Depreciating Car Sales in Pakistan during the Fiscal Year 2016-17

In the previous Fiscal Year 2015-16, Pak-Suzuki’s car sales sky-rocketed due to the Green Taxi Scheme. According to Pakistan Automotive Manufacturing Association (PAMA) statistics, car sales in Pakistan during the first two months of the Fiscal Year 2016-17 have decreased by 13% (31,585 units), which is primarily due to the completion of the taxi scheme. However, if the cars sold with the Green Taxi Scheme are excluded, then car sales have increased by 19.7%, as compared to the July-August 2015.

Pak Suzuki Motors

Pakistan’s largest auto-manufacturer Pak Suzuki only managed to sell 16,662 car units in the first two months of this (2016-17) Fiscal year, which is 26% less than the cars sold in the previous Fiscal Year’s (2015) first two months (July-August). This sudden decrease in the car sales is associated with the completion of the ‘Green Taxi Scheme’, which has really dismantled the Suzuki Ravi and Suzuki Bolan sales. However, if the cars sold with the ‘Green Taxi Scheme’ are separated, then Suzuki’s car sales have increased by 12%.

Suzuki Cars	Car Sales July-August 2015	Car Sales July-August 2016
Suzuki Swift	652	792
Suzuki Cultus	2586	2694
Suzuki WagonR	1058	2355
Suzuki Mehran	6127	6368
Suzuki Bolan	6398	3501
Suzuki Ravi	6027	3390

Recommended Reading: The Brighter side of Suzuki Mehran

Toyota Indus Motors

Toyota cars sales in Pakistan have dropped to 9,628 units in the July-August 2016, which have decreased by 2% as compared to the previous year’s July-August sales figures. The primary reason for this drop is associated with the long vacations during these two months. Furthermore, the top selling car franchise of Toyota in Pakistan (Toyota Corolla) has faced a decrease in its sales in these past 2 months. Apparently, the Toyota Corolla sales have dropped by 8%. Moreover, the primary reason for this sudden drop is associated with the arrival of Corolla’s arch rival: the new Honda Civic. It is also noteworthy that Toyota Hilux sales have rejuvenated by an incredible 61% increase in these few months.

Toyota Cars	Car Sales July-August 2015	Car Sales July-August 2016
Toyota Corolla	8899	8378
Toyota Fortuner	116	141
Toyota Hilux	883	1398

Also Read: Is 2017 Toyota Corolla Facelift Going to Make an Appearance in Pakistan?

Honda Atlas Cars

Honda cars sales in Pakistan were less than impressive in the past fiscal year 2015. It should be noted that Honda started to present its sales figure as a combination of both Honda Civic and Honda City. However, with the arrival of the new Civic, the company’s deteriorating sales figures are starting to show a lot of potential in the possible growth, which is evident by the 15% overall increase in the Honda Pakistan cars sales. Furthermore, Honda has managed to sale 5,295 units in the first two months of this fiscal year. Moreover, the criticism on the car’s build quality and finishing has not managed to undermine its popularity. Apparently, the company has stopped booking for the deliveries in 2016. And the cars, which are being booked at this time, will be delivered in 2017.

Honda Cars	Car Sales July-August 2015	Car Sales July-August 2016
Honda Civic + City	4076	5136

Related Story: No Official Response from Honda Leaves Civic Lovers Waiting

A report from the Top Line Securities has hinted towards a possible depreciation in the automobiles sales by considering the increased car sales in Pakistan due to the ‘Green Taxi Scheme’ in the previous Fiscal Year. According to this report, the annual automobile sales will reach 217,000 units by the end of this year, which spells out 30% increase in the local market. Moreover, this increase in the car sales is associated with the constant increase in Toyota Corolla’s popularity and the introduction of Suzuki Celerio. Here, it should also be mentioned that the New Civic, despite all the criticism, has managed to introduce a breath of fresh air into Pakistani automotive market.