KARACHI: Pakistan car sales have dropped by 38 per cent during first half of the current fiscal year 2022-2023 due to non-production days due to shortage of raw material because of import restrictions.
(more…)Tag: Pakistan Auto Manufacturers Association
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Pakistan car sales surge 54 per cent in FY22
KARACHI: Pakistan car sales have surged by 54 per cent in fiscal year 2021/2022, according to data released on Friday.
The car sales – as reported by Pakistan Auto Manufacturers Association (PAMA) on Friday – increased to 279,267 units in the fiscal year 2021/2022 as compared with 181,397 units in the preceding year.
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The rise in sales of domestically manufactured cars has been attributed to economic recovery and lower interest rate during the year.
Analysts at Topline Securities said Pakistan car sales (including sales of Non-PAMA members) clocked in at 33k units up by 24 per cent MoM primarily due to resolution of production issues and higher working days as compared to May-2022 due to Eid-ul-Fitr holidays. The same is up by 106 per cent YoY.
This takes FY22 car sales to 279,267 units up by 54 per cent YoY led by economic recovery and low interest rates.
READ MORE: Honda Motors to start pre-orders of ZR-V SUV by September 2022
Pak Suzuki (PSMC) and Hyundai Nishat recorded highest ever monthly sales of 16,009 units and 1,871 units in June 2022.
PSMC sales was up 31 per cent MoM in June 2022. All variant of company reported increase in a range of 37-94 per cent on MoM basis except for Wagon-R and Swift where sales were down by 5 per cent MoM and 4 per cent MoM respectively.
Similarly, Hyundai Nishat’s sales was up 9 per cent MoM led by increase in sales of Tucson 897 units (+40 per cent MoM) and Porter 283 units (+268 per cent MoM).
Indus Motors (INDU) posted increase of 7 per cent MoM to 6,309 units due to increase in sales of Corrolla & Yaris 4,453 units (+4 per cent MoM). Honda Atlas Car (HCAR) also recorded increase of 34 per cent MoM to 3,903 units in June 2022 led by increase in sales of City & Civic by 18 per cent MoM.
READ MORE: New tax rates on car registration from July 01, 2022
Amongst Tractors, Millat Tractors (MTL) recorded increase of 75 per cent MoM to 4,389 units and Al Ghazi Tractors (AGTL) of 3,201 units up 33 per cent MoM. This takes total tractor industry sales to 59k units, up 16 per cent YoY in FY22.
Pakistan bike sales were down by 4 per cent MoM and 9 per cent YoY in June 2022. This takes FY22 bike sales to 1.8mn units, down 4 per cent YoY.
Trucks & Buses sales were up 21 per cent MoM and 45 per cent YoY to 589 units in June 2022. This takes full year FY22 sales to 6,498 units, up 49 per cent YoY led by increased transportation activity.
READ MORE: SBP makes permission mandatory for motor car import
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Car sales surge by 53% in nine months despite rupee fall
KARACHI: Sales of locally manufactured / assembled motor cars have registered 53 per cent growth during first nine months (July – March) 2021/2022 of the current fiscal year despite massive depreciation in rupee value.
According to data released by Pakistan Auto Manufacturers Association (PAMA), the sales of locally assembled cars increased to 205,469 units during the first nine months of the current fiscal year as compared with 134,718 units in the corresponding months of the last fiscal year.
READ MORE: Investigation into high car prices in Pakistan ordered
The sales of cars grew to 27,131 units in March 2022 as compared with 21,706 units in February 2022 and 20,813 units in March 2021, showing the increase of 25 per cent and 30 per cent, respectively.
Analysts at Arif Habib Limited said that despite the ongoing political turbulence and economic uncertainty, auto sales continued depicting a positive growth.
READ MORE: Pak Suzuki Motor declares Rs2.68 billion annual profit
They further said that despite the upward revision in car prices and rising inflation, car buyers’ interest remained alive, mainly on account of: anticipation of further price hike amid massive rupee devaluation and surge in cost of production, and; greater demand for locally assembled cars given increasing cost of imported CBUs on the back of higher freight costs and commodity prices (especially steel), substantial currency depreciation, and imposition of temporary loan ban on financing of imported CBUs.
READ MORE: Rupee makes recovery to dollar for third straight day
According to data, the sale of cars below 1000 CC surged by 83 per cent to 53,241 units during first nine months of the current fiscal year as compared with 29,038 units in the same months of the last fiscal year.
The sales of cars with engine capacity up to 1000CC posted a growth of 65 per cent to 34,602 units during the period under review as compared with 20,975 units in the same period of the last fiscal year.
Meanwhile, sales of 1300CC and above recorded an increase of 35 per cent to 75,207 units as compared with 55,733 units in the corresponding period of the last fiscal year.
READ MORE: Indus Motors estimates 15% sales dip on PKR fall
The sales of Indus Motors increased by 33 per cent to 55,567 units during first nine months of the current fiscal year as compared with 42,670 units in the corresponding months of the last fiscal year.
The sales of Pak Suzuki posted 66 per cent growth to 109,419 units during July – March 2021/2022 as compared with 66,013 units in the same period of the last fiscal year.
Similarly, the sale of Honda Cars recorded 38 per cent to 30,010 units during first nine months of the current fiscal year as compared with 21,698 units in the same period of the last fiscal year.
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Pakistan’s car sales surge 56% in eight months of FY22
KARACHI: Pakistan’s car sales recorded a surge of 56 per cent during first eight months (July – February) 2021/2022, according to data released by Pakistan Auto Manufacturers Association (PAMA).
The data revealed that 178,250 cars were sold during the first eight months of the current fiscal year as compared with 113,905 units in the corresponding months of the last fiscal year.
READ MORE: Pakistan’s car sales surge 61% in 7MFY22
The sales of Pak Suzuki (PSMC) recorded an increase of 69 per cent to 94,408 units during July – February 2021/2022 as compared with 55,852 units in the corresponding period of the last fiscal year.
Similarly, Indus Motors (INDU) showed sales of 49,499 units during the period under review as compared with 35,975 units in the same period of the last year, showing an increase of 38 per cent.
READ MORE: Pakistan’s car sales up monthly highest ahead price hike
Honda Cars and Hyundai have posted growth of 42 per cent and 137 per cent, respectively during the period under review.
Analysts at Topline Securities attributed the growth in auto sales to macro recovery and single digit interest rates.
On the other hand the car sales an increase of 32 per cent to 21,664 units when compared with 16,436 units in the same month of the last year, showing an increase of 32 per cent.
READ MORE: New rates of FED on local, imported motor vehicles
The increase in MoM sales is led by Pak Suzuki (PSMC) and Hyundai Nishat. PSMC posted strong numbers registering an increase of 40 per cent MoM led by increase in sales of Alto (+86 per cent MoM) and Cultus (+44 per cent MoM).
The significant jump is due to ease of production issue compared to last month, we believe.
Hyundai Nishat sold 1,469 units in Feb-22; up significantly 2.4x MoM. Tuscon and Elantra sales were up by 5.7x and 2.9x to 774 units and 312 units respectively amid greater acceptability of the new entrants.
Honda Atlas Car (HCAR) and Indus Motors (INDU) posted decline of 32 per cent MoM each during the month of February 2022.
READ MORE: Mini-budget: Advance tax on motor vehicles doubles
The sales of motorbikes and three-wheeler recorded a decline of three per cent to 1.23 million units during July – February 2021/2022 as compared with 1.27 million units in the corresponding period of the last fiscal year.
The sales of same segment reported a decline of 12 per cent to 136,527 units in February 2022 when compared with 154,409 units in the same month of the last year.
The sales of tractors recorded six per cent increase to 33,498 units in first eight months of the current fiscal year as compared with 31,576 units. However, the same recorded a decline of 54 per cent to 2,053 units in February 2022 when compared with 4,476 units in the same month of the last year.
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Pakistan’s car sales surge 61% in 7MFY22
KARACHI: Pakistan’s car sales have registered a massive growth of 61 per cent during first seven months (July – January) 2021/2022 owing to macro-economic recovery.
The total car sales reported by Pakistan Automotive Manufacturers Association (PAMA), increased to 156,586 units during the first seven months of the current fiscal year as compared with 97,469 units in the same period of the last fiscal year.
READ MORE: Pakistan’s car sales up monthly highest ahead price hike
Analysts at Topline Securities attributed the surge in car sales to macro recovery and single digit interest rates.
Pakistan car sales (including sales of Non-PAMA members) clocked in at 24,000 units, which is down 25 per cent MoM in January 2022.
READ MORE: New rates of FED on local, imported motor vehicles
The analysts said that the decline in MoM sales is due to high base and pre-buying on anticipation of price increase by auto-assemblers. Pakistan car sales as reported by PAMA was also down 25 per cent MoM.
Pak Suzuki (PSMC) and Honda Atlas Car (HCAR) posted decline of 42 per cent and 14 per cent MoM respectively due to high base effect, and supply constraints for PSMC.
Indus Motors (INDU) sales were up 9 per cent MoM in January 2022 led by increase in Fortuner and Hilux Sales. New entrant into Pak Auto space, Hyundai Nishat sold 612 units in January 2022; down 20 per cent YoY.
READ MORE: Mini-budget: Advance tax on motor vehicles doubles
Tractor sales in January 2022 are up by 11 per cent MoM (-5 per cent YoY). Al Ghazi Tractors (AGTL) recorded increase of 66 per cent MoM and 45 per cent YoY while Millat Tractors (MTL) sales declined by 9 per cent MoM and 22 per cent YoY.
Pakistan bike sales were up 8 per cent MoM, while down 6 per cent YoY in Jan-2022. This takes 7MFY22 bike sales to 1.1mn units, down 2 per cent YoY.
Trucks & Buses sales were up 132 per cent MoM and 114 per cent YoY in Jan-2022 led by increased transportation activity.
READ MORE: Customs duty collection from imported vehicles surges by 95%
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Pakistan’s car sales up monthly highest ahead price hike
KARACHI: Pakistan’s car sales have increased by 96 per cent to 27,331 units in December 2021, which is the highest ever sale in a month, ahead of hike in prices proposed through mini-budget.
According to data released by Pakistan Auto Manufacturers Association (PAMA) on Tuesday, the total car sales grew to 27,331 units during December 2021 as compared with 13,956 units in the same month of the last year.
READ MORE: New rates of FED on local, imported motor vehicles
Analysts at Arif Habib Limited said that auto sales figures for December 2021, portrayed an increase of 96 per cent year on year (YoY) and 46 per cent month on month (MOM) to 27,331 units.
“Despite shortage of semi-conductor chips, disruption in international supply chain and booking suspension of various automobiles, the massive growth in sales volumes remained intact mainly due to: improved purchasing power amid rapid economic recovery; and consumers interest in buying cars in anticipation of price hike as cars are soon expected to be slapped with increased regulatory duty (RD) and federal excise duty (FED).”
READ MORE: Mini-budget: Advance tax on motor vehicles doubles
In below 1,000 cc, volumes are significantly up by 211 per cent YoY owing to massive surge in sales of Alto. In 1300cc and above, total sales stood at 9,955 units, increasing by 106 per cent YoY due to impressive dispatches of Civic/City, Corolla and Yaris by 188 per cent, 77 per cent and 37 per cent YoY, respectively.
Pakistan Suzuki Motors Company (PSMC) has posted growth of 104 per cent YoY in December 2021.
In December 2021, total sales significantly increased by 104 per cent YoY to 15,503 units compared to 7,594 units in December 2020. The all time high monthly sales is mainly attributable to the announcement of price increase by the PSMC which eased cost and exchange rate pressure on it to some extent and thereby lead to resumption of suspended bookings of various models.
READ MORE: Customs duty collection from imported vehicles surges by 95%
Dissecting the numbers, Alto, Wagon R and Bolan were the major contributors to the overall growth as their sales volumes underwent a jump of 211 per cent, 205 per cent and 75 per cent YoY, respectively. An upward momentum in sales growth of 82 per cent was also observed on MoM basis.
The sales of Indus Motors (INDU) jumped by 55 per cent YoY in December 2021 due to robust demand of high end cars at the back of rapid economic recovery coupled with improved purchasing power.
During December 2021, the sales of Honda Cars witnessed growth in sales volume by 167 per cent and 56 per cent MoM to 4,708 units with Civic/city sales increased by 188 per cent YoY to 4,505 units. The jump in sales volumes is mainly attributable to shifting of cost pressure to end consumers through price hike and increased consumers interest in buying cars at the back of anticipation of price hike as cars are soon expected to be increase after approval of mini-budget.
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Pakistan’s car sales fall 11% on rising financing cost
KARACHI: Pakistan’s car sales have declined 11 per cent Month on Month (MoM) to 18,714 units in November 2021, according to data released by Pakistan Automotive Manufacturers Association (PAMA).
The fall in car sales has been attributed to rising financing cost after monetary policy tightening by the State Bank of Pakistan (SBP). The SBP on November 19, 2021 increased the policy rate by 150 basis points to 8.75 per cent.
However, the total number of car sales including Non-PAMA members was at about 23,900 units, down five per cent, according to analysts at Topline Securities.
The analysts said that this is the second consecutive month where sales have witnessed a MoM decline.
They are now down by 25 per cent from their peak sales in July 2021.
They attribute this to rising financing rates, stringent financing requirements by SBP and year end phenomenon where car sales generally slow down.
On Year on Year (YoY) basis, car sales grew by 29 per cent YoY in November 2021 on the back of low base effect. In July – November of the current fiscal year, car sales are up 65 per cent YoY to 108,625 units.
Honda Car (HCAR) reported a 13 per cent MoM increase, mainly due to low base where the company sold only 7 units of BRV last month. Hyundai Nishat and Pak Suzuki Motors (PSMC) reported sales decline of 30 per cent and 17 per cent, respectively.
Along with the above mentioned factors, increasing competition from new players including KIA Motors, MG Motors and Changan are impacting the market share of listed auto assemblers.
Pakistan bike sales were down 7 per cent MoM to 166,630 units in Nov 2021. Atlas Honda (ATLH) sales were up 3 per cent MoM and 19 per cent YoY.
Pakistan tractor sales were down 14 per cent MoM while Trucks/Buses sales were up 10 per cent MoM.
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Pakistan’s car sales declines by 6% in October
KARACHI: Pakistan car sales have come down 6 per cent Month on Month (MoM) in October 2021, reaching 21,000 units, as reported by Pakistan Automotive Manufacturers Association (PAMA) on Thursday.
Pakistan car sales (including KIA) clocked in at 24,000 units in October 2021, down 4 per cent MoM.
Analysts at Topline Securities said that Pak Suzuki (PSMC) had stopped booking of certain variants of Cultus and Alto models due to supply side constraints which had an impact on its overall sales during the month.
Honda Car (HCAR) also witnessed lower MoM sales due to rising competition and anticipated launch of KIA Stonic.
Sales of HCAR and PSMC were down 27 per cent and 8 per cent MoM, respectively. Indus Motors (INDU) continued to post strong growth growing by 10 per cent MoM. Hyundai Nishat also recorded 10 per cent MoM increase in car sales.
With stringent regulation on car financing by SBP and rising interest rates, car sales can slow down further going forward.
On YoY basis, car sales improved by 49 per cent YoY driven by PSMC and INDU sales which were up 69 per cent and 26 per cent, respectively. In 4MFY22, car sales increased by 75 per cent YoY to 90k units primarily due to low base and macro recovery.
Pakistan bike sales as reported by PAMA were up 14 per cent MoM and 1 per cent YoY to 177k units in Oct 2021 where Atlas Honda (ATLH) recorded growth of 14 per cent MoM and 8 per cent YoY.
Pakistan tractor sales posted growth of 22 per cent MoM and 19 per cent YoY, reporting sales of 5k units during Oct 2021. Trucks & buses sales were down 5 per cent MoM and up 32 per cent YoY.
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Car sales surge by 58% in September 2021
KARACHI: The sales of locally assembled / manufactured cars witnessed a growth of 58 per cent in September 2021 due to lower tax rates and rise in auto financing.
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Car sales sharply increase by 114% on tax cuts
KARACHI: The car sales posted a sharp rise of 114 per cent in July 2021 owing to tax cuts announced in the Finance Act, 2021.
The car sales increased to 24,918 units in July 2021 as compared with 11,659 units in the same month of the last year.
Analysts at Topline Securities said that the sharp increase in car sales might be attributed to tax incentives announced through the Finance Act, 2021.
The analysts said that the sales was around 27K, including non-member Lucky Motor Corporation i.e. KIA.
As reported by Pakistan Automotive Manufacturers Association (PAMA), car sales have increased by 114 per cent YoY to 24,918 units where the volumetric increase was mostly led by Pak Suzuki Motor Company (PSMC) and Indus Motor (INDU).
To recall, the government had announced reliefs and tax-cuts in the federal budget which resulted in reduction in car prices across the board.
As a result, customers had held back there purchases till July 2021.
PSMC volumes are up by 197 per cent MoM to 15,181 units. INDU registered an increase of 48 per cent MoM to 6,715 units.
However, HCAR sales were on the lower side with a decline of 30 per cent MoM largely due to the anticipated roll out of new model of Honda City.
On the new-entrants front, Hyundai Nishat registered 4 per cent MoM increase to 627 units with the inclusion of its new model “Sonata”.
Lucky Motor Corporation sold around 1,600 to 1,800 units in July-2021, which are similar volumes to the prior month.