Passenger car sales (PAMA members) in the country fell by 80 percent in February, 2023 compared with the same month last year, data showed on Monday, with hints that non-production days and a decline in purchasing power had contributed to the decline.
With an exception of buses and trucks, sales of all other variants of cars including jeeps tractors, pick-ups and three-wheelers as well as two-wheelers witnessed a decline in February 2023, compared with February 2022.
According to data released by Pakistan Automotive Manufacturers Association (PAMA), passenger car sales plunged by 80 percent in February 2023 to 3,642 units only, against 18,054 units in February 2022.
In the first eight months of FY23, a total of 78,575 units were sold, down 48 percent against 149,813 units sold during the same period in FY22. February 2023 sales decreased by 40 percent, compared with 6,021 units sold in January 2023.
During this period, sales of 1300 cc and above cars were recorded at 2,842 units, down 56 percent compared with the same month of the previous year’s sales of 6,471 units.
In February 2023, 1,000cc cars recorded sales of 165 units only, (72 units of Suzuki Cultus and 93 units of Suzuki WagonR) against 3,338 units in the same month last year.
Below 1,000cc vehicles witnessed a sale of only 635 units, lower by 92 percent against 8,245 units last year. Suzuki’s new Alto sales decreased to 544 units in February 2023, compared with 7,175 units in February 2023.
Buses and trucks saw an increase to 657 units in February 2023 from 546 units in the same month last year.
The sale of jeeps and pick-ups decreased to 2,120 units from 3,610 units sold during the same period last year.
The sale of tractors dropped to 3,330 units from 4,507 units in February 2022. Rrickshaws and motorbikes sales also decreased to 101,487 units in February 23, against 136,527 units in the same period last year.
According to Sunny Kumar, analyst at Topline Securities, Pakistan car sales (including sales of Non-PAMA members) clocked in at around 6.4k units down 47 percent month-on-month (MoM), lowest since May-2020 due to non availability of completely knocked down parts amid letters of credit issues, which led to non production days. On year-on-year (YoY) basis, car sales also down 73 percent YoY.
In 8MFY23, weak demand dynamics were also evident from a 43 percent YoY fall in industry sales in Feb-2023. It’s primarily attributable to escalating car prices, expensive auto financing, and low purchasing power of consumers.
Pak Suzuki Motor Company Limited recorded decline of 67 percent MoM and 92 percent YoY to 978 units primarily due to reasons mentioned above. Indus Motors (INDU) reported decline of 49 percent MoM to 1,803 units followed Honda Car (HCAR) sales decline of 39 percent MoM and 40 percent YoY to 1,636 units in Feb-2023.
Sources: thenews.com.pk