A sales data was released by Pakistan Automotive Manufacturers Association (Pama) for July 2018.
Passenger car sales went up by 16% as 18,875 units were sold in July 2018 compared to 16,337 units sold last year. Sales of locally assembled cars went up by 9% to 21,344 units.
Coming to car manufacturers in Pakistan, Toyota Indus motors leads as its car sales went up by 18% as 4,566 units were sold in July 2018. 850 more units were sold by Toyota in July 2018 compared to July 2017.
Samiullah Tariq, Director Research at Arif Habib Limited said, “Car sales were on the rise because of the more working days in July compared with June because of Eid holidays, where Indus Motors sales were up because of debottlenecking or expansion in the plant.”
According to Pakistan Automotive Manufacturers Association (Pama), Pak Suzuki sold 9,700 in July 2018 while in the same period last year Suzuki sold 8,642 units.
Sales of Honda City and Civic went up by 22%. There was a high demand for 10th Generation Honda Civic and recently upgraded Honda City. In July 2018 Honda’s sales went up by 22% with the sale of 4,609 units compared to 3,820 units sold in the same period the previous year.
Sales of tractors dropped by 16%. It is anticipated that now the sales of vehicles will drop down further as the government has enforced restrictions on purchases of cars by non filers. Almost half of the vehicle buyers are non-filers and it seems that now they will not be able to buy a car.
Topline Securities’ analyst Syed Daniyal Adil said, “We believe that with a further hike in interest rate and rupee depreciation along with the condition that only tax return filers will be able to register new cars, the growth momentum may lose steam in coming months.”