July 11, 2023 (MLN): The passenger car sales witnessed a significant plunge of around 81.8% YoY in June 2023, clocking in at 4,258 units compared to 23,547 units recorded in the same month last fiscal year, the latest data from the Pakistan Automotive Manufacturers Association (PAMA) showed today.

This sharp decline is attributed to higher interest rates, measures taken by regulators to curb auto imports, and cost-led price hikes.

However, on a sequential basis, the sales of cars inched up by 8.2% MoM compared to the 3,934 cars sold in May 2023.

The total production of passenger cars was recorded at 5,331 units in June 2023 down by 76.2% YoY compared to 22,410 in June 2022, on the other hand, on a monthly basis, the production has increased slightly by 4.7% MoM compared to 5,093 units.

The overall sales during FY23 were recorded at 96,812 units, which is around 58.7% lower compared to the 234,180 units sold in the corresponding period of last year.

Similarly, the production of cars also took a hit by 55% YoY as it clocked in at 96,812 units only in FY23.

This was mainly caused by the low economic activity and the high-interest rates that discouraged car financing.

The dollar shortage also affected the imports of car parts and raw materials, forcing some plants like Honda and Suzuki to shut down temporarily.

The output of Jeep, SUVs, and other vehicles also suffered from unfavorable market conditions.

The maximum number of sales was made within the 'Below 1000cc' category at 4,258 units. Within this category, Suzuki Alto recorded the highest sales at 1,913 units, followed by Suzuki Bolan which sold 262 units.

The second-highest number of sales was made within the '1300cc and Above' category at 1,654 units. Within this category, Toyota Corolla recorded the highest sales at 984 units, followed by Honda Cars (Civic & City) and Suzuki Swift which sold 227 and 278 units respectively.

On the contrary, the '1000cc and Above' category witnessed a sale of 429 units during the month.

Meanwhile, the total number of trucks sold during the month stood at 107 units, which translates into a decline of 6.1% MoM as compared to the previous month, and 77% YoY as compared to the same month of the previous year.

This resulted in a cumulative sale of 3,182 units during FY23, showing a drop of 45.2% as compared to the corresponding period of last year.

Similarly, motor bike and three wheelers sales declined by 35% YoY in FY23, to stand at 1.186 million units, as compared to 1.822m in the FY22.

Copyright Mettis Link News

Posted on: 2023-07-11T16:59:53+05:00