Islamabad: Pakistan’s car sales experienced a significant annual increase in July 2025, jumping 28% year-over-year to reach 11,034 units, according to Pakistan Automotive Manufacturers Association (PAMA) data. However, sales saw a substantial 49% month-over-month decrease.
The monthly drop is largely attributed to a high comparison base in June 2025, fueled by pre-budgetary purchase surges and accelerated consumer buying. The yearly growth is linked to a more favorable macroeconomic climate, including reduced interest rates and easing inflationary pressures, positively influencing consumer confidence.
Indus Motor Company (INDU) witnessed a twofold yearly sales increase, but a 9% monthly decline, totaling 3,337 units. Fortuner and IMVs segment drove this growth with a 17% month-over-month rise, while Corolla, Yaris, and Cross maintained strong demand.
Hyundai Nishat’s sales exhibited a 2.1-fold yearly surge but dipped 16% month-over-month to 1,225 units. The Hyundai Porter was the sole model to register month-over-month growth at 31%, while the Tucson and Elantra saw impressive 5x and 4x yearly increases, respectively.
Sazgar Engineering (SAZEW) sales decreased 20% month-over-month but increased 31% year-over-year. The monthly decline is attributed to robust June sales due to pre-buying based on anticipated duty increases, later clarified by the company as not impacting HAVAL prices. The launch of the new HAVAL facelift supported sales, and additional growth is predicted from August onward with the introduction of the H6 PHEV variant.
Honda Atlas Cars (HCAR) posted a 61% year-over-year jump but a 17% month-over-month drop, reaching 1,500 units in July 2025. Pak Suzuki Motor Company (PSMC) registered an 18% year-over-year increase and a 72% month-over-month decrease.
Sales of two and three-wheelers rose 44% year-over-year but fell 12% month-over-month, totaling 122,441 units in July 2025. Newly included electric motorcycles and three-wheelers contributed 542 units. Road Prince’s figures are pending and may add approximately 2,000 units.
Total tractor sales reached 1,195 units, marking an 18% year-over-year and a 57% month-over-month decline. This drop is attributed to challenging agricultural economic conditions.
Truck and bus sales increased 22% year-over-year but declined 49% month-over-month, reaching 374 units in July 2025.
Industry analysts anticipate continued sales growth in FY26, supported by lower interest rates and a robust pipeline of new model releases across various engine categories, including hybrid and plug-in hybrid vehicles.
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