trucks & Buses sales were up 3 per cent MoM and 23 per cent YoY in May-2022. This takes 11MFY22 sales to 5,909 units, up 50 per cent YoY led by increased transportation activity.

READ MORE: SBP cuts car loan tenure to three years

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