The automobile sales report for March 2023 is here and there is a little sigh of relief for some companies. The overall month-on-month car sales (9,351 units on March 23) have increased by 54% compared to Feb 2023 sales (6,072 units).
You must be thinking that the industry is reviving. But wait! The overall year-on-year car sales (9,351 units on March 23) are down by 65% compared to March 2022 sales (27,202 units). The year-on-year sales for bikes and tractors are also down by 43% and 47% respectively.
Confused? Here are the highlights and some other details to see if the automobile industry is truly reviving or not.
Now you know the highlights of the automobile industry’s sales, let’s see some highlights of the cars sales
Suzuki Swift’s Monthly Sales Increased by Nearly 1209%
Well! Suzuki Swift’s monthly sales (877 units) have increased massively by over 1200%. It is mainly because the company didn’t deliver the cars last month which reduced its sales in Feb 2023 (67 units only). As a result of delivering the pending orders in March 2023, the recorded sales jumped.
Suzuki Bolan’s Monthly Sales Increased by Nearly 759%
Just like Swift, Suzuki Bolan’s sales (782 units) have also got a massive boost compared to Feb 2023’s sales (91 units only). The reason is the same as mentioned above. It can be justified by looking at the year-on-year sales of Bolan (1,295 units in March 2022) which are down by -39.6% in March 2023.
Suzuki Cultus’s Monthly Sales Increased by Almost 560%
The monthly sales of Cultus (475 units) have also jumped but there is something new. Its year-on-year sales have also increased by 55%. It means it is the only Suzuki car which has truly progressed compared to the same month last year.
Suzuki Wagon R’s Monthly Sales Increased by Around 426%
Wagon R’s monthly sales (489 units) have faced a huge increase as well. But its year-on-year sales are down by 77%. It shows that people have not bought even half of what they bought in the same month last year (2,104 units in Mach 2023).
Suzuki Alto’s Monthly Sales Increased by Almost 367%
Alto’s monthly sales (2,542 units) have also increased and it has regained the top position in monthly sales. But its year-on-year sales (9,814 units in March 2022) have decreased by 74%. It indicates that low to middle-income people are struggling to buy a car nowadays. Increased car prices and economic crisis to be blamed?
Honda City & Civic’s Year-on-year Sales Decreased by Nearly 81%
Last month’s (Feb-2023) winner sedans (City & Civic’s) have seen a major decline in year-on-year sales. Their combined sales in March 2023 are 611 units compared to the 3,278 units in the same month last year. The major reason behind this decrease seems to be the high prices, economic crisis, and plant shutdown by the company (for some period)
Toyota Corolla & Yaris’s Year-on-year Sales Decreased by Almost 79%
The sales of Pakistan’s most popular sedans Toyota Corolla & Yaris have gone down by nearly 79% (1,119 units) compared to March 2022 sales (5,395). The reasons are the same here including the price hikes, economic crisis, and production suspension by the company (for some period).
Total Monthly Cars Sales Increased by 54%
As we have seen, Suzuki’s massive car sales increase has contributed a lot in making the number this good for the overall industry. If we consider the year-on-year sales, the overall sales are down by 65.6%. It means the car manufacturers are still in the middle of a storm right now.
As we have seen the highlights of cars, it is time to see how the bikes have performed.
Yamaha Bikes’ Monthly Sales Increased by 62%
Surprisingly, the monthly sales of Yamaha bikes (1,697 units) have gone up by 62%. However, the sales are still down on a yearly basis as they were 2,080 units (-18% this year) in the same month last year. Yamaha has also announced a 0% markup installment plan again this month. So, we can also expect its sales to increase in the upcoming report.
Honda and Suzuki Bikes’ Year-on-year Sales Decreased by Nearly 38%
Honda and Suzuki, the bikes’ sales of both companies are still down by nearly 38% compared to the same month last year. The reasons are obvious, inflation, price hikes, etc. Suzuki even had to shut down its production plant for some time.
United Bikes’ Year-on-year Sales Decreased by Almost 85%
United bikes are mostly bought by people who can’t afford to buy Honda bikes. This decrease in sales shows that low-income people are struggling to buy even budget new bikes.
Here are some facts about the tractors’ sales.
Fiat’s Year-on-year Sales Decreased by Nearly 88%
The impact of the economic crisis has also hit the farmers/agriculturalists. Fiat managed to sell only 315 tractors in March 2023 compared to 2,560 tractors in the same month last year.
Massey Ferguson’s Year-on-year Sales Decreased by 14%
The case for Massey Ferguson’s tractors is the same but with a little less negative impact. Its year-on-year sales (2,669 units in March 2023 vs 3,091 units in March 2022) are down by nearly 14% which is still a better number than Fiat’s tractors.
Overall, there are some good signs and some bad signs for the automobile industry. The monthly sales of cars have increased but the year-on-year sales are still down. The industry is going through one of the worst phases. Import and LCs issues, increased dollar rate, high inflation, etc. are some of the factors that have resulted in a delay in deliveries, production suspensions, and low sales.
Let’s see how the automobile companies move on from here as currently, they are just passing down the burden to consumers which has resulted in lowering their sales.
What do you think are the factors due to which the automobile companies are not completely manufacturing (not talking about assembling) the vehicles here? Tell us in the comment section below.
Data were taken from: Pakistan Automotive Manufacturers Association (PAMA)