Passenger car sales surge 22% YoY in July, slump 60% MoM

• PAMA members sell 7,135 cars in July.
• Car sales surge on lower interest rates.
• Two/three-wheeler sales jump 44% YoY.

KARACHI: Passenger car sales by Pakistan Automotive Manufacturers Association (PAMA) members climbed 22% year-on-year to 7,135 units in July 2025, driven by lower interest rates and improved consumer sentiment, though sales plunged 60% from June’s pre-budget buying surge, The News reported.

PAMA data showed passenger car sales by member companies rose from 5,857 units in July 2024 to 7,135 units in the same month this year.

On a month-on-month basis, sales dropped sharply from 17,659 units in June 2025. In the 1,300cc and above segment, sales stood at 4,290 units in July, up 74% from 2,465 units in the corresponding month last year.

In July 2025, 1,000cc cars recorded sales of 264 units against 235 units sold during the same period last year. Below 1,000cc vehicles recorded sales of 2,557 units against 3,157 units sold during July 2024.

Dewan’s Honri-Ve recorded sales of 24 units in July 2025.The sale of jeeps and pick-ups increased to 3,899 units from 2,732 units sold during the same period last year. However, sales of tractors decreased to 1,195 units from 1,460 units in July last year.

Truck and bus sales increased to 374 units in July 2025 against 307 units sold during the same period last year. Myesha Sohail, an auto sector analyst at Topline Securities, said the MoM decline was primarily due to the high base effect in June 2025, driven by pre-buying ahead of anticipated budgetary changes and accelerated purchases by buyers.

She said, “We expect the momentum in auto sales to continue in FY26, supported by lower interest rates and a strong pipeline of new model launches across various engine types, including hybrid and plug-in hybrid.” The YoY growth is due to a more stable macroeconomi cenvironment with lower interest rates and easing inflation, which has improved consumer sentiment.

Company-wise, Indus Motor Company (INDU) recorded a 2x YoY increase in sales but a 9.0% MoM decline to 3,337 units. The growth was led by a 17% MoM rise in the ‘Fortuner and IMVs’ segment, while demand for Corolla, Yaris and Cross also remained robust.

Hyundai Nishat’s sales grew 2.1x YoY but fell 16% MoM to 1,225 units. The Hyundai Porter was the only model to post MoM growth, rising 31%, while the Tucson and Elantra recorded 5x and 4x YoY increases, respectively.

Sazgar Engineering (SAZEW) sales fell 20% MoM but rose 31% YoY, with the MoM fall due to strong June sales from pre-buying on fears of additional duties — later clarified by the company as having no impact on HAVAL prices. Sales were also supported by the launch of the new HAVAL facelift, with further growth expected from August onwards following the introduction of the H6 PHEV variant.

Honda Atlas Cars (HCAR) recorded a 61% YoY increase but a 17% MoM decline to 1,500 units in July 2025. Pak Suzuki Motor Company (PSMC) posted an 18% YoY increase and a 72% MoM decline.

Two/three-wheeler sales rose 44% YoY but fell 12% MoM to 122,441 units in July 2025. Electric motorcycles and three-wheelers, newly added to the data, accounted for 542 units of the total. Road Prince figures are still awaited and could add around 2,000 units to the total.