KARACHI: The car sales of registered automobile companies in Pakistan increased by 15% year-over-year (YoY) in December 2020 to 13,870 units. The same, including Lucky Motor Corporation (KIA, a non-member of Pakistan Automotive Manufacturers Association), is up by 20%.
According to Pakistan Automotive Manufacturers Association (PAMA), the Indus Motor (INDU) and Honda Car (HCAR) registered sales increases of 72 per cent and 76% respectively. Pak Suzuki’s (PSMC) sales declined by 13% YoY.
New entrants into Pak Auto space Hyundai Nishat sold 511 units (+8% MoM) in Dec-2020, while Lucky Motor sold around 600 units, as per our channel checks, the report of Topline Brokerage house said.
Car sales, as expected, declined by 4% MoM in Dec-2020. The decline was driven by HCAR (-21% MoM) and INDU (-19% MoM) as the New Year effect kicked in.
Atlas Honda recorded motorbike sales of 106,030 units in Dec-2020, up 25% YoY. In the first half of 2020-21, sales have increased by 20% YoY.
Tractor sales in Dec-2020 are up by 188% YoY but are up only 3% MoM. Millat Tractors (MTL) recorded an increase of 196% YoY (+28% MoM) while Al-Ghazi Tractors (AGTL) sales increased by 146% YoY (-62% MoM), respectively.
The analyst expects demand for cars to grow stronger owing to low-interest rates environment and pickup in economic activity.