Depressed sales of locally assembled vehicles
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KARACHI: The first month of the current fiscal year started with depressed sales of locally assembled vehicles.
However, tractor industry sales improved in July 2014 to 2,767 units (Fiat 1,056 units and Massery Ferguson 1,703 units) from 1,302 units (Fiat 578 units and Massey Ferguson 724 units) in July 2013.
Pakistan Automotive Manufacturers Association (Pama) figures revealed a decline in car sales to 5,911 units in July 2014 from 9,288 units in July 2013.
Honda Civic and Honda City sales plunged to 631 and 874 units in July 2014 from 800 and 1,162 units in the same period last year. Only 262 units of Suzuki Swift were sold as compared to 440 units.
Toyota Corolla sales also dropped sharply to 673 units from 2,368 units, as buyers hold their purchase for new model of Toyota Corolla.
Suzuki Cultus sales stood at 807 units as compared to 1,225 units in July 2013 while sales of 364 units of the newly launched Wagon R were recorded last month.
Suzuki Mehran sales remained flat with 1,475 units as against 2,299 units in July last year followed by drop in Suzuki Bolan sales to 817 units from 989 units.
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Mohammad Tahir Saeed of Top Line Securities said decline in sales was expected due to abnormal sales in June, due to increase in advance motor vehicle tax and imposition of advance income tax on transfer of motor vehicle in Federal Budget FY15.
Further, anticipated new ‘Corolla’ model and less trading days due to Ramadan were among other factors contributed to historic low sales.
He said monthly sales are at 67 months low. “Last time, in December 2008, industry recorded sales of only 3,879 units.”
Overall truck sales remained brisk with 174 units as compared to 118 units. Sale of Hino trucks, Nissan, Master and Isuzu stood at 74, 24, 35 and 41 units respectively as compared to 60, 12, 24 and 22 units in July 2013, thus reflecting improved trade and business activities relating to import and export.
However, overall sale of buses witnessed paltry decline to 38 units from 43 units in which the sale of Hino buses were 36 units alone as compared to 40 units in July 2013.
Toyota Fortuner sales gained to 70 units from 45 units due to decline in its price after removal of federal excise duty. Sigma Defender sales registered at 14 units as compared to 26 units.
A total of 588 units of Suzuki Ravi were sold while the sale in July 2013 was 739 units followed by drop in Toyota Hilux sales to 363 units from 481 units.
Honda, DYL Motorcycles, Suzuki and Sohrab bike sales fell to 46,008, 491, 1,833 and 335 units from 53,010, 3,436, 1,904 and 646 units respectively. Hero bike sales also dropped to 1,000 units from 1,606 units. In three wheelers category, Sazgar and Qingqi sales came down to 787 and 1,714 units from 910 and 1,927 units respectively.
However, Qingqi and Ravi bikes recorded jump in sales to 431 and 2,613 units from 334 and 2,278 units.
Pama figures further revealed zero production of Habib bikes in July 2014 but its sales stood at 254 units in the same month. In July 2013, Habib bike production and sales were 1,533 and 2,014 units respectively.
Published in Dawn, Aug 13th, 2014
