Car sales surge by 104pc in July

Published August 12, 2021
Vehicles are seen in a traffic jam on a road in Rawalpindi. ─ Reuters/File
Vehicles are seen in a traffic jam on a road in Rawalpindi. ─ Reuters/File

KARACHI: Robust sales of cars, trucks, jeeps, pickups and tractors were noted in July, while for buses, two- and three-wheeler segments the first month of the fiscal year proved a bit turbulent.

The overall car sales rose by 104 per cent to 20,669 units in July versus 10,123 units in July 2020. Car assemblers had already enjoyed a big sales recovery of 56.7pc in FY21 owing to cheaper auto financing by the banks due to low interest rates.

Meanwhile, Pak Suzuki Motor Company Ltd (PSMCL) and Indus Motor Company (IMC) achieved the highest-ever monthly overall sales of 15,181 and 6,715 units, respectively, in July. Toyota Corolla appeared to have gained its lost position in July with sales of 2,320 units as compared to 1,528 units, up by 52pc as its major share had taken up by Toyota Yaris whose sales rose by 43pc to 2,700 as against 1,883 units.

Sales of new players like Hyundai Elantra and Hyundai Sonata stood at 157 and 163 units in July.

According to figures released by Pakistan Automotive Manufacturers Association (PAMA), Suzuki Cultus and Wagon R sales surged by 291pc and 277pc to 4,213 and 2,131 units from 1,077 and 566 units. Bolan and Alto sales also posted a jump of 83pc and 183pc to 950 and 6,110 units from 519 and 2,158 units.

Demand for buses, two- and three-wheelers falls

The only loser was Honda Civic/City with sales of 1,700 units as against 2,210 units in July 2020 as buyers delayed buying plans due to introduction of new model whose booking got underway from May, while deliveries would start from the third week of August.

Umair Naseer of Topline Securities said Lucky Motor Corporation (LMC), a non member of PAMA, sold 1,600 units in July, same of the preceding month.

Jeep 4x4 segment continued to pop up with 197pc in which Toyota Fortuner and Honda BR-V sales registered a jump of 186pc and 136pc to 418 and 607 units as compared to 146 and 257 units. The new player Hyundai Tucson sold 175 units in July.

As per market reports, KIA Sportage sales stood around 21,000 units since its launch. The company sold 2,000 units in 2019, 11,000 units in 2020 and 8,000 units in 2021 so far, making it the top-selling SUV in Pakistan while the company’s gross revenue on Sportage is around Rs105bn in three years.

Mr Umair recalled that the government had announced relief and tax cut in the federal budget 2021-22 which brought down car prices across the board. However, many customers had held back their purchased till July.

The overall truck sales grew by 47pc to 320 units from 218 in which sales of Hinopak, after remaining in hot waters in FY21, recovered by 159pc to 75 units from 29 while Isuzu sold 277 units from 109 units, up by 108pc. JAC sales went up by 50pc to 18 units from 12 units despite zero production in July as compared to 12 units in July 2020.

Overall pick up sales saw a whooping rise of 169pc to 3,049 units last month from 1,133 units in July 2020 in which Suzuki Ravi and Toyota Hilux sales surged by 217pc and 163pc to 1,552 and 1,277 units from 489 and 486 units. JAC sales remained unchanged at 52 units. D-MAX sales went down by 10pc to 36 units from 40 units while Hyundai Porter sales rose by 100pc to 132 units from 66.

In farm machinery, Fiat tractors showed no big improvement with sale of 1,406 units as compared to 1,401 units while Massey Ferguson sales rose by 33pc to 2,926 units from 2,205.

PAMA members reported 38pc plunge in bus sales to 23 units in July from 37 in July 2020 in which Hino sales dipped to 10 units from 16 units while Isuzu sales rose to 13 units from six.

Total two- and three-wheeler sales fell by 11pc to 133,426 units in July from 149,921 units in July 2020 as figures of some assemblers like Road Prince and Qingqi were awaited in the PAMA July data followed by drop in sales of some assemblers.

Honda bikes sales showed six per cent growth to 100,002 units from 94,002 units while Suzuki and Yamaha sales stood at 2,715 and 1,607 units as compared to 1,282 and 1,311 units, up by 112pc and 23pc respectively.

Among the losers, sales of United Auto Motorcycle, the country’s second largest bike maker, came down by 23pc to 27,727 units from 36,050 while its three-wheeler sales suffered 58pc plunge to 254 from 603 units.

A drop of 26pc was witnessed in Sazgar three-wheeler sales to 829 units in July from 1,115 units in July 2020. Ravi sales dipped 79pc to 292 units from 1,397 units.

Published in Dawn, August 12th, 2021

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