Pakistan is going through the toughest of economic times with Rupee keeps plunging to a record-low against US Dollar every passing day. This has resulted in prices hikes of a number of items including automobiles.
Massive currency devaluation, coupled with imposition of CVT (Capital Value Tax) by the government and increased raw material & transportation costs are said to be the key reasons behind the never-stopping trend of price hikes. Within the first 7 months of this calendar year, car prices have been revised by up to 5 times already with at least 30% increase in prices compared to the beginning of this year.
However when compared to prices from 3 years ago, June 2019 to be exact, renders a saddening situation of the economy as well as the import-dependent auto sector which is still in its infancy despite more than three decades of presence. Customers also blame that in the absence of any check & balance by the government, the impact of slightest of forex fluctuation is transferred by more than 100% on to the customers when assemblers claim to have achieved up to 70% localization.
Below is a price comparison from July 2022 and June 2019, remember the latter is from a time when we were already crying for outrageous increase in prices especially when compared to figures from December 2017. However now, the unfortunate prices of 2017 will look like a blessing to most of us today, have a look.
|Car/ Model||June 2019||July 2022|
|Honda Civic Turbo RS||3,799,000||8,099,000|
|Honda Civic (Base Model)||3,199,000||6,799,000|
|Honda Civic Oriel||3,399,000||7,099,000|
|Honda City Base Model MT||1,919,000||4,049,000|
|Honda City Base Model AT/ CVT||2,059,000||4,199,000|
|Honda City Aspire 1.5 MT||2,134,000||4,609,000|
|Honda City Aspire 1.5 PT/ CVT||2,274,000||4,799,000|
|Honda BRV-S CVT||2,569,000||5,299,000|
|Toyota Corolla Altis 1.6 AT||3,069,000||5,139,000|
|Toyota Corolla Altis 1.8 CVT||3,205,000||5,679,000|
|Altis Grande 1.8 CVT SR||3,409,000||6,189,000|
|Toyota Fortuner 2.7L||7,299,000||12,489,000|
|Toyota Fortuner 2.8D||7,819,000||15,069,000|
|Toyota Hilux Revo G MT||5,009,000||9,819,000|
|Toyota Hilux Revo G AT||5,239,000||10,299,000|
|Toyota Hilux Revo V AT||5,559,000||11,349,000|
|Isuzu D-Max V-Cross 3.0 MT||4,450,000||6,600,000**|
|Isuzu D-Max V-Cross 3.0 AT||4,675,000||6,960,000**|
|Suzuki Wagon R VXR||1,264,000||2,549,000|
|Suzuki Wagon R VXL||1,344,000||2,699,000|
|Suzuki Cultus VXR||1,440,000||2,330,000|
|Suzuki Cultus VXL||1,551,000||2,879,000|
|Suzuki Cultus AGS||1,668,000||3,159,000|
|Suzuki Swift Base MT||1,585,000||3,349,000|
|Suzuki Swift DLX AT/ GLX CVT||1,721,000||3,959,000|
E&OE- (**updated prices yet to be announced)
Interestingly in June 2019, one dollar was equal to around Rs 152+/- which means if dollar is around Rs 250 today, the currency has witnessed depreciation of around 65% whereas the prices of local assembled cars in most cases have been increased by 115%.
But the troubling times for import-dependent local auto industry continues as assemblers will b e observing non-production days (NPDs) in August. In order to curtail the outflow of precious foreign reserves, State Bank of Pakistan (SBP) is not issuing the letter of credit (LC) approval for CKD imports, which is causing a slump in production operations resulting in delivery delays. However with bookings currently closed, the assemblers are continuing to give massive push to the car prices which will be applicable on all new bookings whenever it resumes.
A 3d animation professional with over 20 years of industry experience having served in leading organizations & production facilities of Pakistan, an avid car enthusiast and petrolhead with an affection to deliver writings to help shape opinions. Formerly written for PakWheels as well as major publications including Dawn. Founder of CarSpiritPK.com