Karachi, March 10, 2026 – Pakistan’s auto industry has witnessed a significant rebound, with car sales rising 43% during the first eight months of the current fiscal year (July 2025–February 2026), according to the Pakistan Auto Manufacturers Association. A total of 128,498 units were sold, compared with 89,770 units during the same period last year, reflecting robust growth driven by favorable economic conditions and industry developments.
In February 2026, car sales reached 17,121 units, marking a 42% year-on-year increase, though down 26% month-on-month. The decline compared with January is attributed to the high base effect, typical January sales spikes due to new-year vehicle registrations, and fewer working days in February. Strong year-on-year growth has been supported by new market entrants, lower interest rates, easing inflation, and improved macroeconomic sentiment.
Company-wise performance:
• Sazgar Engineering (SAZEW): 1,682 units, up 90% YoY, down 16% MoM.
• Indus Motor Company (INDU): 3,817 units, up 46% YoY, down 25% MoM. Corolla, Yaris, and Cross collectively rose 70% YoY.
• Honda Atlas Cars (HCAR): 2,114 units, up 3% YoY, down 42% MoM. City & Civic sales fell 1% YoY.
• Hyundai Nishat Motors: 1,021 units, down 3% YoY but stable MoM.
• Pak Suzuki Motors (PSMC): 8,160 units, up 53% YoY, down 25% MoM.
2- and 3-wheelers: Sales reached 159,512 units in February, up 24% YoY but down 12% MoM, taking 8MFY26 cumulative sales to 1.3 million units, a 31% YoY increase. Atlas Honda’s CD70 bike sold 136,000 units (+26% YoY).
Tractors, trucks, and buses: Tractor sales grew 12% YoY to 1,717 units, while truck and bus sales surged 37% YoY to 664 units in February, though both saw month-on-month declines.
Outlook: Analysts expect positive momentum in Pakistan’s auto sector to continue in 2026, supported by lower interest rates, new hybrid and plug-in hybrid models, easing inflation, and stronger economic activity, which should bolster consumer demand in the coming months.