Car sales rebound in March with 18 per cent growth

KARACHI: Car sales in Pakistan reached 11,098 units in March 2025, marking an 18 per cent increase compared to the same month last year, according to data shared by Topline Securities, citing the Pakistan Automotive Manufacturers Association (PAMA). However, sales were down 8 per cent from February 2025.

Analysts attributed the monthly decline to a seasonal spike in February, when sales typically surge at the start of the year. Additionally, shorter working hours and subdued consumer activity during Ramazan contributed to lower sales and delayed vehicle deliveries.

Interestingly, car sales in February had already declined 29 per cent compared to January, settling at 12,084 units. Despite that drop, February still recorded a 24 per cent year-on-year increase. In January, car sales had jumped by 73 per cent month-on-month to 17,010 units, benefiting from a low base in December.

Topline analyst Myesha Sohail noted that the year-on-year growth seen in March was driven by a more stable economic environment, falling interest rates, lower inflation, and improved consumer confidence. She added that new model launches and variant introductions also helped attract buyers.

During the first nine months of the current fiscal year (9MFY25), total car sales reached 100,868 units — a 46 per cent increase compared to 69,081 units during the same period last year.

Among manufacturers, Sazgar Engineering Works Ltd (SAZEW) sold 943 vehicles in March, showing a strong 87 per cent increase year-on-year and a 7 per cent rise from February. The company continued to benefit from solid demand for its HAVAL variants. In 9MFY25, Sazgar’s cumulative sales rose 153 per cent to 8,027 units, up from 3,172 units last year.

Pak Suzuki Motor Company (PSMC) saw an 11 per cent rise in year-on-year sales in March, although its monthly figures declined 15 per cent. Demand remained strong for its Alto, Ravi, Swift, and Every models.

Indus Motor Company (INDU) posted robust growth with an 84 per cent year-on-year and 20 per cent month-on-month rise in sales, mainly driven by its Corolla and Yaris models.

Hyundai Nishat’s sales in March grew 19 per cent compared to the previous year but dropped 10 per cent from February. Meanwhile, Honda Atlas Cars (HCAR) reported a 35 per cent decline year-on-year and a 30 per cent fall month-on-month.

In the two- and three-wheeler segment, sales climbed 34 per cent year-on-year to 125,311 units in March but dipped 3 per cent from February. These figures exclude data from Royal Prince Motorcycle and three-wheeler makers, which was not available at the time of reporting. Total sales for 9MFY25 stood at 1,089,922 units, up 31 per cent from the same period last year.

Tractor sales dropped sharply by 67 per cent year-on-year in March to 1,538 units, with little change from the previous month. This brought 9MFY25 tractor sales to 23,230 units, reflecting a 34 per cent decline.

The truck and bus segment saw a 47 per cent year-on-year rise in sales during March, reaching 460 units. However, sales were down 5 per cent from February. Cumulative sales for the first nine months of FY25 surged 80 per cent to 3,365 units, compared to 1,869 units in the same period last year.

Read next: PAMA data shows 11 per cent rise in monthly car sales