Karachi: The auto sector in Pakistan experienced a notable upswing in August 2025, as overall industry sales reached 15,712 units, marking a 35% increase compared to the previous year. This growth was driven by a substantial 62% rise in passenger cars and light commercial vehicles (LCVs) sales. Additionally, truck sales surged by 139%.
Passenger cars with engine capacities of 800cc and below led the growth, with sales soaring to 4,569 units, a 65% increase from the previous year. This rise was mainly due to higher sales of popular models such as the Alto, Swift, Cultus, and Ravi. Sales of vehicles with engine capacities of 1,000cc and above also rose to 4,928 units, reflecting a 48% increase.
Projections for the auto sector indicate continued growth, with anticipated increases of 22% for fiscal year 2026 and 20% for fiscal year 2027. Indus Motor Company (INDU) is highlighted as a strong contender in the market, with a target price of PKR3,585 per share by June 2026. The company is expected to capture a significant portion of the hybrid electric vehicles (HEVs) market in the coming years.
The data was sourced from AKD Securities Limited.
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