The auto industry in Pakistan is facing tough times, with local car assemblers announcing production cuts and price hikes leading to a decline in sales.
The automotive sector in the neighboring country, on the other hand, is experiencing a boom as BMW prepares to introduce 19 new vehicle models, including electric vehicles, and three bike models in the near future.
President of the BMW Group India, Vikram Pawah, stated that the company anticipates double-digit sales in India in 2023, with an emphasis on electric vehicles, which are anticipated to account for 15% of total sales.
22 products in total, including 19 cars and 3 bikes, will be released by the company this year. This is a big deal because the company will accomplish a first-of-its-kind feat by having almost two-thirds of the volume be either new or refreshed products.
As a result of import restrictions imposed by the State Bank of Pakistan, the local auto industry in Pakistan is currently battling production reductions (SBP). A second production reduction for this year was recently announced by Toyota Indus Motors (IMC).
The circular stated that due to low inventory, the company’s assembly plants would be closed from March 24, 2023, to March 27, 2023, and then resume operations with a single shift on March 28, 2023.
Due to the SBP’s import restrictions, which have reduced production and decreased sales, the situation serves as a stark reminder of the difficulties Pakistan’s auto industry is facing.
The local auto industry is concerned about the declining state of the nation’s auto market. To create a supportive environment for the expansion of the auto sector, the government must address these problems.
