Tag: motorcycles

  • Inventory shortage forces Pak Suzuki to extend motorcycle plant shutdown

    Pak Suzuki Motor Company (PSMC) has officially announced the extension of the shutdown of its motorcycle plant until June 16, 2023. The decision was conveyed to the Pakistan Stock Exchange (PSX) through a notice on Tuesday. The company attributed this action to ongoing government restrictions on imports, which have negatively impacted the automotive industry and resulted in a shortage of inventory.

    The notice stated, “Due to shortage of inventory level, the management of the company has decided to shut down motorcycle plant from June 12, 2023 to June 16, 2023.” However, the automobile plant will continue its operations as usual.

    Previously, PSMC had temporarily closed its motorcycle plant until June 10, 2023, due to a shortage of raw materials. Furthermore, both the automobile and motorcycle plants had experienced a shutdown from May 2 to May 9. Similarly, the automobile plant underwent closure from April 7 to April 28.

    As an assembler, manufacturer, and marketer of Suzuki cars, pickups, vans, 4x4s, motorcycles, and related spare parts, PSMC plays a crucial role in the automotive sector. The Suzuki brand, originating from Japan, holds prominence in the company’s product lineup.

    Earlier in April, PSMC reported its highest-ever quarterly loss of Rs12.9 billion for the first quarter of 2023. The decline in sales and substantial finance costs were cited as contributing factors. In comparison, the company had incurred a loss of Rs460.227 million during the same period last year.

    The auto industry in Pakistan is currently grappling with numerous challenges. Indus Motor Company Limited and Honda Atlas Cars, two other prominent listed companies, have also halted production in recent months due to economic hardships.

    The country’s auto sector heavily relies on imports, making it particularly vulnerable to the government’s import restrictions and the tightening of Letters of Credit iissuance. Furthermore, soaring finance costs and significant increases in car prices have dampened consumer demand.

  • Pakistan did not consult IMF regarding discounted petrol for low-income people: Esther Perez

    Pakistan did not consult IMF regarding discounted petrol for low-income people: Esther Perez

    According to the International Monetary Fund (IMF), Pakistan’s government did not seek advice from the multilateral lender regarding the discounted petrol for the low-income group.

    The government’s plan to increase fuel costs for more affluent drivers to pay for a subsidy for those with lower incomes, according to Esther Perez, the IMF’s resident representative for Pakistan, was not discussed with the international lender.

    “Fund staff are seeking greater details on the scheme in terms of its operation, cost, targeting, protections against fraud and abuse, and offsetting measures, and will carefully discuss these elements with the authorities,” said Perez.

    Earlier, the federal government announced that it would reduce the price of petrol up to Rs100 for motorcycle riders and owners of vehicles up to 800 cc in order to lessen the impact of rising petrol costs on people who are already suffering from inflation. According to Malik, Prime Minister Shehbaz Sharif has ordered that low-income individuals receive petrol subsidies of up to Rs100 per liter instead of Rs50.

    Under a comprehensive strategy, cheap petrol will be offered to motorcyclists and owners of vehicles up to 800 cc, while owners of vehicles beyond 800 cc will be charged full price. The minister made it clear that this is not a subsidy but a cross-subsidy.

    According to Malik, “the owners of big vehicles will pay more for petrol.” The rich will pay Rs100 more for petrol, while the poor will pay Rs100 less. 210 million people are poor in a population of 220 million, and we stand with poor Pakistanis.”

    He said the decision to provide fuel at lesser rates will be implemented within six weeks.

  • Motorcycle dealers reportedly demanding Rs40,000 extra for instant delivery of Honda CG125

    Motorcycle dealers reportedly demanding Rs40,000 extra for instant delivery of Honda CG125

    The market for new and used motorcycles in Akbar Road, Karachi, which is the largest in the country, is experiencing a shortage of Honda CG-125 bikes at the showrooms of the company’s authorised dealers. The dealers are reportedly not accepting fresh bookings from customers due to thin supplies from the assembler.

    Non-Honda dealers are reportedly demanding a price of Rs252,000-255,000 for instant delivery of the CG-125 bike, which is Rs40,000 more than the company’s price of Rs215,000, despite not having the bike available in their showrooms.

    Some unauthorised dealers have already acquired a large number of CG-125 motorcycles from authorized dealers, apparently under an understanding to jointly make a windfall. Some dealers have cited Afghan nationals accompanied by Pakistanis as the reason for the stock shortage. However, 70cc bikes are readily available for instant delivery at showrooms.

    According to Dawn, market sources have stated that local bike assemblers exported 25,000 units of 70cc-125cc bikes over the past 11 months, in which Honda 125cc holds the lion’s share. They also believe that the actual volume of shipments of two-wheelers is more than the official export by the companies after individual purchases of bikes by customers for Afghan markets.

    Afghan businessmen are importing Pakistan-assembled motorcycles in large numbers daily through the Chaman border amid booming demand for two-wheelers in Afghanistan. The market for Honda CG-125 bikes is experiencing price hikes and shortages across the country, including Quetta and other cities of Balochistan.

  • Atlas Honda announces second price hike within 20 days due to depreciation of Pakistani rupee

    Atlas Honda announces second price hike within 20 days due to depreciation of Pakistani rupee

    Atlas Honda has announced its second price increase in the last 20 days, attributing it to the substantial depreciation of the Pakistani rupee against the US dollar, which had also led to their earlier bike price hike on February 15, 2023.

    According to the company’s notification, Honda bike prices will be as follows:

    Honda CD70

    The Honda CD70 will now cost Rs144,900, an increase of Rs7,000 from the previous price of Rs137,900.

    Honda CD 70 Dream

    The Honda CD 70 Dream will now cost Rs155,500, an increase of Rs8,600 from the previous price of Rs147,500.

    Honda Pridor

    The new price of the Honda Pridor is Rs190,500, an increase of Rs9,000 from the previous price of Rs181,500.

    Honda CG 125

    The Honda CG 125 will now cost Rs214,900, an increase of Rs9,000 from the previous price of Rs205,900.

    Honda CG 125 SE

    The Honda CG 125 SE will now cost Rs255,900, an increase of Rs12,000 from the previous price of Rs243,900.

    Honda CB 125F

    The Honda CB 125F will now cost Rs350,900, an increase of Rs20,000 from the previous price of Rs330,900.

    Honda CB 150F

    The Honda CB 150F will now cost Rs443,900, an increase of Rs25,000 from the previous price of Rs418,900.

    Honda CB 150F SE

    The Honda CB 150F SE will now cost Rs447,900, an increase of Rs25,000 from the previous price of Rs422,900.

    This is the second price hike within the last 20 days, which has further eroded the purchasing power of the middle class that is already struggling due to inflation. With car and bike prices on the rise, the common person is finding it increasingly difficult to afford their daily means of transportation.

  • Yamaha passes sales tax burden to customers: YBR 125G price increased to Rs353,000

    Yamaha passes sales tax burden to customers: YBR 125G price increased to Rs353,000

    Yamaha has recently announced its first price increase of 2023, affecting all of its motorcycles. The latest announcement marks the second increase in prices since December, with the highest increase being up to Rs3,500.

    Despite this, Yamaha has implemented the smallest price increases compared to its competitors and has only raised its bike prices once this year.

    In contrast, Yamaha increased its bike prices seven times last year. Due to the persistent economic issues in Pakistan, dealers and industry experts are anticipating further price hikes this year.

    According to recent data, a significant proportion of bike manufacturing has been localised in Pakistan. As such, there appears to be little justification for motorcycle manufacturers to frequently and substantially increase their prices.

    Variant Old Price (Rs) New Price (Rs) Increase (Rs)
    YB 125Z 305,500 308,500 3,000
    YB 125Z DX 327,000 330,500 3,500
    YBR 125 336,000 339,500 3,500
    YBR 125G 349,500 353,000 3,500
    YBR 125G (Matte Gray) 352,500 356,000 3,500
  • Honda Atlas passes on sales tax burden to customers with another massive price hike

    Honda Atlas passes on sales tax burden to customers with another massive price hike

    Honda Atlas Cars announced on Friday that it would be increasing the prices of its completely knocked down (CKD) models in response to a rise in sales tax.

    The car manufacturer cited several reasons for this decision, including the devaluation of the Pakistani rupee against the US dollar, a volatile business environment, and the increase in sales tax.

    As a result, the company will raise the prices of its CKD models by up to Rs550,000, marking the third hike.

    The new retail sale price (RSP) will be effective for all new orders placed from February 18 onwards.

    Here are the new prices of all Honda cars:

    Model Od price New price Hike
    City MT 1.2L Rs4,329,000 Rs4,579,000 Rs250,000
    City CVT 1.2L  Rs4,469,000 Rs4,729,000 Rs260,000
    City CVT 1.5L  Rs4,739,000 Rs5,019,000 Rs280,000
    City Asp MT 1.5L Rs4,939,000 Rs5,229,000 Rs290,000
    City Asp CVT 1.5L Rs5,119,000 Rs5,419,000 Rs300,000
    BR-V CVT S Rs5,649,000 Rs5,949,000 Rs300,000
    HR-V VTI Rs6,799,000 Rs7,199,000 Rs400,000
    HR-V-VTI S Rs6,999,000 Rs7,399,000 Rs400,000
    Civic 1.5L M CVT Rs7,299,000 Rs7,779,000 Rs480,000
    Civic 1.5L Oriel M CVT Rs7,599,000 Rs8,099,000 Rs500,000
    Civic RS 1.5LL CVT Rs8,649,000 Rs9,199,000 Rs550,000
    Honda Cars Latest Prices in Pakistan – February 18, 2023

    Customers who have existing back orders as of February 17 will also be subject to the new retail sale price. Additionally, a 1 per cent additional sales tax will be applied to all back orders that have been paid in full as of the previous price increase letter, dated February 6.

    Honda Atlas Cars stated that any unclear back orders, with the exception of the Civic model, that are due up until March 23 can be invoiced if full payment (February 6 price + 1 per cent additional sales tax) is received by February 27 (with an instrument date of February 27). However, the automaker noted that the prices are subject to change and that the prices prevailing at the time of delivery will be final. Any changes in government levies or taxes will be borne by the customers.

    Furthermore, Honda Atlas announced an increase in the rates of its motorcycles the day before.

  • Pak Suzuki increases motorcycle prices by up to Rs25,000

    Pak Suzuki increases motorcycle prices by up to Rs25,000

    Pak Suzuki Motor Company Ltd. (PSMCL) has increased motorcycle prices by Rs20,000-25,000, effective February 1st.

    The new rate for GD110 S, GS150, GSX125, and GR150 is Rs264,000, Rs286,000, Rs384,000, and Rs410,000.

    However, the company’s communication to authorised dealers lacked any explanation for the price increase.

    PSMCL had temporarily ceased taking new bike orders as of January 20 due to supply chain constraints based on imports and unpredictable production capacity in the current economic climate.

    Read more: Latest Suzuki car prices

    Pak Suzuki has been enjoying a smooth journey, recording sales of 20,762 units in FY23 compared to 18,030 at the same time last fiscal year, as sales of all two-wheeler assemblers have remained flat due to rising prices, quality problems, and affordability difficulties.

    The assembler of Hi-Speed motorcycles has also increased the rate by Rs25,000 of 150cc Infinity and 200cc Freedom followed by a Rs2,500-Rs3,500 hike in 70cc-125cc motorcycles.

  • ‘We are unable to serve new customers’: Pak Suzuki announces booking suspension for all motorcycles

    ‘We are unable to serve new customers’: Pak Suzuki announces booking suspension for all motorcycles

    Pak Suzuki Motor Company (PSMC) stated on Thursday that it had halted taking reservations for motorbikes until further notice due to issues with manufacturing and procurement following the consecutive closures of its automobile assembling factories caused by an ongoing inventory crisis.

    “Under the present economic circumstances, import-based supply chain constraints and uncertain production possibilities, we are unable to serve new customers,” the company said in a letter to dealers.

    The suspension of reservations would start today.

    “We will, therefore, stop bookings of our motorcycle products from January 20, 2023, for the time being. However, bookings will resume as the situation becomes favourable to serve fresh customers.”

    With the rupee falling and inflation at decades-high levels, Pakistan’s economy has collapsed along with a simmering political crisis, but disastrous floods and a worldwide energy crisis have added to the strain.

    Almost all industries, including the automotive sector, have been slowed down by a lack of imported components and materials, and an alarmingly large number of businesses have been forced to cease operations.

    As Pakistan struggles with a dire foreign exchange crisis, thousands of containers filled with basic food supplies, raw materials, and medical equipment have been held up at the Karachi port.

    According to Express Tribune, banks are refusing to issue fresh letters of credit for importers due to a shortage of needed dollars, which is hurting an economy already under pressure from high inflation and weak growth.

  • Lahore Traffic Police issues 99,000 challans to motorcyclists in less than a month

    Lahore Traffic Police issues 99,000 challans to motorcyclists in less than a month

    In the last three weeks, 99,000 motorcyclists received challans from the Lahore City Traffic Police (CTP) for not wearing helmets. Chief Traffic Officer (CTO) Dr Assad Malhi emphasised the value of wearing helmets during his interview with the media.

    He claimed that after the enforcement effort, 95 per cent of motorcycle riders on Mall Road are now wearing helmets. Helmets should be used for self-defense and to prevent Challan since they shield the head from 70 per cent of fatal injuries, he continued.

    As more people wear helmets, the number of head injuries treated in Lahore hospitals has fallen. It noted that both senior and junior physicians have praised CTO for tackling this issue.

    According to Pakwheels, the entry of bikers without helmets was completely prohibited last month by the Lahore City Traffic Police. No biker would be permitted on Mall Road without a helmet, according to CTO Lahore, Dr Asjad Ahmed Malhi, in a statement to the media.

    Malhi warned, “In case of violation, there will be a heavy fine.” He further said this is a model stage and will be spread across the city in the next phase.

    The CTO continued by saying that the new law will be fully implemented and would have 100 per cent continuity.

    In order to make helmets mandatory, the traffic police have started a number of projects and initiatives in the city. More motorcyclists have started using helmets over time. There are still a sizable amount who don’t, though. A few years ago, the police started the “no helmet, no petrol” campaign to encourage people to use helmets.

  • Islamabad police launches crackdown against unregistered vehicles

    Islamabad police launches crackdown against unregistered vehicles

    The Islamabad Capital Territory Police (ICTP) has initiated a crackdown against unregistered vehicles in the federal capital.

    Details reveal that during the current year 2022, 8,951 unregistered cars, trucks, and motorbikes received fines from the ICT police.

    For the purpose of inspecting the unregistered vehicles operating on the roads, special enforcement squads have been formed.

    The campaign was started on the orders of Inspector-General of the Islamabad Police, Dr. Akbar Nasir Khan, and is being led by SSP Traffic Dr. Syed Mustafa Tanweer.

    Additionally, the Sabzi Mandi Police areas were the scene of several dacoity occurrences that were busted by the Islamabad Capital Territory Police.

    Three members of a dacoit gang who were involved in several episodes of snatching and street crimes were apprehended by a police team from Sabzi Mandi Police Station employing the most recent technology and human resources.

    The defendants were named as Munir Ahmed, Muhammad Shafiq, and Raja Zahoor.

    A motorbike, three 30-bore handguns, and a dagger used in these sleazy events were also found by police.

    The suspects admitted their involvement in dacoity occurrences in the Sabzi Mandi areas during the preliminary investigation.