Pakistan’s automotive industry recorded a 38% year-on-year (YoY) surge in passenger car sales for June 2025, with 17,659 units sold compared to 10,128 units in the same month last year. For the full fiscal year (FY25), total sales reached 112,203 units, marking a 38% increase from 81,579 units in FY24, according to data released by the Pakistan Automotive Manufacturers Association (PAMA).
Suzuki Alto led the charge with 9,497 units sold in June—its highest sales in 39 months—as buyers rushed to avoid a GST increase from 12.5% to 18% effective July 1. Smaller cars (below 1,000cc) saw a 116% YoY jump, while 1,300cc+ vehicles grew by 50%. Electric vehicles, trucks, and motorcycles also posted strong gains, though tractor sales declined.
Analysts attribute the growth to a stabilizing economy, lower interest rates, and new model launches. Pak Suzuki (PSMC) saw a 2.4x monthly surge, while Sazgar Engineering (SAZEW) posted 55% YoY growth due to its new HAVAL facelift. However, Indus Motor (INDU) and Honda Atlas (HCAR) saw mixed results, with MoM declines despite YoY improvements.
Looking ahead, auto experts predict sustained growth in FY26, driven by new hybrid and plug-in models and a favorable economic environment. “Lower interest rates and fresh vehicle launches will keep demand strong,” said Myesha Sohail, auto analyst at Topline Research, signaling a bright road ahead for Pakistan’s auto sector.