Car Sales in Pakistan Slip 14% MoM as Year Ends

Pakistan’s automotive market experienced a 14% month-on-month (MoM) decline in car sales in December 2025, with 13,280 units sold, according to the Pakistan Automotive Manufacturers Association (PAMA).

Despite the monthly drop, year-on-year (YoY) sales grew 35%, reaching 88,322 units in the first half of FY26, up from 60,676 units in the same period last year.

The MoM slowdown is attributed to year-end buying delays, while overall growth is supported by new market entrants, lower interest rates, easing inflation, and positive macroeconomic sentiment, notes Topline Securities.

Honda Atlas Cars (HCAR) sold 1,943 units in December, posting 75% YoY growth, with City and Civic models up 79% YoY; Indus Motor Company (INDU) recorded 2,312 units, a 40% YoY increase, though Corolla, Yaris, and Cross models fell 35% MoM despite an 83% YoY surge.

Hyundai Nishat saw 2% MoM and 11% YoY growth, led by Sonata (+105% YoY) and Elantra (+52% YoY), while Sazgar Engineering sold 1,165 units, up 5% MoM. Pak Suzuki Motor Company (PSMC) achieved 6,531 units, a 9% YoY rise, supported by a nearly 12x increase in Every sales and a 51% jump in Swift.

In other segments, two- and three-wheelers totaled 160,408 units, up 36% YoY but down 3% MoM, with Atlas Honda CD70 hitting a record 143,091 units; tractor sales dropped 52% YoY to 3,399 units, while trucks and buses rose 93% YoY to 372 units but fell 30% MoM.

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Topline Securities expects the positive momentum in Pakistan’s auto sector to continue in FY26, supported by lower interest rates, new hybrid and plug-in hybrid models, easing inflation, and increased economic activity.