ISLAMABAD: Pakistan has produced 110,059 cars during first three quarters of current fiscal year as compared to 100,870 units during the same period last year, showing 9.1 percent growth.
The automobile industry seems to be less buoyant in comparison with the corresponding period of last year as its four sectors showed mixed trends of growth during the period.
Pakistan Automotive Manufacturing Association (PAMA)'s data said on Thursday that buses, cars, Light Commercial Vehicles (LCVs) and two/three wheelers managed to grow by 23 percent, 9.1 percent, 5.7 percent and 3.1 percent respectively as compared to 24.7 percent, 16.4 percent, 20.5 percent and 12.6 percent respectively during the same period last year.
It said a larger decline was witnessed in tractor production which was recorded at 48 percent as compared to negative growth of 2.2 percent.
During the start of the current fiscal year, production of tractors declined substantially by almost 70 percent after the imposition of the 16 percent General Sale Tax (GST) in April 2011.
However, following government's announcement to cut GST from 16 percent to 5 percent, the production figures started to recover.
The data said production of LCVs was registered with 14,971 units during this year while it was 14,159 last year, 371 jeeps were produced this year and 662 jeeps last year, 439 buses were produced this year and 357 last year, 1893 trucks were produced during first nine months of this year and 2031 units during same period last year, tractors 26,840 this year and 51,664 last year while 620741 two or three wheelers were manufactures this and 602,268 last year.
The total installed capacity of all manufacturers include cars 240,000 units, LCVs 43,900 units, Jeeps 5,000 units, buses 5,000 units, trucks 28,500 units, tractors 65,000 units, two or three wheelers 18,00,000 units.
It said the two other components of automotive industry such as jeeps and trucks also showed dismal performance by registering negative growth of 44 percent and 6.8 percent respectively.
When contacted an official source said potential demand for vehicles in economy is helping to grow the industry but it is highly dependent on long term policy commitments.
He said term of current Auto-industry Development Programme would expire on June 30, 2012 but government's commitment with the industry would reflect in a new programme which may bring new hope and opportunities for growth.
It may be added that the forthcoming opening up of trade with India would bring new opportunities as well as challenges for the auto-industry and thus transformation is inevitable.
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