KARACHI: As the government is busy handling political and economic crises, the auto assemblers are fully cashing in on the situation by jacking up vehicle prices.
Indus Motor Company (IMC) on Friday emerged as the third company to give a big price shock of Rs590,000 to Rs3.16 million in various models, citing rupee devaluation, increase in taxes and duties including capital value tax (CVT), increasing raw material prices and transportation cost.
By already suspending the booking of vehicles from May 18 due to parts shortage because of restrictions on opening letters of credit (LCs) and volatile exchange rate and inability to maintain timely delivery of vehicles, the company said: “the order intake is still suspended until further notice.”
There were reports that the recent Economic Coordination Committee meeting had fully removed the conditions on LCs, but the auto assemblers said the restriction still exists and the SBP is issuing a specific quota for parts and kits imports to keep the assembling line rolling.
Indus Motor jacks up rates by up to Rs3.16m
The new price of Corolla 1.6 MT, AT and AT UPSPEC models are Rs4.899m, Rs5.139m and Rs5.639m while 1.8CVT, CVTSR and CVTSR Black models will carry a new price of Rs6.679m, Rs6.149m and Rs6.189m, respectively.
The new prices of Yaris 13MT, CVT, HMT and HCVT are Rs3.799m, Rs4.039m, Rs3.999m and Rs4.209m. Yaris 1.5MT and 1.5CVT will be sold at Rs4.309m and Rs4.569m. REVO GMT, GAT, VAT and VAT ROCCO will be sold at Rs9.819m, Rs10.299m Rs11.349m and Rs11.999m.
The new rates of Fortuner LO Petrol, High Petrol, Diesel and Diesel Legender are Rs12.489m, Rs14.279m, Rs15.069m and Rs15.839m, respectively.
IMC informed its dealers that these prices are purely indicative and provisional and subject to change and shall not be construed as final.
The price at the time of delivery shall continue to be applicable.
Auto sources said Honda Atlas Cars Ltd (HACL) had informed its dealers regarding a possible price rise of Rs785,000 to Rs1.450m in Honda City, Civic and BR-V effective July 30.
Before IMC and HACL, Kia Lucky Motor Corporation was the first company followed by Hyundai Nishat Motors to pass on the impact of exchange rate and high taxes and duties to the consumers by jacking up rates by up toRs1.1m.
Motorbikes to cost more
In two-wheelers, N.J. Auto Industries had informed its dealers regarding Rs5,000-20,000 jump in prices of 70cc-250cc models of Super Power models effective Aug 5 due to continuous rising raw material prices and utility charges. The company had also raised the price of SP100cc Awami bike by Rs5,000 from July 27.
DS Motors Private Ltd has decided to increase the price of 70-100cc bikes by Rs5,000 from Aug 5.
Published in Dawn, July 30th, 2022