Pakistan’s Automobile Market in 2025

In 2025, sales of locally assembled vehicles in Pakistan (PAMA members only) rose by 42.1% year-on-year to 183,000 units, bringing the market nearly back to its pre-pandemic level of over 200,000 units. Domestic economic stability is returning thanks to financial support from the IMF and other sources. Furthermore, the reduction of the policy interest rate—from 22% in mid-2024 to 11–12% in 2025—to stimulate consumption encouraged auto loan users to decide it was the “time to buy,” contributing to the recovery in sales volume.