Pakistan Spent Rs75bn on Imported Cars During FY2015-16 – A New High!


The sales of locally produced cars in last financial year broke all previous records and went into double digits. The sales score rose to 17pc (sedans and hatchbacks) in FY2015-16 compared to FY2014-15. That is no doubt a great news. But similarly, the imports of used cars in these twelve months have seen some astonishing rise as well.

Also Read: Car Sales in Pakistan up by 17.6pc at the End of FY2015-16 – A New Record!

According to recently released numbers, around 53,600 units of used cars were imported in twelve months of FY2015-16. Whereas only 32,100 units of used car were imported in FY2014-15. That is an increase of almost 67pc compared to the figure of imported cars in FY2014-15. According to an estimate, Pakistani auto consumers spent roughly Rs75bn on imported vehicles. The brunt Pakistani exchequer is bearing in the result of these imports is colossal.

Senior Vice Chairman Pakistan Association of Automotive Parts and Accessories Manufacturers (PAAPAM) Mashood Ali Khan said in a statement to the press that it’s high time that Pakistan starts to focus and invest in its auto industry. He said we are a nation of 200 million where 55pc of the population is under the age of 30 years. The money that was spent on the imports could have been enough to establish two Honda Atlas-sized plants in Pakistan. The imports of used cars are not going to provide job opportunities to the skilled and unskilled youth of Pakistan. He remarked,

“Import of used cars can never serve this objective,”

But on the other hand, the importers of used cars have their side of the story saying that current Pakistani automakers are not doing their job well enough. They provide limited options in high prices and the quality of products in never up to the standard.

That, although, can be argued as the reality, but the fact that imports hurt our federal reserves cannot be denied. The import of used cars was a short-term fix, but now that fix has turned into a trouble of its own kind. The new auto policy only recently has been approved. It is crucial for our auto industry and for Pakistan on the whole that the policy works in exact the way it was intended at the launch.


Writing about cars and stuff.

  • M Salman Tariq

    it is times like these where the government has to do much much more than announcing a new auto policy, we need a very radical shift in this industry,
    the government should either lure more players which isnt exactly working out right now, or the government should Itself setup a plant and employ the local populous to manufacture vehicles here,
    Provide incentives to those who are willing to invest and start a new plant (Like once Adam Motors did with Rivo)

  • Iftikhar Sadeed Khan

    Govt should give incentives to new car companies like, VW, Ford, Fiat, Renault, Alpha Romeo etc to establish plants to assemble their cars in Pakistan to increase competition. This will bring revenue for govt and also help local work force.
    At the moment I will never buy a Pakistan assembled Honda, Toyota or Suzuki because of its poor quality and horrible in-car safety. NO good quality ABS, Airbags or Traction control are available as standard in local assembled cars. Goverment should reduce custom duty on imported cars so that we can get good quality cars on our roads.

  • Guest

    His Highness The Honourable Senior Vice Chairman Pakistan Association of Automotive Parts and Accessories Manufacturers (PAAPAM) Mashood Ali Khan should ensure that that auto parts manufacturers (companies which are members of His Royal Highness’s association) do not get blackmailed and threatened to obsolescence at the hands of big 3 as soon as they decide to manufacture parts for Adam Revo.