Passenger car sales drop 10% in April compared to last year

• Analysts say that overall positivity prevailed for automotive sector.
• Bikes and rickshaws’ sales increase by 26% YoY, 6.0% MoM in April.
• Truck and bus sales in April were up 127% YoY, 13% MoM.
  

KARACHI: Passenger car sales (PAMA members) declined by 10% year-on-year (YoY) in April 2025 in Pakistan. Sales also fell on a month-on-month (MoM) basis. However, 10MFY25 sales remained strong, The News reported.

Passenger car sales decreased by 10% in April 2025 to 8,004 units against 8,873 units in April 2024, according to data released by the Pakistan Automotive Manufacturers Association (PAMA).

In the ten months of FY25, a total of 83,269 units were sold, up 32% against 62,964 units sold during the same period in FY24.

Analysts said that overall positivity prevailed for the automotive sector, however, highway closures in Sindh amid a protest against the canals issue slowed down the sales.

On a MoM basis, April 2025 sales remained lower by 1.5% to 8,004 units compared with the 8,130 units sold in March 2025. During this period, sales of 1300cc and above cars were recorded at 5,175 units, up 61% compared with the same month of the previous year’s sales of 3,212 units.

In April 2025, 1,000cc cars recorded sales of 230 units, (146 units of Suzuki Cultus and 84 units of Suzuki WagonR) against 638 units in the same month last year.Below 1,000cc vehicles recorded a sale of 2,599 units, lower by 48% against 5,023 units last year.

For the second consecutive month, Dewan’s Honri-Ve did not record any sales. The sale of jeeps and pick-ups increased to 2,592 units from 1,642 units sold during the same period last year.

Bikes and rickshaws’ sales increased by 26% YoY and 6.0% MoM totalling to 135,721 units in Apr 2025. 

“Higher sales in this segment are attributed to people’s improving purchasing power amidst lower inflation, we believe,” Myesha Sohail, research analyst at Topline Securities, said. 

This takes 10MFY25 sales to 1.2 million units, a 30% YoY rise. “The total tractor industry recorded sales of 1,602 units, a 48% YoY fall while 4.0% MoM. Tractor sale fell on a YoY basis due to weak farm economics, in our view.”

Truck and bus sales in April were up 127% YoY and 13% MoM, reaching 520 units. This takes 10MFY25 sales to 3,885 units an 85% rise from 2,098 units in 10MFY24.

Mashood Ali Khan, former chairperson of the Pakistan Association of Automotive Parts and Accessories Manufacturers (PAAPAM), said the automotive sector was showing signs of recovery amid declining inflation and interest rates. 

“The current positive momentum is expected to continue until June, after which the federal budget may impact sector performance,” he said.

According to Myesha Sohail, MoM decline was mainly due to highway closure in Sindh, which delayed deliveries and thus lower sales.

YoY growth is supported by a more stable macroeconomic environment, lower interest rates, easing inflation and improving consumer sentiment. Additionally, new model launches and variant introductions played an important role in attracting demand.

Company wise: Sazgar Engineering (SAZEW) recorded the sharpest MoM decline in April 2025, with sales falling 42% to 549 units, largely due to a 10-day strike that disrupted production. Year-on-year sales remained broadly unchanged. 

Cumulatively, sales during 10MFY25 rose 130% YoY to 8,576 units, compared to 3,723 units in 10MFY24, driven by the growing acceptance of the Haval brand. 

Pak Suzuki Motor Company (PSMC) posted a fall of 12% MoM and 33% YoY to 4,003 units in April, while Honda Atlas Cars (HCAR) saw the highest MoM and YoY rise of 20% and 70%, respectively, reaching 1,707 units.

Indus Motor Company (INDU) recorded a 58% YoY and 4.0% MoM rise while Hyundai Nishat saw a 9.0% YoY rise while a 5.0% MoM fall.