If you’re noticing new car launches almost every month in 2025, you’re not alone. It feels as if someone suddenly flipped a switch and opened the floodgates. After years of stale offerings, the market is making a comeback again, and here’s why we think 2025 specifically has turned into Pakistan’s year of car launches.
Economic Stability (Finally!)
We saw the country’s economy go through extreme ups and downs since 2022 due to fluctuations in the currency. The automotive sector, susceptible to currency swings, suffered greatly. Brands hesitated to bring newer, pricier models because a volatile rupee meant unpredictable import costs and unstable pricing.
Now in 2025, a year after the elections, we’re finally seeing stable currency values and clearer economic policies. Automakers have found the confidence to introduce fresh models without fearing sudden financial losses. Economic calmness directly translates into confident decision-making, and automakers are jumping at the chance to launch new cars.
Increased Competition
Stable economic conditions have unleashed intense competition. Each new launch pushes rival brands to respond quickly, bringing their latest models to Pakistan sooner.
For instance, when Kia introduced the Sportage L HEV, Tucson also got the latest HEV in its lineup. Such chain reactions are fueling continuous market movement, benefiting consumers directly.
Outdated Models Getting Phased Out
Before 2025, Pakistan was stuck with outdated models simply because automakers couldn’t justify investment amid economic uncertainty. Companies kept selling older cars far longer than international standards allowed, mainly because discontinuation meant parts shortages and maintenance nightmares.
Now, with economic clarity restored, brands are forced—and fortunately able—to phase out obsolete models and introduce globally relevant ones. It’s practical for both consumers and companies, avoiding parts scarcity and market irrelevance.
Arrival of New Brands—Chinese Revolution
We can’t overlook the arrival of fresh Chinese names like BYD, Deepal, and GUGO. These brands entered with aggressive pricing strategies and impressive value packages, forcing traditional automakers to reconsider their market criteria. A competitive pricing war means consumers get modern features at lower prices. This new blood injects healthy competition into the market, benefiting everyone.
Electric Vehicles Finally Gaining Ground
Globally, electric vehicles (EVs) have become significantly cheaper to manufacture. As battery costs plunge, automakers can produce EVs at prices similar to traditional petrol vehicles. The simplicity, reliability, and reduced maintenance of EVs make them ideal for small, budget-friendly city cars, a segment particularly relevant to Pakistan. Brands that previously offered tiny, petrol-powered cars now see EVs as an economically smarter and more consumer-friendly choice.
Government Incentives
Additionally, 2025 sees government initiatives promoting cleaner transport. Reduced taxes (1% import duty and 0% sales tax) on electric and hybrid vehicles, along with eased import restrictions for eco-friendly technologies, have convinced hesitant automakers to roll out new models. Government-backed incentives ensure brands feel financially secure enough to expand their product lines rapidly.
Consumer Demand at an All-Time High
Lastly, there has been pent-up consumer demand due to years of stale offerings. Pakistani car buyers have been craving fresh models with better technology, safer designs, and modern features. Car brands have finally recognized this market hunger and are quickly filling the gap. After all, why miss out on eager customers ready to upgrade?
It’s a refreshing wave, and frankly, we’re here for it.
