Pakistan car sales up 35% in December amid variants galore

Pakistan’s automobile sales rose sharply from a year earlier in December but fell from November as buyers delayed purchases ahead of new-year vehicle registrations, industry data showed.

Car sales totaled 13,280 units in December 2025, up 35% from a year earlier but down 14% from November, according to figures released by the Pakistan Automotive Manufacturers Association (PAMA).

Sales in the first half of fiscal year 2026 reached 88,322 units, marking a 46% increase from 60,676 units in the same period last year.

Analysts attributed the year-on-year growth to the entry of new brands, lower interest rates, easing inflation and improving macroeconomic sentiment.

The month-on-month decline, however, reflected a typical year-end slowdown as consumers postponed deliveries and new purchases until January.

Company-wise performance

Honda Atlas Cars posted the strongest growth among major assemblers, with December sales rising 75% year-on-year, though volumes slipped from November to 1,943 units. Sales of the City and Civic models jumped 79% year-on-year to 1,739 units, while BR-V and HR-V models rose 46% to 204 units.

Indus Motor Company reported a 40% year-on-year increase to 2,312 units. Combined sales of Corolla, Yaris and Corolla Cross climbed 83% from a year earlier but fell 35% from November to 2,116 units. In contrast, sales of Fortuner and other IMV models plunged 61% year-on-year and 67% month-on-month to 196 units.

Hyundai Nishat Motor recorded an 11% year-on-year increase and a 2% rise from November, driven by strong demand for Sonata and Elantra models, which more than doubled from a year earlier.

Sazgar Engineering sold 1,165 vehicles during the month, up 5% from November.

Pak Suzuki Motor Company posted a modest 9% year-on-year increase to 6,531 units, supported by a nearly twelvefold jump in Every sales and a 51% rise in Swift sales to 1,330 and 1,009 units, respectively.

Sales of two-, three-wheelers and tractors

Sales of two- and three-wheelers increased 36% from a year earlier but slipped 3% from November to 160,408 units. For the first half of FY26, volumes reached 923,759 units, up 33% year-on-year.

Atlas Honda, maker of the popular CD70 motorcycle, recorded an all-time high monthly sales figure of 143,091 units in December.

In contrast, tractor sales fell sharply, dropping 52% from a year earlier and 7% from November to 3,399 units. Truck and bus sales surged 93% year-on-year but declined 30% month-on-month to 372 units.

Outlook

Analysts expect the recovery in auto sales to continue through FY26, supported by lower borrowing costs, easing inflation and improving economic activity. The launch of new hybrid and plug-in hybrid models is also expected to bolster demand in the coming months, according to Topline Research.