Sept car sales up 18pc YoY

KARACHI: The sales of passenger cars have gone up by 18 percent YoY in September 2020.

According to Topline, the car sales increased by 18 percent YoY in September 2020 to 13,882 units.

Indus Motor Company (IMC) and Honda Car (HCAR) registered sales increase of 106% YoY and 87% YoY, respectively. However, Pak Suzuki Motor Company (PSMC) sales declined by 20% YoY due to drop in Alto’s sales by 37% YoY.

The car sales have also increased by 19% MoM in September 2020. The increase was driven by IMC increase of 32% MoM as Yaris sales picked up 42% MoM. The HCAR sales also improved by 20% MoM as BRV sales increased by 50% MoM.

New entrants into Pak Auto space continue to perform well with Hyundai Nishat selling 316 units (+187% MoM) in September 2020, while Kia Lucky Motors (KLM, non-member of PAMA) sold around 1,500 units, as per reports. KLM is also planning to shift to double-shift production from Jan-2021 to meet high customer demand. Hyundai Nishat had launched Tucson in SUV category last month. Atlas Honda (ATLH) recorded motorbike sales of 109,002 units in September 2020, up 45% YoY. In 1QFY21, the sales have increased by 22% YoY.

Tractor sales in September 2020 are up 12% YoY, while also increased by 49% MoM. Millat Tractors (MTL) recorded increase of 69% YoY while Al Ghazi Tractors (AGTL) sales declined by 31% YoY, respectively. Topline expected the demand for cars would grow stronger owing to lower interest rates for auto financing along with pickup in economic activity amidst declining cases of COVID-19.

Copyright Business Recorder, 2020