LAHORE - As per latest data released by Pakistan Automotive Manufacturers Association (PAMA), total auto sales saw a slowdown in Dec 2017, with all passenger cars sales declining by 6 percent monthly. Amongst LCVs segment, only Hilux (up 1 percent MoM) saw positive growth in sales, while sales for BR-V and Ravi declined by 40 percent and 13 percent MoM, respectively.
Experts said the year-end factor led to the broad-based decline in sales on monthly basis, whereby sales for all three OEMs (down 14 percent, 28 percent for INDU, HCAR, respectively, while PSMC saw a meager growth of 1 percent) took a hit during the month. On the other hand, Dec’17 saw HCVs’ sales growth of 6 percent MoM, maintaining its strong momentum on the back of increased construction activities, however, sales for tractor dipped 11 percent MoM. Going forward, it is expected the sales would recover from Jan 2018 onwards due to new year effect. On a cumulative basis, 1HFY18 numbers remained healthy for auto sector sales, with total sales growing (up 27 percent YoY). HCAR outperformed with 50 percent YoY increase. PSMC followed with a 32 percent YoY growth in sales, driven by 34 percent YoY growth in Cultus (new model launch), 29 percent in Mehran and 87 percent in Wagon-R.
Pak Suzuki’s sales are up 29 percent in Dec 2017 thanks to hefty 100 percent/22 percent/15 percent YoY growth in Wagon-R, Mehran and new Cultus sales, respectively. Honda Car sales were up 33 percent YoY mainly due to absence of BR-V model last year.
Indus Motors sales, on a YoY basis, remained an exception where sales plunged by 3 percent YoY due to slowdown in sales of new Hilux and Corolla (down by 8 percent and 5 percent respectively), during the month.