Pakistan’s Automobile Sales in H1 2025

Pakistan’s automobile sales in the first half of 2025 (sales data of locally assembled vehicles announced by the Pakistani automobile industry association PAMA) were 90,781 units, an increase of 37.4% from the same period last year. Improved economic conditions encouraged consumption. The inflation rate decreased by 17 points to 2.0%, and the policy interest rate dropped by 11 points to 11.0% in the first six months of 2025. In addition, reduction of sales tax for 850 cc small cars was abolished in July 2025, so sales of Suzuki Altos, which was eligible for lower tax rate, surged prior to the ending of the tax measure, contributing to market recovery.