By Moonis Ahmed
Two local car manufacturers– Pak Suzuki Motors Co Ltd and Honda Atlas Car Pakistan Ltd – have increased per unit prices on their different models from Saturday, according to a letter of the companies sent to authorised dealers.
“The decision to increase prices on different models of Suzuki and Honda has been implemented from September 18”, said an authorised dealer. “Both the companies, however, gave appreciation of yen against rupee as a reason for this increase in prices.”
He said Pak Suzuki and Honda Atlas issued a letter to their respective authorised dealers to increase the booking price from Rs 8,000 to Rs 15,000 on different Suzuki models, while Honda has increased prices by Rs 30,000 per unit on all models of Honda Civic and Rs 35,000 of Honda City.
Authorised dealers said the companies have taken this surprise decision just after the devastating flood has ruined a major part of the country. They also said that surprisingly high premium is also being charged on almost every vehicle.
According to new price list, Mehran 800cc would be booked at Rs 539,000 after an increase of Rs 8000-10000, Alto VX 1000cc at Rs 692,000 after an increase of Rs 10000 to Rs 12000. Similarly, the company has set price of Cultus VX at Rs 878,000 after an increase of Rs 12000 to Rs 15000.
Honda Atlas has raised prices by Rs 30,000 on every model of Honda Civic and Rs 35,000 on Honda City.
The latest figures by Pakistan Automotive Manufacturers Association revealed that the car sales in August increased by a minimal nine percent to 19,625 units as compared to 17,950 units in the corresponding period of last year. Analysts have forecast that the auto sector may show dismal performance ahead as the floods would lead to depressed sales in the coming months.
H.M Shahzad, chairman of the All Pakistan Motor Dealers Association, criticised the decision by car manufacturers to increase prices and said the federal government should take serious notice of the prevailing monopoly of local car manufacturers. He said prices of all vehicles are declining in international markets, including Japan and Korea, but prices in the country are increasing.
Source: Daily Times