While skyrocketing inflation has affected consumer purchasing power, recent restrictions done by the State Bank of Pakistan (SBP) have shattered vehicle finance. According to reports, from January 2022, there has been a significant decline in car finance. As a result, the market can notice production decreases. He further added vehicle financing marked a new low record in August 2022, falling by 2.2 percent month over month (MoM) to Rs. 353 billion. While a year-over-year (YoY) jump of 8.8%.
Restrictions Significantly Affected Car Finance and Production:
Again, the State Bank of Pakistan’s (SBP) latest process needing CKD import clearance has compelled the automakers to declare production reductions. Toyota Pakistan, Honda Atlas Pakistan, Hyundai Nishat, and Pak Suzuki are the only companies left with no choice but to observe output reductions. While it is true that the current government is working hard to overcome the prevailing challenges, the latest import blockades due to economic backwardness have worsened the situation.
Car sales figure Another Low:
Car sales fell for the second consecutive month due to price hikes, rising inflation, and production cuts. Sales have not recovered after dropping by 58% in July and fell 2% last month. According to PAMA’s data, automakers sold a total of 11,645 units in August compared to 11,853 units in July (a 2% MoM reduction). In terms of year-over-year sales, sales statistics show a staggering decrease of 46%.
Brand-Wise Sales Analysis:
Here we analyzed the sale of the vehicle by automakers and their vehicles.
- Pak Suzuki sold 2,293 units of Alto, 411 units of Suzuki Cults, 365 units of Suzuki Wagon RK, 532 units of Suzuki Swift, 227 units of Suzuki Bolan, and 126 units of Suzuki Ravi.
- Hyundai Nishat has sold 985 units of Tucson, 581 units of Elantra, 234 units of Sonata, and 129 units of Porter.
- Honda Atlas has sold 1,436 units of Civic and City and 373 units of BR-V till August.
- Last but not least, Toyota Indus has sold 2,901 units of Corolla and Yaris and 975 units of Fortuner and Hilux in August 2022.
