Car sales experienced a substantial 26% decline last month, marking over a year of turmoil in the automotive industry. The root causes can be traced back to disruptions in the supply chain, resulting in insufficient inventory and reduced demand. The industry has grappled with diminishing production, consecutive shutdowns, and a significant downturn in both car sales and profits, leaving it in a state of bewilderment.

According to the latest report from the Pakistan Automotive Manufacturers Association (PAMA), October 2023 witnessed a 26% month-on-month drop in car sales, with 6200 vehicles sold compared to 8312 units in September 2023.

In a year-to-year (YoY) comparison, there was a noteworthy decline of 54%. Factors contributing to this decline include escalating car prices, expensive auto financing, and a notable erosion of purchasing power.

Two Wheelers

Similarly, two-wheeler sales experienced a 5% decline last month, with notable fluctuations in sales for specific manufacturers. Japanese motorcycle giant Atlas Honda witnessed a 5% decrease, selling 90,121 units compared to 95,056 in September 2023. In contrast, Pak Suzuki experienced an 11% increase, selling 1220 bikes compared to 1096 in September 2023.

Trucks & Buses

Trucks and buses saw a significant downturn, with sales decreasing by 45% and 42%, respectively.

Company-Wise Sales Breakdown

Toyota Pakistan sales decreased by 34%, selling 1,047 units in Oct’23 compared to 1,595 vehicles in September. (MoM decline: 34%)

Highlighting Honda Atlas’ sales, the carmaker’s sales plummeted by 66%, selling 459 units last month compared to 1,342 units in Sept’23. (MoM decline: 66%)

Comparing to its Japanese peers, Pak Suzuki Motors Company’s sales dropped by 10%, selling 3,810 vehicles against 4,234 cars in September 2023. (MoM Decline: 10%)

Hyundai Nishat sales decreased by 54%, selling 377 units last month compared to 820 units in Sept’23. (MoM decline: 54%)

It is related to mention that all other car companies, Kia Lucky Motors, Master Changan Motors, Regal Motors, MG Motors, and Al-Haj Proton, are not PAMA members. Their sales numbers are not included in the report.

Car-Wise Sales Breakdown

Pakistan Suzuki Motor Company sold 2,602 units of Alto, 328 units of Suzuki Cultus, 197 units of Suzuki Wagon R, 315 units of Suzuki Swift, 143 units of Suzuki Bolan, and 225 units of Suzuki Ravi.

Toyota Indus sold 796 units of Corolla and Yaris and 251 units of Fortuner and Hilux.

Honda Atlas sold 379 units of City and Civic and 80 units of BR-V and HR-V.

Hyundai Nishat sold 38 units of Elantra, 52 units of Sonata, 151 units of Porter, and 136 units of Tucson.

Here is the MoM comparison of all the above sales: