KARACHI – Car buyers across Pakistan are facing another financial setback as major auto manufacturers have increased prices by up to Rs600,000, citing currency depreciation and rising production costs.
The sudden hike has impacted several models across different brands, with dealers attributing the surge to the ongoing pressure on the Pakistani rupee, import duties, and increased freight and raw material prices.
What’s Causing the Hike?
According to industry insiders:
- The devaluation of the rupee against the US dollar has made imported auto parts and CKD (completely knocked down) kits more expensive.
- Higher shipping charges and regulatory duties have further added to vehicle costs.
- Some companies are adjusting prices in anticipation of new fiscal policies and tax measures.
Consumer Frustration Grows
With back-to-back price increases in recent months, consumers are growing increasingly frustrated. Many potential buyers are delaying purchases, while others are shifting toward smaller, used, or imported cars.
“We were saving to buy a new sedan, but the price hike pushed it out of our range,” said a resident in Karachi. “It’s becoming impossible for middle-class families.”
Experts Call for Government Action
Market analysts are urging the government to:
- Stabilize the exchange rate through policy interventions.
- Reduce taxes and duties on essential imports.
- Introduce consumer-friendly incentives for local car production.
If no action is taken, industry observers warn that further increases could follow, putting cars further out of reach for the average Pakistani.
This story has been reported by PakTribune. All rights reserved.