The import restrictions on cars have been in effect for a year. Production, sales, and revenue for the sector have been steadily declining since May 2022.
In May 2023, more bikes were sold, according to a recent report from Pakistan Automotive Manufacturer’s Association (PAMA). Over 87,133 units were sold by Atlas Honda, an 18.5% increase from the previous month.
While Yamaha sold 1,114 motorcycles in April, a 32.5% MoM increase in sales, Pak Suzuki sold 820 motorcycles in April, a decrease of 29.1% month-over-month (MoM). Additionally, sales for Chinese bike manufacturers increased by up to 81.4%.
Although the report does not specifically mention the cause of the decline, import restrictions, and ensuing production halts are the most likely to blame factors. The overpriced bikes, according to some industry watchdogs, may also be to blame for the drop in sales.
Despite rumors that imports into the auto industry will soon resume, it is likely that sales will remain subpar because of ongoing financial and operational challenges. A second production shutdown that occurred last week seems to have put Pak Suzuki in serious trouble.
According to the official notification, the assembly of motorcycles will be halted from June 12 to June 16. Following the resumption of bookings, Suzuki may raise the bike prices due to the dollar exchange rate’s current topsy-turvy condition.