KARACHI: Indus Motor Company (IMC) and Honda Atlas Cars Ltd (HACL) have jacked up prices by Rs63,000-493,000 following an increase in Federal Excise Duty (FED) after the passage of Finance (Supplementary) Bill 2021 commonly known as mini-budget.

According to the price announcement, the price of various Toyota Yaris models has surged by Rs63,000-76,000. The new rate of Yaris 1.3GLI MT, GLI CVT, ATIV MT, ATIV CVT, 1.5 ATIV XMT and 1.5 ATV X CVT is Rs2.612 million, Rs2.817m, Rs2.745m, Rs2.919m, Rs2.970m and Rs3.175m.

Toyota Corolla variants prices have been increased by Rs81,000-100,000. The new price of 1.6MT, 1.6AT, 1.6AT SE, 1.8CVT, 1.8 Grande CVT and 1.8 Grande CVT (black interior) is Rs3.380m, Rs3.534m, Rs3.892m, Rs3.872m, Rs4.179m and Rs4.199m.

Higher engine power vehicles’ prices have been raised in the range of Rs146,000-493,000. For example, Revo G MT, Revo G AT and Revo V AT now carry new prices of Rs6.947m, Rs7.306m and Rs8.032m while Revo V ROCCO’s new price is Rs8.472m.

Raise prices by up to Rs493,000

Fortune Lo, Hi, Diesel and Legender models will be sold at Rs8.569m, Rs9.941m, Rs10.392m and Rs10.842m.

IMC said the new prices would be applicable on all pending orders in the system as of Jan 15, and all new orders received on or after Jan 16.

The new prices would be applicable on all invoices from Jan 16 onwards.

As per HACL announcement, the new price of Honda Civic 1.5L Turbo, 1.8L VTI CVT SR and 1.8L VTI CVT has been enhanced by Rs100,000-126,000 to Rs5.175m, Rs4.366m and Rs4.079m.

City 1.5L CVT, 1.5L ASP MT and 1.5L ASP CVT are now priced at Rs3.146m,

Rs3.279m and Rs3.454m while Honda BR-V price has been increased by Rs90,000 to Rs3.689m.

HACL price list did not show any price hike in Honda City 1.2L MT and CVT models as an official in HACL said that “there is no FED on 1,200cc vehicles.”

HACL said new retail prices are applicable on all orders in the system by Jan 15.

The new prices will be applied on orders and invoices from Jan 16 and onwards.

Pak Suzuki Motor Company Ltd (PSMCL) was the first to push up prices by Rs29,000-150,000.

Industry executives did not give a clear picture of the immediate impact of price hikes on the car sales. SUVs and jeeps as many companies had been holding advance booking orders of vehicles in hand as of last quarter of 2021 whose delivery time is the first or second quarter of 2022.

Consumers had witnessed a price drop of Rs62,000-400,000 following duties and taxes cut in budget FY22.

However, the assemblers had started increasing prices with higher intensity since November 2021 by up to Rs100,000-590,000 in the wake of surging freight charges, massive rupee devaluation and logistics issues.

Despite price hikes, rising interest rates and curbs on auto financing, the IHFY22 ended with a 71.2pc rise in car sales followed by 66pc in jeeps and 63pc in light commercial vehicles.

Published in Dawn, January 22nd, 2022