Pakistan Recorded Highest Monthly Car Sales in 3 Years

Pakistan’s auto industry just hit a major milestone. In June 2025, car sales climbed to 21,773 units, marking the highest car sales in Pakistan in nearly three years. This represents a solid 43% increase compared to June last year and signals a strong comeback for the country’s automotive market.

The surge came just before a major tax hike. Buyers rushed to purchase vehicles ahead of the General Sales Tax increase from 12.5% to 18%, which took effect on July 1. This last-minute buying spree led to a 47% increase in month-on-month sales. Among all models, the Suzuki Alto stood out with its best monthly performance in over three years.

Economic conditions also supported the rebound. Lower interest rates, falling inflation, and better consumer confidence gave buyers more reasons to spend. For the full fiscal year, car sales reached 148,023 units, a 43% increase from 103,829 units sold in FY24.

Pak Suzuki Motor Company led the pack. The company sold 13,217 vehicles in June, more than doubling its sales from May. The Suzuki Alto alone made up 9,497 units, showing a 2.8x increase month-on-month. Cultus sales also jumped during the same period.

Indus Motor Company, which produces Toyota cars, saw mixed results. Year-on-year sales grew 25%, but monthly sales dropped 24%, ending June at 3,687 units. Honda Atlas recorded 1,808 units, a 65% increase over last year, though slightly down from May.

Hyundai continued its steady climb. It sold 1,457 units in June, up from both the previous month and year. Sazgar Engineering Works, supported by the launch of the HAVAL facelift, sold 1,349 vehicles. The company doubled its yearly performance compared to FY24.

Sales for smaller brands dropped sharply. Only 255 units were sold in June, far fewer than last year. However, their yearly performance still showed a 110% increase, suggesting long-term potential remains.

Other segments also showed strong performance. Motorcycle and three-wheeler sales reached 138,509 units in June. That’s a 54% increase from last year, although down 9% from May. For the full year, this category reached 1.52 million units, up 32% year-on-year.

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In the tractor segment, June sales hit 2,791 units, improving 28% from May but down 32% from last year. Truck and bus sales showed a more positive trend. They rose to 737 units, up 2.5 times year-on-year and 21% from May. Total annual sales in this segment nearly doubled.

June 2025 brought much-needed energy to Pakistan’s auto industry. Strong pre-tax demand and improving economic conditions drove the highest car sales in Pakistan in years. Whether the trend continues post-GST remains to be seen, but for now, the market is clearly back in motion.

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