Honda Wants the Govt to Lift 1300cc Limit For Non-Filers

Honda Atlas Cars Pakistan Limited (HACPL) has encountered a sneaky situation following government’s decision to allow non-filers to purchase vehicles up to 1300cc engine capacity. HACPL only manufactures vehicles above 1300cc, as it assembles 1,339cc and 1,497cc City variants, 1,498cc BR-V and 1,799cc Civic models.

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Maqsood-ur-Rahmani Vice President of HACPL has requested the Finance Minister Asad Umar to allow non-filers to purchase 1,350cc vehicles instead of the 1,300cc as announced in the mini-budget. In addition to Honda City, Suzuki Swift also falls outside the permissible engine capacity limit by a hairline margin. It has 1,328cc engine capacity but according to Shafiq Ahmed Sheikh, spokesperson of Pak Suzuki Motor Company Limited:

“There will be no major impact on company’s overall sales as Swift’s production and sales volumes are low.”

The 2nd generation Suzuki Swift that was introduced in Pakistan back in 2010 sells at a monthly average of just 350 units and sits at the bottom of domestic sales chart. Interestingly, the hot selling 1.3 liter models, the Toyota Corolla XLi & GLi have a 1,298cc engine under the hood and thus have no effect of the tricky situation.

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Finance Minister Asad Umar in his speech on Wednesday said that the ban on purchase of new vehicles for non-filers has been lifted for locally manufactured cars of or below 1,300cc capacity, but higher taxes will apply. Reportedly government has decided to increase withholding tax for non-filers by 50% on all segments of vehicles.

Full Story: Dawn

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