Car sales in Pakistan, as reported by PAMA, reached 11,098 units in March 2025, marking an 18% year-on-year (YoY) increase but an 8% month-on-month (MoM) decline.
According to Topline Securities, the MoM drop was mainly due to the high sales base in February 2025, when purchases typically rise at the beginning of the year.
Additionally, lower sales and delayed deliveries during Ramazan, attributed to shorter working hours and reduced consumer activity, contributed to the decline.
The YoY growth, on the other hand, was supported by a more stable macroeconomic environment, lower interest rates, easing inflation, and improving consumer confidence.
The introduction of new models and variants also played a crucial role in boosting demand.
With this, total car sales for the first nine months of FY25 (9MFY25) rose to 100,868 units, reflecting a 46% YoY surge from 69,081 units in 9MFY24.
Company-Wise Performance:
Sazgar Engineering (SAZEW) recorded 943 unit sales in March 2025, up 87% YoY and 7% MoM, driven by strong demand for HAVAL models.
Cumulative sales for 9MFY25 reached 8,027 units, a 153% jump from 3,172 units in 9MFY24.
Pak Suzuki Motor Company (PSMC) saw an 11% YoY increase but a 15% MoM drop in sales, with models like Alto, Ravi, Swift, and Every remaining popular.
Indus Motor Company (INDU) reported an 84% YoY and 20% MoM increase, primarily due to strong sales of Corolla and Yaris.
Hyundai Nishat recorded a 19% YoY growth but a 10% MoM decline.
Honda Atlas Cars (HCAR) suffered a 35% YoY drop and a 30% MoM decline in sales.
Other Vehicle Segments:
Sales of two- and three-wheelers rose by 34% YoY but fell 3% MoM, totaling 125,311 units in March 2025.
The numbers for Royal Prince motorcycles and three-wheelers are still awaited. Cumulative 9MFY25 sales reached 1,089,922 units, up 31% YoY.
The tractor industry recorded 1,538 units in sales, down 67% YoY but remaining flat MoM. This brought 9MFY25 sales to 23,230 units, a 34% YoY decline.
Truck and bus sales in March 2025 stood at 460 units, reflecting a 47% YoY increase but a 5% MoM drop. Cumulative sales for 9MFY25 reached 3,365 units, an 80% rise from 1,869 units in 9MFY24.
Outlook:
The auto sector has experienced a strong rebound in FY25 and is expected to maintain its upward momentum, driven by factors such as interest rate cuts, a stable rupee, new model launches, and normalization of deliveries after Ramazan.