ISLAMABAD: In Pakistan sales of cars demonstrated a robust 57% growth in 2020-21 over 2019-20. In numbers, car makers sold 151,182 units in 2020-21 in comparison with 96,455 vehicles sold in 2019-20.
According to the latest data of Pakistan Automotive Manufacturers Association (PAMA) data, in June 2021, the industry sold 11,569 locally-assembled brand new cars as against 7,325 vehicles sold in the same month in 2020
In the current financial year, 2021-22, the car manufacturers in Pakistan eyeing sale of 0.3 million vehicles, almost 100 increase in sale in comparison with 2020-21. Availability of car-financing at affordable rates, diversion of a portion of home-loans to car purchase, availability of new models, fear of the coronavirus pandemic, and growing economic activities in 2021 have boosted manufacturing and sale of cars in the country.
Meanwhile, abolition of 2.5 percent federal excise duty, reduction in sales tax from 17 percent to 12.5 percent for cars with engine capacity of up to 1,000cc would further augment cars demand in the country in 2021-22.
In FY2021, 1,300cc and above capacity cars sale amounted to 75,097 units, 91% up in comparison 39,386 units sale in the preceding financial year. Moreover, in the month of June 2021, about 7,042 units of 1,300cc and above cars were sold. Honda sold 2,826 units Indus Motors sold 1,862 vehicles.
