Car production witnessed increase in 2017-18

ISLAMABAD: The car production has increased over a period of time in Pakistan as 218,372 cars were produced in 2017-18 against 186,936 in 2016-17 and 179,944 in 2015-16.

According to an official source, the overall installed capacity of car manufacturers is 300,000, which is more than the vehicles being sold in the country.

Currently the car production in Pakistan is dominated by three companies, including Pak Suzuki Motors, Honda Atlas and Toyota Indus Motors.

The market is highly concentrated in the 800cc and 1000cc segment, which is dominated by Pak Suzuki Motors as a major producer of cars in these capacities.

The government has tried to break the monopoly in the 800cc and 1000cc segment by granting manufacturing licenses to M/s United Motors Car Company and M/s Regal Automotive Industry which will help further improve the aforesaid segment.

According to the data, Pak Suzuki Motors has production capacity of 150,000 cars while it had produced 123,846 cars in 2017-18 against 97,531 cars in 2016-17 and 97,409 cars in 2015-16.

During 2014-15, the company produced 76,861 cars while 64,522 cars were manufactured in 2013-14.

The major share of production by Pak Suzuki consists of 800cc cars. The company  manufactured 69,078 cars of 800cc in 2017-18, 57,842 in 2016-17, 66,957 in 2015-16 , 54,333 in 2014-15 and 42,476 in 2013-14.

Honda Atlas has production capacity of 55,000 cars while it produced 42,710 cars in 2017-18, 36,531in 2016-17, 25,061 cars in 2015-16, 24,271 in 2014-15 and 23,605 cars in 2013-14.

Similarly, the total production capacity of Toyota Indus Motors is 80,000 while it produced 51,218 cars in 2017-18, 52,874 in 2016-17, 57,474 cars in 2015-16,  51,392 in 2014-15 and 28,124 cars in 2013-14.

Al Hajj Faw has production capacity of 15,000 while it produced only 598 cars during 2017-18.

The new investors coming under the Automotive Development policy 2016-21 will  also provide more options to the consumers in addition to enhanced overall capacity of the country.