March 31, 2022 (MLN): Federal Secretary for Industries & Production, Mr Jawad Malik has directed a monitoring committee to carry out a forensic analysis of recent price hikes in different models of cars across the board.
The decision came at a high-level meeting with the monitoring committee for the automobile industry, which met under the chairmanship of Federal Secretary for Industries & Production, Mr Jawad Malik this afternoon.
The forum sought factors and justification for the recent price hike in different models of cars across the board.
The meeting was told that the recent price hike is due to Dollar Rate (USD to PKR), an increase in freight charges and raw materials including operational costs. The industry also provided details on the causes of late delivery, CDK imports and production capacity.
The monitoring committee expressed concerns over massive price hikes in the past 5-6 months and safety features in automobiles.
After due deliberations, the Chair directed to carry out a forensic analysis of car prices in comparison with factors indicated by the industry as a reason for price change through independent professional expertise. Secretary was instructed to complete the forensic analysis within two weeks. The Chair also asked the automotive industry to provide localisation plan with a time frame as well as safety features compliance report to the Ministry.
The meeting was attended by representatives from automakers, Pakistan association of automotive parts and accessories manufacturer (PAAPAM), Engineering Development Board (EDB), Federal Board of Revenue (FBR), State Bank of Pakistan (SBP), Competition Commission of Pakistan (CCP) and Ministry of Science & Technology.
