KARACHI: Driven by the sale of Toyota Corolla’s new model, the local car assembling industry witnessed 23 percent sales growth in November as sales locally-assembled cars, light commercial vehicles (LCVs), vans and jeeps went up by 23 percent to 11,789 units against 9,588 units in same month last year.
Whereas the sales of tractors saw a robust growth after reduction in General Sales Tax (GST) in the budget.
According to the Pakistan Automotive Manufacturers Association (PAMA), car sales alone declined by 7 percent on monthly basis due to year-end phenomenon where buyers wait for the new year registration. During five months of fiscal year 2014-15 (FY15), auto sales increased 8 percent to 56,339 units compared to 52,384 units in the same period last year.
The association said that robust increase in tractor sales was observed after reduction in General Sales Tax (GST) in last budget. During five months of FY15, tractor sales surged by 45 percent to 18,457 units compared to 12,758 units in the corresponding period last year. Millat Tractors was leading the tractor segment in volumes by selling 11,247 units, followed by Al-Ghazi tractors with 6,953 units that went up by 30 percent Year on Year (YoY).
Analysts attributed this increase to new model phenomenon. On yearly basis, Corolla sales surged significantly by 114 percent compared to 1,966 units in the same month last year.