Automotive assemblers meet SBP restrictions
Following the restriction imposed by the State Bank of Pakistan (SBP) on the import of parts and accessories, car assemblers have surprised their customers with huge price hikes while suspending reservations at the advance of vehicles.
Effective July 1, Pak Suzuki Motor Company Ltd (PSMCL) has temporarily suspended all reservations of two- and four-wheelers. The company also increased the price of two-wheelers.
Read more: SBP restriction caused panic among car assemblers in Pakistan
According to market sources, the company still has an advance reservation of 15,000 to 20,000 units for delivery in the coming months.
Public relations manager and spokesperson for PSMCL, Shafiq Ahmed Shaikh, told Dawn that the company handled production until June 30, but had to temporarily halt bookings due to the ban on kits completely. knocked down (CKD) and the uncertainty of import restrictions on parts production. .
He said all orders received by the company before June 30 would be processed.
PSMCL has increased the prices of its two-wheelers including the GD110S, GS150, GS150SE and GR150 from Rs 7,000-10,000 to Rs 219,000, Rs 239,000, Rs 256,000 and Rs 349,000, effective 2 July.
Since 18e By May, the Indus Motor Company (IMC) had already stopped taking reservations.
However, IMC had apologized to its customers for the late delivery of vehicles already reserved by customers due to serious operating difficulties due to the current instability, due to the LC approval constraint of the State Bank of Pakistan for imports of CKD and a significant decline. in rupees against the dollar, which disrupted its vehicle production.
Read more: Major downturn in the automotive industry in Pakistan
Lucky Motor Corporation Limited (LMCL) has also announced that advance reservations for the Picanto and Spectra automatic transmission will close on May 20, 2022, while reservations for the Picanto, Stonic and Peugeot manual will remain open. According to sources, the company has advanced reservation orders for more than 4,000 units.
According to a Honda Atlas Cars Limited dealership, the firm has not yet provided guidelines on closing reservations.
The Pakistan Automobile Manufacturers Association (Pama) has warned the government that auto component manufacturers and distributors are facing production problems due to SBP limitations imposed on May 20. The entire supply chain, including local distributors, dealers and support entities, has been disrupted by this policy change.
This could lead to a tsunami of unemployment, as the closure of supplier factories will mainly affect daily wages and contract staff.
Yamaha’s 125Z, YB125Z DX, YBR125, YBR125G and YBR125G were priced at Rs 255,000, Rs 273,500, Rs 280,500, Rs 292,000 and Rs 295,000, respectively, after an increase from Rs 21,000 to Rs 23,000 on June 3. .
Atlas Honda Limited (AHL) has announced a price hike of up to Rs 15,000 from July 1.
Although the car sales have reached a large number despite the government’s discouraging measures, but now the shock has hit both sides; supply and demand in the automotive industry. Now, it is inevitable to increase the number of cars or the overall sale of vehicles in the current situation.