Tag: PAMA

  • Honda Atlas announces price hike instead of fixing delivery issues

    Honda Atlas announces price hike instead of fixing delivery issues

    Honda Atlas, like its counterpart Indus Motor Company, announced a price hike for the second time in less than two months, increasing ex-factory prices up to Rs170,000, claiming rupee devaluation as the cause for transferring the burden to the consumers.

    The ‘latest generation’ of Honda city in Pakistan is now priced at Rs3,264,000 after getting a hike of Rs135,000. Aspire 1.5 variants of Honda city witnessed a hike of nearly Rs150,000 in their previous rate.

    Meanwhile, Civic prices increased by Rs150,000 across all three variants: the Civic 1.5L CVT, Civic 1.5L Oriel M CVT, and Civic RS 1.5L CVT. The top variant of Honda civic RS 1.5 LL CVT from May 1 will be offered at a price of Rs6,649,000 which was previously sold at Rs6,499,000.

    Honda’s MPV, the BRV, is now priced at Rs4,249,000 after a price increase of Rs170,000. BRV was earlier sold at Rs4,079,000.

    Read more: Toyota Pakistan announces another massive price hike for all cars

    Also, these prices are exclusive of freight charges and any government tax applicable at the time of delivery that will be paid by the consumer.

  • Car sales up by 53.7 per cent in 2022, despite repeated price hikes

    Car sales up by 53.7 per cent in 2022, despite repeated price hikes

    The latest data provided by the Pakistan Automotive Manufacturing Association (PAMA) shows that overall car sales climbed by 53.78 per cent during the first nine months of the current fiscal year 2021-22 (July-March) compared to the same period in the past financial year.

    Keeping in view the recent figures, 172,612 vehicles were delivered in the time period under consideration, compared to 112,244 cars in the previous year. In March 2022, the country’s car sales climbed by 33.28 per cent on a year-over-year (YoY) basis when compared to the same month in 2021.

    In March 2022, car sales soared to 22,799 units, up from 17,105 units in the same month the previous year. considering the breakdown of the numbers, around 26,830 combined units of Honda Civic and City were sold in the fiscal year 2021-22, compared to 18,816 units in 2021, indicating a 42.59 per cent increase.

    The sale of Toyota Corolla and Yaris sedans increased by 24.93 per cent in the same time, rising to 43,695 units from 34,975 units the previous year. Suzuki Swift sales, on the other hand, fell by 73.78 per cent, from 1,896 units in July-March 2020-21 to 497 units. The drop witnessed in sales of Suzuki Swift was due to the production cut of the older Swift, which was scheduled to be replaced by the fourth generation in February of this year.

    Read more: Toyota Pakistan records highest monthly sales, selling 7,132 vehicles in March 2022

    With 53,241 units sold so far in the fiscal year 2022, Pakistan’s smallest engine size vehicle, the 660cc Alto, is now the most popular. It is worth noting that the mini hatchback is also the country’s ‘cheapest’ four wheeler from the big three.

  • PKR closed at 184.09 against USD, the lowest level in history

    PKR closed at 184.09 against USD, the lowest level in history

    A substantial decline in foreign exchange reserves, persistent political instability, and hefty petroleum costs dragged Pakistan’s currency (PKR) to new lows on Friday, with the rupee closing over the 184 level for the first time against the US dollar following a 0.33 per cent drop in the interbank market. 

    After a day-on-day devaluation of 61 paisas, the PKR closed at 184.09, its lowest level recorded, according to the State Bank of Pakistan (SBP).

    Since its most recent peak in May of last year, the PKR has lost over 17 per cent, while the local currency has devalued by over 14 per cent in the fiscal year to date (FYTD).

    The last time the PKR rose versus the US dollar (during its most recent weakening run) was on March 11. It has dropped in 13 sessions since that while staying stable in the remaining.

    Moreover, the State Bank of Pakistan’s (SBP) reserves also fell by $2.915 billion, to $12.05 billion, according to figures issued by the central bank on Thursday.

  • PAMA calls out federal govt for favouring ‘one specific car manufacturer’

    PAMA calls out federal govt for favouring ‘one specific car manufacturer’

    The latest Auto Development Policy (ADP) has paved the way for several new companies to enter the Pakistani auto market. Companies like Regal Motors, KIA, Hyundai, Proton, and Changan entered the market following the ADP.

    During the 34th meeting of the Auto Industry Development Committee (AIDC), the Pakistan Automotive Manufacturer Association (PAMA) expressed concerns that the federal government favours one specific car manufacturer, a fresh entrant in Pakistan.

    A PAMA official said, “There is a new entrant in the market, selling and booking vehicles without establishing a production plant in the country. Under ADP 2016-2021, the new entrants can import only 100 complete built-up (CBU) units at 50% duty for marketing and production purposes. Meanwhile, the companies have to pay complete duty on the 101st vehicle.”

    According to media reports, PAMA members have asked the Engineering Development Board (EDB) in a letter that “when will the benefits for new entrants will end?”

    PAMA further said in the letter: “Under the ADP, the new entrants are allowed a concession period of 3 to 5 years; depending on each unique case, starting from the production date.”

    PAMA finds it problematic that the new entrants are reported, submitting revised business plans; even those who have already started commercial production.

    These revised plans may circumvent the incentive period that could be more than three or five years.

    It is pertinent to note that the statement comes at a time when businessman Javed Afridi, who has brought MG to Pakistan, alleges that “As new entrants bring in exciting new models at far lower prices, instead of competition, we expect maligning campaigns and baseless rumours. While we know that competition is an unfamiliar phenomenon in Pakistan’s automobile industry, we invite everyone to join in a fair competition to serve Pakistani consumers with a bigger and better variety of vehicles at lower prices.”

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