Tag: suzuki ciaz

  • Pak Suzuki extends plant closure due to low inventory

    Pak Suzuki extends plant closure due to low inventory

    The State Bank of Pakistan (SBP) has imposed import restrictions that have negatively impacted the clearance of import consignments, which has in turn affected the inventory levels, according to Pak Suzuki Motor Company (PSMC), which announced on Monday that the shutdown of its auto production plant has been further extended from August 29 to August 31.

    The SBP has instituted a procedure for prior permission for imports within the HS code 8703 category (including CKDs), according to a notice given to the Pakistan Stock Exchange (PSX) by PSMC on May 20, 2022, according to pkrevenue.

    According to PSMC, these restrictions had a negative influence on the import consignment’s clearance, which in turn had an impact on inventory levels.

    PSMC said that it is experiencing a scarcity of inventory. As a result, the company’s management has decided to further extend the auto plant’s shutdown time from August 29, 2022, to August 31, 2022.

    As a result of a decline in inventory levels, PSMC informed the PSX earlier this week that it will halt production of automobiles from August 22 through August 26, 2022.

    However, PSMC stated on both occasions that its motorcycle plant will continue to operate.

    Due to Pakistan’s auto industry’s reliance on imports and the SBP’s limits on Letters of Credit opening as a result of the persistent rupee devaluation, the country is currently experiencing an exchange rate crisis.

    In order to prevent delays in car delivery and future price increases, the manufacturers requested the central bank’s involvement back in July for opening LCs for the import of CKD kits.

    PSMC stated earlier this month that it would lower the pricing of its cars by between Rs75,000 and Rs199,000, citing the strengthening of the rupee versus the US currency. Due to the weakening of the rupee, prices had already climbed significantly in early August.

  • Pak Suzuki may discontinue Cultus to promote new Swift

    Pak Suzuki may discontinue Cultus to promote new Swift

    One of Pak Suzuki Motor Company’s (PSMC) best-selling vehicles, Suzuki Cultus, will reportedly no longer be produced. According to reports, all variants of the hatchback will be officially phased out in the upcoming months.

    According to Pakwheels, Alto and Swift sales had an impact on Cultus sales, and the company intended to actively promote Swift while boosting Alto sales.

    If the rumours are true, it may be terrible news for those who adore this tiny hatchback since Cultus has long held the top spot in the 1,000cc category.

    According to information from the Pakistan Automotive Manufacturers Association (PAMA), PSMC sold more than 9,800 Alto in March of this year. In April, the amount fell to 5,000. In May, sales slightly increased to about 5,400.

    It is also worth noting that PSMC has not made any public statements about the development. Once the business issues a formal statement regarding this, PSMC’s response will be added.

    The current generation of Suzuki Cultus was introduced in 2017. The hatchback is available in three variations from PSMC: VX, VXR, and VXL. Since its debut, Cultus has dominated the 1,000cc segment of the home market due to its compact size and impressive fuel economy.

    It is still too early to tell if these rumours are true, as several reports from last month that Pak Suzuki was preparing to reintroduce the Mehran turned out to be false after The Current obtained confirmation from numerous dealerships.

  • Pak Suzuki records 62 per cent increase in sales

    Pak Suzuki records 62 per cent increase in sales

    Following the launch of multiple new models in the local auto market, the demand for cars has increased significantly since COVID-19.

    According to a Business Recorder report, volumetric sales in the auto industry have increased significantly Year Over Year (YOY) through the eleventh month of the fiscal year 2022 (11MFY2022).

    According to the data, around 270,000 auto sales were made in the 11MFY2022. It also notes that Kia, Changan, and other new automakers’ sales are not included in these numbers. When their sales are taken into consideration, the total rises to almost 300,000 units.

    With over 130,000 units sold and YoY growth of 62 percent, Pak Suzuki Motor Company (PSMC) continues to be in the lead. With almost 60,000 units sold and a YoY growth rate of 59 per cent, Toyota comes in second. Honda ranks third with over 30,000 units sold and YoY growth of 37 per cent.

    Despite the fact that sales have been steady over the previous year, they are projected to start declining in the second quarter (Q2) of FY2023. The automakers also forecast a drop in sales of up to 25 per cent, citing escalating shipping, gasoline, and raw material costs as well as the consequent pricing hikes.

    Conversely, many experts predict that pre-booked orders would help sales stay robust through Q1 FY2023. It would be fascinating to observe how the sales perform in Q3 FY2023 or Q4 FY2023, according to experts, as that is when the rise in automobile and gasoline prices will really start to have an impact on demand.