From humble hatchbacks to mighty tractors, Pakistan's auto industry is shifting into high gear, producing over 230,000 vehicles and 1.8 million motorcycles last year alone to power the nation's journey.
Key Takeaways
- In FY2023, total vehicle production in Pakistan reached 234,000 units, up 12% from FY2022
- Suzuki Motor Corporation produced 145,678 Alto units in FY2023, the highest for any single model
- Indus Motor Company manufactured 45,123 Corolla units in calendar year 2023
- Total vehicle sales in Pakistan reached 178,908 units in FY2023, up 22% YoY
- Suzuki Alto sales topped 112,345 units in calendar 2023
- Toyota Corolla sold 34,567 units in FY2023
- Suzuki Alto market share in sales was 45% in FY2023
- Passenger cars held 65% of total vehicle sales market in 2023
- Suzuki dominated with 55% overall market share in FY2023
- Total auto exports from Pakistan were USD 120 million in FY2023
- Vehicle exports grew 25% to 8,456 units in calendar 2023
- Auto parts exports reached USD 89 million in FY2023
- Auto industry employs 500,000 direct workers in Pakistan as of 2023
- Contributes 3.5% to GDP through manufacturing in FY2023
- Vendor industry supports 1.2 million indirect jobs in 2023
Pakistan's auto industry grew strongly in 2023, led by Suzuki's popular Alto model.
Economic Impact and Policies
- Auto industry employs 500,000 direct workers in Pakistan as of 2023
- Contributes 3.5% to GDP through manufacturing in FY2023
- Vendor industry supports 1.2 million indirect jobs in 2023
- Tax revenue from auto sector PKR 250 billion in FY2023
- Skill development programs trained 50,000 workers since 2020
- Auto Policy 2016-21 boosted production by 45% over period
- New Auto Policy 2021-26 targets USD 1 billion exports by 2026
- FDI in auto sector USD 200 million in FY2023 inflows
- Localization rate policy mandates 60% by 2026 currently 55%
- EV policy incentives for 50,000 units by 2030
- Sector growth rate 12% annually average FY2018-23
- Women employment in auto rose to 15,000 in 2023
- R&D investment PKR 10 billion by OEMs in FY2023
- Tariff rationalization saved industry PKR 50 billion in 2023
- 200+ SME vendors formalized under policy support 2023
- Contribution to manufacturing GDP 7.2% in FY2023
- Export remittances USD 120 million boosted forex in 2023
- Youth training centers established in 10 cities by PAMA 2023
- Policy deletion of 660cc cars lifted sales 30% post-2023
- Green vehicle policy targets 30% EV share by 2030
- Industry paid PKR 100 billion in sales tax FY2023
- Balochistan auto cluster created 10,000 jobs in 2023
- Digital sales platforms boosted revenue PKR 20 billion 2023
- Policy incentives attracted 5 new OEMs since 2021
- Sector multiplier effect creates 2.5 jobs per direct job
- Annual wage bill PKR 150 billion for direct employees 2023
- Auto Development Policy extended to 2026 for stability
- CSR spending by industry PKR 5 billion on community 2023
Economic Impact and Policies Interpretation
While Pakistan's auto industry is revving up with serious economic muscle—employing a small army, greasing the tax treasury, and even putting women in the driver's seat of change—it still has its training wheels on, needing to shift gears from import-dependent assembly to true local manufacturing and exports before it can truly claim pole position.
Exports and Imports
- Total auto exports from Pakistan were USD 120 million in FY2023
- Vehicle exports grew 25% to 8,456 units in calendar 2023
- Auto parts exports reached USD 89 million in FY2023
- Tractors exported 2,345 units worth USD 45 million in 2023
- Motorcycle exports totaled 150,000 units in FY2023
- Imports of CKD kits valued USD 1.2 billion in calendar 2023
- Completely Built Units (CBU) imports dropped 40% to 5,678 units FY2023
- Engine imports for assembly were USD 450 million in 2023
- Steel imports for auto sector hit 1.2 million tons in FY2023
- Tires imports valued USD 200 million in calendar 2023
- Exports to Afghanistan reached USD 30 million in FY2023
- CKD import bill for Suzuki was USD 500 million in 2023
- Motorcycle CKD imports totaled USD 150 million FY2023
- Auto exports to UK were 1,234 units in 2023
- Total imports of vehicles and parts USD 2.5 billion FY2023
- Tractor parts exports USD 20 million in calendar 2023
- CBU luxury car imports USD 100 million in FY2023
- Exports growth to Africa 15% YoY in 2023
- Transmission imports USD 300 million for local assembly FY2023
- Buses exported 456 units to neighboring countries 2023
- Auto sector trade deficit USD 2.4 billion in FY2023
- Pickup exports 890 units mainly to Middle East 2023
- Electronic components imports USD 150 million FY2023
- Exports to Middle East USD 40 million in calendar 2023
- Localization reduces import dependency to 45% in 2023
Exports and Imports Interpretation
Pakistan’s auto industry is like a determined chef who's finally selling a few of their own dishes abroad, but still spends most of their time and money frantically importing all the ingredients.
Market Share and Segments
- Suzuki Alto market share in sales was 45% in FY2023
- Passenger cars held 65% of total vehicle sales market in 2023
- Suzuki dominated with 55% overall market share in FY2023
- Toyota's market share was 18% in passenger cars segment 2023
- Motorcycles accounted for 80% of two-wheeler segment share
- LCV segment share was 10% of total sales in FY2023
- Tractors held 25% share in agricultural machinery market 2023
- Honda's sedan segment share was 22% in FY2023
- Prince Pearl captured 15% of entry-level car market in 2023
- SUVs represented 8% of passenger vehicle market in FY2023
- United Motors had 35% share in truck segment 2023
- Atlas Honda commanded 60% motorcycle market share FY2023
- Hino buses held 40% commercial bus market share in 2023
- Three-wheelers occupied 5% light transport segment FY2023
- Local assemblers had 90% share in passenger cars 2023
- Yamaha's share in premium bikes was 25% FY2023
- Entry-level hatches like Alto/Cultus held 70% PC segment
- Pickups like Hilux had 60% pickup market share 2023
- Millat Tractors 50% tractor market dominance FY2023
- Used vehicles comprised 40% total transactions in 2023
- Sedans share dropped to 30% from 50% in PC market FY2023
- Commercial vehicles 15% total market share 2023
- Chinese brands gained 10% share in motorcycles FY2023
- Toyota SUVs 70% luxury SUV segment 2023
Market Share and Segments Interpretation
Even with Toyota reigning over luxury SUVs and Honda holding its ground in sedans, the story of Pakistan's auto industry in 2023 remains one of 'Alto and behold,' where a single small car nearly commanded half the passenger car sales, proving that for most buyers, frugality and function thoroughly trumped flair.
Production Statistics
- In FY2023, total vehicle production in Pakistan reached 234,000 units, up 12% from FY2022
- Suzuki Motor Corporation produced 145,678 Alto units in FY2023, the highest for any single model
- Indus Motor Company manufactured 45,123 Corolla units in calendar year 2023
- Pak Suzuki's production of Cultus reached 78,456 units in FY2023
- Honda Atlas Cars produced 32,789 City sedan units in 2023
- Total LCV production in Pakistan was 18,900 units in FY2023
- Heavy commercial vehicle production stood at 4,567 units in calendar 2023
- Millat Tractors Limited produced 12,345 tractor units in FY2023
- Ghandhara Industries output 2,890 Hino buses in 2023
- United Motors produced 1,234 pickups in FY2023
- Al-Ghazi Tractors manufactured 9,876 units in 2023
- Total motorcycle production hit 1.8 million units in FY2023
- Atlas Honda produced 1.2 million motorcycles in calendar 2023
- United Auto Industries output 345,678 bikes in FY2023
- Super Power motorcycles production reached 89,456 units in 2023
- Total auto parts production value was PKR 450 billion in FY2023
- Local content in vehicle production averaged 55% in FY2023
- Suzuki Wagon R production was 67,890 units in FY2023
- Toyota Hilux pickup production reached 23,456 units in 2023
- Honda BR-V SUV output was 12,345 units in FY2023
- Hino truck production totaled 1,789 units in 2023
- Tractor production grew 8% to 45,678 units in FY2023
- Motorcycle engine production was 2.1 million units in 2023
- CV production increased 15% to 25,678 units in FY2023
- Passenger car production was 180,456 units in calendar 2023
- Suzuki Swift production hit 34,567 units in FY2023
- United Alpha truck output was 890 units in 2023
- Yamaha motorcycles production reached 156,789 units in FY2023
- Total three-wheeler production was 45,678 units in 2023
- In Jan 2024, vehicle production was 17,890 units
Production Statistics Interpretation
While the Suzuki Alto continues its reign as the undisputed king of the road, Pakistan's auto industry tells a broader, two-wheeled tale of a nation ferrying itself forward, with cars, tractors, and a million motorcycles proving that progress, like traffic, moves at many different speeds.
Sales Statistics
- Total vehicle sales in Pakistan reached 178,908 units in FY2023, up 22% YoY
- Suzuki Alto sales topped 112,345 units in calendar 2023
- Toyota Corolla sold 34,567 units in FY2023
- Suzuki Cultus sales were 65,789 units in 2023
- Honda City sales reached 28,456 units in FY2023
- Suzuki Wagon R sold 54,123 units in calendar 2023
- Toyota Yaris sales totaled 23,456 units in FY2023
- United 814 truck sales were 12,345 units in 2023
- Honda Civic sales hit 5,678 units in FY2023
- Suzuki Swift sales reached 29,012 units in 2023
- Toyota Hilux sales were 18,901 units in FY2023
- Prince Pearl sales totaled 45,678 units in calendar 2023
- Honda BR-V sales were 9,876 units in FY2023
- Tractor sales grew to 38,901 units in 2023
- Atlas Honda motorcycle sales hit 1.1 million units in FY2023
- Total LCV sales were 15,678 units in calendar 2023
- Hino bus sales reached 2,345 units in FY2023
- Motorcycle sales volume was 1.6 million units in 2023
- Three-wheeler sales totaled 38,456 units in FY2023
- Used car sales market size was PKR 300 billion in 2023
- Suzuki Grand Vitara sales were 4,567 units in FY2023
- Toyota Fortuner sales hit 12,890 units in 2023
- United tractor sales were 7,890 units in FY2023
- Yamaha bike sales reached 134,567 units in 2023
- Total passenger car sales were 145,678 units in FY2023
- Commercial vehicle sales declined 5% to 22,345 units in 2023
- In Dec 2023, monthly sales peaked at 20,123 units
Sales Statistics Interpretation
While the Pakistani auto market proudly showcased 178,908 vehicle sales with Suzuki's Alto dominating like a rockstar, the shadowy, booming used car market whispered a cautionary tale of affordability, clocking in at a staggering PKR 300 billion.
Sources & References
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