AIRLINK 59.70 Decreased By ▼ -0.15 (-0.25%)
BOP 6.26 Decreased By ▼ -0.04 (-0.63%)
CNERGY 4.27 Decreased By ▼ -0.11 (-2.51%)
DFML 15.70 Decreased By ▼ -0.27 (-1.69%)
DGKC 69.20 Decreased By ▼ -2.50 (-3.49%)
FCCL 18.35 Decreased By ▼ -0.11 (-0.6%)
FFBL 26.75 Increased By ▲ 0.45 (1.71%)
FFL 9.28 Increased By ▲ 0.08 (0.87%)
GGL 10.30 Decreased By ▼ -0.02 (-0.19%)
HBL 115.90 Increased By ▲ 1.40 (1.22%)
HUBC 114.40 Increased By ▲ 1.70 (1.51%)
HUMNL 6.80 Increased By ▲ 0.15 (2.26%)
KEL 4.89 Increased By ▲ 0.06 (1.24%)
KOSM 4.65 Decreased By ▼ -0.03 (-0.64%)
MLCF 38.39 Decreased By ▼ -0.60 (-1.54%)
OGDC 125.30 Increased By ▲ 1.90 (1.54%)
PAEL 21.56 Decreased By ▼ -0.44 (-2%)
PIAA 10.87 Decreased By ▼ -0.13 (-1.18%)
PIBTL 6.02 No Change ▼ 0.00 (0%)
PPL 114.10 Increased By ▲ 5.70 (5.26%)
PRL 27.90 Decreased By ▼ -0.30 (-1.06%)
PTC 10.90 Decreased By ▼ -0.17 (-1.54%)
SEARL 51.70 Increased By ▲ 0.25 (0.49%)
SNGP 68.26 Increased By ▲ 0.26 (0.38%)
SSGC 11.42 Decreased By ▼ -0.18 (-1.55%)
TELE 7.80 Decreased By ▼ -0.27 (-3.35%)
TPLP 11.60 Decreased By ▼ -0.10 (-0.85%)
TRG 72.87 Decreased By ▼ -2.84 (-3.75%)
UNITY 23.55 Increased By ▲ 0.80 (3.52%)
WTL 1.30 Increased By ▲ 0.02 (1.56%)
BR100 6,653 Increased By 108.1 (1.65%)
BR30 22,594 Increased By 296 (1.33%)
KSE100 64,579 Increased By 875.1 (1.37%)
KSE30 21,889 Increased By 381.2 (1.77%)

Pak Suzuki Motor Company (PSMC) will be discontinuing its second-generation Swift variant in Pakistan, almost 12 years after its launch, while bookings for the Cultus have also been temporarily suspended, multiple dealers told Business Recorder.

The company had announced through a notification in August last year that Swift, the second-generation hatchback, will be discontinued after August 2021.

Although there has been no official word from the company so far, several authorised dealerships confirmed that they have been communicated the discontinuation of the current model.

On the other hand, PSMC has also temporarily stopped bookings for Cultus with reports suggesting that new orders have not been entertained for at least a few weeks. Several Suzuki dealerships across multiple cities have confirmed that they have been directed to stop new bookings until further notice.

"The chip shortage is a reason," said a dealer. "We haven't taken a new booking for the Cultus for around a month."

The halt in production is also being witnessed in India where the country's top car maker Maruti Suzuki said that the global chip shortage will hurt production at its plants in the states of Haryana and Gujarat in September.

India's top carmaker Maruti Suzuki warns of production hit from chip shortage

Total production volume across both locations could be around 40% of normal output, it had said in a regulatory filing.

Pakistan has also been hit by semiconductor supply chain disruptions during the pandemic, which drove up demand for chips used in electronics like computers as people worked from home, and hit output at many automakers.

Bolan, Ravi news

Separately, reports were also rife last month that Pak Suzuki has decided to discontinue Bolan and Ravi as well. Officials told Business Recorder that the company plans to replace Bolan with a minivan.

Discontinuation of Swift

Meanwhile, one of the primary reasons behind discontinuation of the current Swift could be its declining popularity or possible cannibalisation by Cultus. The company has not made any significant changes or upgrades to its second generation hatchback in years, which has reflected in slumping sales.

According to Pakistan Automotive Manufacturers Association (PAMA), sales of Swift have come down from 5,509 units in 2018-19 to 2,316 in 2020-21. Sales of 2019-20 (1,828) were marred by the pandemic and hence, cannot be taken as a benchmark.

Market talk suggests Pakistan could see the introduction of the fourth generation Swift, which debuted globally in 2018.

Suzuki: Preparing for the race

As competition intensifies with the entry of new players, many believe the three old carmakers -- Toyota, Honda, and Suzuki -- have had to introduce new models/upgrades to keep up.

The pandemic has also hit car sales with production first disrupted by shutting down of the industry followed by the chip shortage. An earlier contraction in the economy and high interest rates also hurt car sales even before the pandemic began.

Pak Suzuki booked a profit in the first half of this year after turning losses for eight consecutive quarters.


Comments are closed.