Automobile Industry – FY20 worst in a decade for auto assemblers

July 13, 2020 (MLN): The sale of passenger cars during FY20 was recorded at 96,455 units against a total production of 94,325 units, which is around 53.5 percent lower as compared to the 207,630 units sold in the last year. 

According to a monthly report released by Pakistan Automotive Manufacturer's Association (PAMA), the overall sales during the month of June 2020 stood at 7,325 units against an overall production of 5,041 units, which is around 92.8 percent higher than the sales of the previous month and 50.4 percent lower than the sale recorded in the same month of the previous year

A research report by EFG Hermes has pointed our sharp improvement in monthly momentum, due to the lifting of lockdown and resumption of production across several auto companies. The volumetric sale figures were, however, still below pre-COVID-19 levels.

However, the yearly performance turned out to be disastrous due to a number of factors including currency depreciation, higher interest rates, and, an increase in Federal Excise Duty. Moreover, incessant hike in prices along with a slowdown in car financing owing to higher interest rates took a deeper toll on the annual sales.

The Maximum number of sales were made within the '1300 cc and Above' category at 39,386 units. Within this category, Toyota Corolla recorded the highest sales at 22,140 units, followed by Honda Cars and Suzuki Swift which sold 14,091 and 1,327 units, respectively. The newly launched Toyota Yaris saw a cumulative sale of 1,327 units within the two months of its launch.

The second-highest number of sales were made within the 'Below 1000cc' category at 37,778 units. Within this category, Suzuki Alto recorded the highest sales at 30,916 units, followed by Suzuki Bolan and Suzuki Mehran that sold 5,159 and 1,703 units, respectively.

On the contrary, the '1000 cc' category witnessed a sale of 19,291 units during the month. wherein Suzuki Cultus recorded the highest sales at 12,307 units, followed by Suzuki WagonR that sold 6,984 units.

The total number of trucks sold during the year stood at 3,088 units, which translates into a decline of 47 percent as compared to the previous year. Isuzu emerged as the best-selling truck, with sales of around 1,582 units during the year, with Hino following the lead with sales of 1,038 units.

The overall sale of buses was recorded at 559 units, which signifies a decline of 40.2 percent as compared to the previous year. Within this segment, Hino made the maximum sales at 262 units, while Master took the second spot by selling around 177 units during the period under review.

Copyright Mettis Link News

Posted on: 2020-07-13T19:03:00+05:00

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