Last week, we told you that Toyota Pakistan is all set to increase car prices. And now we can confirm that the news was correct because our sources confirmed that the company is increasing prices today. If we believe sources and reports, the increase will be between Rs. 3 lacs to Rs. 12.5 lacs. But again, nothing is confirmed yet. So, people fasten your seatbelts and get ready for a price hike ride.
The apparent reason behind this latest jump would be the devaluation of the Pakistani rupee, increase in freight charges, and a jump in material cost.
Toyota CBU Prices Increase
Earlier this month, Toyota CBU prices were increased up to whooping Rs. 2,280,000. According to a notification, the company said due to the recent hike in Regulatory Duty (RD) on imported CBU vehicles, it is compelled to pass the price increase to consumers.
It is pertinent to mention that Toyota also increased the prices of these CBUs in January 2022, citing the same reason. So, hiking the rates once again for the same reason sounded strange.
Kia Increased Prices
On March 1, Kia Lucky Motors became the first company to increase the prices of locally assembled cars in this new series of hikes. And company cited the exact reasons for the Pakistani rupee’s devaluation to the US dollar. “Also, a significant increase in the sea freight on the import of parts caused this price revise,” the company said.
The new prices were effected from March 1, 2022. It is pertinent to mention that was the second price hike in the last two months.
And we are quite sure that other companies will follow soon because the Pakistani rupee is on a slippery slope against the US dollar. As we have said earlier, this is not good for the local market or consumers, and it will encourage the “ON Money” culture.
What do you think about these price hikes? Do you think they are justified? Share your thoughts in the comments section.
Price increase of PKR 0.3 to 1.25million is unusually high and given the current slippage of Toyota Yaris’s sale and the fact that social media is ablaze with news about ageing Corolla possibly losing ground against Elantra or new Civic. I believe that I.M.C. would be doing a mistake if it proceeds with this price increase. However, as things stand, it can be said long-term planning has ever been done in Pakistan on a mass scale. Had such a culture existed, the country at-least might have been at par with Bangladesh if not China.