KARACHI: Pakistan Automotive Manufacturers Association (PAMA) members sold 41,872 passenger cars in July–September, up 43% from 29,318 in the opening quarter of FY2026-27 (July–June).
PAMA Director General Razi-ur-Rahman attributed the recovery to easing inflation and an improving macroeconomic environment. However, he described “perceptible hesitation” among manufacturers and buyers over policy uncertainty.
September passenger-car sales fell 20% to 10,939 units from 13,717 in August. Topline analyst Sania Irfan linked invoicing restrictions at several assemblers to delayed clarity on sales tax for hybrid and plug-in hybrid vehicles.
Passenger-car production rose 32% to 47,614 vehicles during the quarter, compared with 36,114 a year earlier.
Other vehicle categories followed different paths.
Sales of light commercial vehicles, jeeps and pickups fell 34% to 8,608 units from 12,949 in the corresponding quarter. Truck and bus sales increased 46% to 2,727 vehicles from 1,864.
Farm tractor sales climbed 38% to 4,109 units from 2,981. Two- and three-wheeler sales grew 28% to 553,994 units from 431,542.
PAMA said manufacturers and buyers continued to hesitate over investment decisions because the new auto policy remained unclear. The association wants a taxation framework that supports long-term investment.
Read: Pakistan Auto Policy Nears Launch With EV, Tariff Reforms
At an October 7 Senate committee meeting, Prime Minister’s Adviser on Industries and Production Haroon Akhtar Khan assured participants that the government would approve the policy within two weeks, according to PAMA. The association expects a fair taxation regime within that timeframe.
Imports are another concern for local manufacturers. PAMA reported that 2,276 used cars entered Pakistan in September and suggested importers had brought forward shipments of completely built vehicles before the new policy.
It warned that rising imports could put pressure on the balance of payments and prompt corrective action by the State Bank of Pakistan. It also argued that the trend could harm domestic value addition.
Separately, PAMA welcomed Tariff Policy Board member Dr Rubina Ather’s opposition to additional customs duties on tyres and some motorcycle parts. Irfan forecast double-digit growth in overall auto sales during FY27, supported by new variants and brands entering the market.
September sales of two- and three-wheelers reached 202,502 units, which Topline described as a monthly record.
(With additional input from The News
