Pakistan Automotive Manufacturers Association (PAMA) released data on car sales in the country and highlighted the troubled situation of Pakistan's economy. The sales registered an 84 per cent dip. For April 2023, only 2,844 units were sold against 18,826 units sold in April 2022, a report published in HT Auto said.
For reference, India - the world's third-largest vehicle market - registered sales of 331,000 units in April 2023. While putting Indian and Pakistan's sales numbers side-by-side may not be justified, it serves well to highlight the extent of the economic crisis Pakistan is going through.
The drop in demand is the most obvious and biggest factor for the decline in sales. However, climbing interest rates, escalating costs, inflationary pressure, and rising fuel prices have added to the troubles and caused the decline.
Entry-level cars with smaller engines of capacity 1000cc or less have been impacted the most, HT Auto reported. The PAMA data reveals that only 276 units of otherwise popular cars such as Suzuki Alto, WagonR, and Cultus (Celerio in India) were sold during April in the country.
Moreover, the decline in sales is not limited to cars but has hit the entire automotive industry in Pakistan. Buses, trucks, and tractors sales have also tumbled down to embarrassing figures, HT Auto reported.
While sales numbers for two and three-wheelers were not available but looking at the trend, it is only natural that they registered a decline in sales as well.