The challenging period for the local auto industry continues, as sales remain at rock bottom. The decline is attributed to massive currency depreciation, steeply rising car prices, stringent auto financing conditions, and the depleted buying power of the masses.
The first quarter of the current fiscal year came to a very depressing conclusion for locally assembled cars, which caused more anxiety for the auto industry and its stakeholders. The numbers are way lower than that of the corresponding period of the previous fiscal year (Q1, FY22-23) which were already significantly lower than the numbers from Q1, FY21-22.
A total of 16,021 cars were sold during the first three months of the current fiscal year, a considerable decrease of 43.93% from the same time the year before. This is also the lowest number of cars ever sold during the first quarter of a new fiscal year in the local automotive history (ever since the inception of Big 3). Let us now look at the sales performance of locally assembled cars during the first quarter of FY23-24.
Honda Civic & City
Honda presents the combined numbers of City and Civic since 2014. According to the data released by PAMA (Pakistan Automobile Manufacturers Association), only 1,860 units of both were sold during the first quarter of this fiscal year compared to 5,045 units from the same period a year ago. This represents a 63% decline in sales.
Honda HR-V and BR-V
Likewise, Honda also presents the combined numbers of HR-V and BR-V. The duo saw 650 sold during Q1, FY23-24 versus 581 units a year ago. The higher numbers in this quarter are because the HR-V was launched in October 2022 and the numbers from Q1, FY22-23 only represent that of BR-V.
Toyota has also stopped releasing individual Corolla and Yaris sales figures since February 2022. The combined number of the two stands at 3,236 units in Q1, FY23-24 against 6,415 units in the same quarter of the previous fiscal year, registering an almost 50% decline in sales.
Toyota Hilux and Fortuner
Another example of combined sales figures comes in the form of the Toyota Fortuner and Hilux, together they saw 1,275 units sold in the first quarter of the current fiscal year versus 2,453 units in Q1, FY22-23 witnessing a 48% decline.
Suzuki Swift which saw a flying start to its journey in Pakistan has also started to falter. It sold 1,261 units during this quarter compared to 2,116 units in the previous year’s first quarter showing a 40% dip in sales.
Once a prime seller for Pak Suzuki, the Cultus saw only 814 units during the first quarter of this financial year versus 1,823 units in the corresponding period of last year witnessing a 55% decline in sales.
Suzuki Wagon R
The sufferings of Wagon R aren’t different either. The tallboy hatchback sold 963 units in Q1, FY23-24 compared to 1,413 sold during the first quarter of the previous fiscal year. Hence the sales went down by 32%.
Pakistan’s bestselling car Alto suffered from a massive decline too. With 6,760 units sold during the first quarter in comparison to 9,283 units from a year ago, the entry-level hatchback suffered from a 27% decline in sales. However, the Alto still remains the highest-selling car in Pakistan.
Suzuki Bolan and Ravi
Sales of 44-year-old Bolan & Ravi also dipped massively. Bolan sales went down from 1,189 units to 541 units whereas sales of Ravi declined from 815 to 607 units, rendering a 55% and 25% decline respectively.
Isuzu D-Max is a permanent resident of the extreme bottom of the domestic sales chart. But its sales went down even further. The D-Max saw only 26 units leaving the showroom floors during this quarter, which is 19% less than the 32 units it sold in Q1, FY22-23.
The newcomer BAIC BJ40 also saw among the slowest sellers. Only 23 units were sold during this quarter compared to 36 units sold in the first quarter of the previous fiscal year, witnessing a 36% sales decline.
Sales of Hyundai Elantra also went down sharply, with just 269 units sold in Q1, FY23-24 compared to 901 units in the same period of the previous year suffering a 70% decline.
Surprisingly the Sonata is the least impacted locally assembled model. With 317 units sold during this quarter against 385 units sold a year earlier, the Sonata witnessed a rather negligible 17% decline during the first quarter sales.
Tucson’s sales performance wasn’t that bad either. It sold 1,213 units in Q1, FY23-24 compared to 1,464 units sold in Q1, FY22-23 observing a 17% reduction in sales.
Hyundai Porter was the only locally assembled name to show an uptick in this quarter’s sales. From 347 units sold in the first quarter of the previous fiscal year, Porter’s sales went up by 6% thanks to 368 units sold in Q1, FY23-24.
Below is the performance breakdown of automakers based on the first quarter sales.
Honda’s cumulative sales for the first quarter of the previous fiscal year stood at 5,626 units, however this year the sales nosedived by 55% to 2,510 units.
Toyota’s sales in the discussed period of the previous fiscal year were 8,868 units, however, this year sales shrunk to 4,811 units registering a 45% decline in sales.
Suzuki sold 16,639 units in the first quarter of the previous fiscal year. This year, however, the automaker was able to sell 10,946 units witnessing a 34% decline in sales.
Hyundai’s previous year’s sales for the discussed period were 3,097 units which declined to 2,167 units in the first quarter of the current fiscal year for a 30% decline in sales.
From the above, the damage in sales to Honda and Toyota is much more significant compared to Suzuki and Hyundai. Other automakers including Kia, Changan, Proton, DFSK, and United also suffered from a sales decline during Q1, FY23-24, but since they are not members of PAMA, their sales data isn’t publicly available online it is hard to assess the extent of the impact.
A computer animation professional with over 23 years of industry experience having served in leading organizations, TV channels & production facilities in Pakistan. An avid car enthusiast and petrolhead with an affection to deliver quality content to help shape opinions. Formerly written for PakWheels as well as major publications including Dawn. Founder of CarSpiritPK.com