KARACHI: Pakistan Automobile Manufacturers Association (PAMA) released latest automobile sales data for July 2021, portraying 114 per cent increase in automobile sales to 24,918 units.
Likewise, on a monthly basis, auto sales surged 87 per cent in July due to pent-up demand and off-take was visibly higher.
“The triple digit growth in automobile sales volumes can be attributable to Government of Pakistan announcing relief measures by decreasing FED on vehicles across the board and sales tax reduction for below 1000cc cars which resulted in reduction in car prices and higher sales volumes,” Arsalan Hanif at Arif Habib Limited said.
“Economy growing at rapid pace and low policy rate is helping car sales to increase drastically as auto financing has increased by Rs97 billion during FY21, and healthy farmers yields because of higher prices of agricultural products”.
In the below 1,000cc category, volumes are up 402 per cent owing to massive surge in sales of Suzuki Alto.
In July 2021, Pak Suzuki’s total automobile sales significantly increased 204 per cent and 197 per cent to 15,181 units (highest ever monthly sales) compared to 4,991 units in July 2020 and 5,106 units in June 2021, respectively.
Indus Motor Company (IMC) sales stood at 6,715 units, significantly up 66 per cent and 48 per cent due to strong demand of high end cars on the back of economic growth. Increase in sales was majorly led by Toyota Fortuner (up 186 per cent), Toyota Hilux (up 163 per cent) and Toyota Corolla (52 per cent).
Honda Cars witnessed slowdown in sales volume by 6 per cent to 2,307 units with Civic/City sales dropping by 23 per cent to 1,700 units. The decline in sales volumes is owed to slowdown in sales volume of Honda City as the company just unveiled a new model of Honda City which will improve sales volumes going forward.
However, Honda BR-V sales increased by 136 per cent, which supported overall sales volumes.
Tractor sales increased 20 per cent to 4,332 units in July amid improving farmers’ liquidity position, higher export orders, and sales tax subsidy.
Millat Tractors (MTL) witnessed massive growth in sales numbers as volumes grew by 33 per cent to 2,926 units. During the month, MTL’s market share stood at 68 per cent (July 2020: 61 per cent) while Al Ghazi Tractors (AGTL) market share settled at 32 per cent (July 2020: 39 per cent).