Car sales have registered a massive growth of 61.53 percent during the first seven months (July-January) of the current fiscal year 2021-22 owing to macro-economic recovery.
According to Pakistan Automotive Manufacturers Association (PAMA), total car sales increased to 156,586 units during the first seven months of the current fiscal year as compared with 97,469 units in the same period of the last fiscal year.
However, the sale of passenger cars decreased by 30.6 percent on a month-on-month basis during January 2022, clocking in at 16,985 units as opposed to 24,471 units sold in December 2021 on the back of a hike in prices due to an increase in taxes announced in the mini-budget and higher raw material cost, PAMA data showed.
On the other hand, car sales saw an increase of 17 percent on a yearly basis as compared to 14,543 units sold in January 2021.
Car sales (including sales of non-PAMA members) clocked in at 24,000 units, which is down 25 percent MoM in January 2022.
Indus Motors (INDU) sales were up 9 percent MoM in January 2022 led by increase in Fortuner and Hilux Sales. New entrant into Pak Auto space, Hyundai Nishat sold 612 units in January 2022; down 20 per cent YoY.
Tractor sales in January 2022 are up by 11 percent MoM (-5 per cent YoY). Al Ghazi Tractors (AGTL) recorded an increase of 66 percent MoM and 45 percent YoY while Millat Tractors (MTL) sales declined by 9 percent MoM and 22 per cent YoY.
Pakistan bike sales were up 8 percent MoM and down 6 percent YoY in Jan-2022. This takes 7MFY22 bike sales to 1.1mn units, down 2 percent YoY. Trucks and buses sales were up 132 percent MoM and 114 percent YoY in January 2022 led by increased transportation activity.
Analysts attributed the surge in car sales to macro recovery and single digit interest rates. They said that the decline in MoM sales is due to high base and pre-buying in anticipation of price increase by auto-assemblers.