Pakistan’s Auto Sales Surge, Marking a Turnaround After Two-Year Slump

Karachi: The auto sector in Pakistan has witnessed a strong recovery in FY25, with sales soaring following a two-year downturn. Total industry sales rose by 20% year-on-year, reaching 182,452 units, according to a report by AKD Securities Limited.

INDU reported a remarkable 61% increase in sales, totaling 33,393 units in FY25. HCAR also saw a significant rise, with sales climbing by 38% to 18,296 units.

In June 2025 alone, industry sales hit 25,305 units, marking a 43% increase compared to the same period last year. Passenger cars experienced a notable surge, with volumes increasing by 74% year-on-year.

Looking ahead, the sector is expected to continue its upward trajectory, with anticipated growth rates of 22% and 20% year-on-year for FY26 and FY27, respectively. INDU remains the top pick, with a price target set at PkR3,350 per share by December 2025.