It has been a year since the implementation of import restrictions on automobiles, and the industry has been facing consistent declines in production, sales, and revenue since May 2022.According to a recent report by the Pakistan Automotive Manufacturer’s Association (PAMA), there has been a slight increase in the number of bikes sold in May 2023. Atlas Honda recorded sales of over 87,133 units, marking an 18.5% increase compared to the previous month.
Pak Suzuki, on the other hand, experienced a 29.1% decrease in motorcycle sales with 820 units sold, while Yamaha witnessed a 32.5% month-over-month (MoM) increase with the sale of 1,114 motorcycles in April. Chinese bike manufacturers also saw a notable increase in sales, up to 81.4%.
Although the report does not explicitly state the reasons for the decline, it is widely believed that the import restrictions and subsequent production halts are major contributing factors. Some industry observers speculate that the high prices of bikes may also be impacting sales negatively.
Despite rumors of a potential restart in auto industry imports, ongoing economic and operational challenges are likely to keep sales sluggish. Pak Suzuki, in particular, is facing difficulties as it recently underwent another production shutdown. An official notification stated that motorcycle assembly would be suspended from June 12 to June 16. With the fluctuating dollar rate, there is a possibility of price increases for bikes once bookings resume.