Inflation has severely impacted all the industry sectors of Pakistan; Automotive Industry is one of those. Today’s weekly blog will uncover the reasons behind the continuous decline.

Without further ado, let’s jump into the business.

1.  Fuel Prices to Decrease – Rumor

Prices of petrol and diesel are subject to change every bi-monthly. Previous month we saw a decline of 2.04/L and 6.47/L in petrol and diesel prices respectively. However, certain rumors are circulating that a huge decline of 58 to 60 Rs. will be seen this month. Until now, there is no information regarding it from a government source.

2.  Auto Industry Fails to Improve Sales

Due to the ever-increasing inflation and deteriorating economy, the auto industry faces a massive slowdown in sales. A few reasons behind this trend are:

a. CKD-import restrictions

b. Low demand from consumers

c. High fuel prices

d. Increased vehicle prices

Vehicle manufacturing companies like Honda, KIA, Suzuki, and Toyota offered different schemes, free registration, cash payback, low-payment insurance modules, and exciting deals. They even lowered model prices to counter these effects. Still, companies cannot bring the customers back, resulting in plant shutdowns and excessive supply rather than demand in the market.

3.  Auto Industry Adapts Push Model

The Automotive Industry of Pakistan used to work on an internationally obsolete ‘pull model’ that comprised pre-registration of a car model and its supply according to the company’s recommended timeframe. However, due to the low sales trend, the industry now offers a ‘push’ technique to the customer where you can pay the invoice and get your required model on the spot.

4.  Pak Suzuki Offers Islamic Financing Option

Pak Suzuki has introduced an Islamic financing option in collaboration with Meezan Bank where a customer can save up to Rs. 650,000 on ordering any Suzuki model. The company also offers a 1-year maintenance package to add value.

5.  Model Reveals

Various new models were revealed last month, including:

·        Yadea Electric Scooters – High prospect in the Pakistani market with a starting price of Rs. 235,000

· GiGi Electric Cars – Low prospect in the market due to inflation.

· Honda Electric Bikes – High prospect due to driving range of 87 Km and low charging time of 3 Hrs.

6.  PakWheels brings 12.12 sale

PakWheels is offering an exciting price cut of up to 80% on all its services, auto parts, and accessories from the 12th to the 21st of December. You can avail of these services upon ordering from our website, too.

7.  Traffic Police Restricts Underage Driving

Several unprecedented accidents have finally encouraged the traffic police to take strict actions against the lawbreakers. Authorities have issued regulations against underage drivers that will counter the pedestrian killings. To make it more effective, several modules like the e-driver license application and home delivery of licensure have been introduced to make the process faster and clear the backlogs.

PakWheels strictly advises all drivers to adhere to the traffic rules to ensure personal and societal safety and appreciates the authorities for enforcing laws for abidance. To stay updated with the latest news, visit our official website.

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