Hybrid vehicle prices slashed

Car assemblers in Pakistan have started lowering prices on hybrid electric vehicles, Dawn reported, nearly two weeks behind the cut in sales tax on models with engines of 2,000cc or less, which fell from 25 per cent to 18 per cent with effect from Sept 13. Honda Atlas Cars Ltd (HACL) revised the HR-V e:HEV to Rs9.299 million from Rs10.369 million, and the HR-V VTIS to Rs7.299 million from Rs7.799 million.

Indus Motor Company, citing a circular, set the Toyota Corolla Cross HEV X at Rs9.729 million and the Cross HEV at Rs9.299 million, reductions of Rs570,000 and Rs550,000 respectively. Honda Atlas said the lower rates are for a limited period and limited stock, applying to orders invoiced on or after September 25.

Chery sales and marketing director Syed Asif Ahmed told Dawn that the tax change could revive demand, since buyers had postponed purchases while waiting for a decision. He added that a large stock of electrified vehicles stayed unsold until mid-September and that most deliveries are due within two months. The Automotive Industrial Development Policy 2021-26 lapsed on June 30, and its replacement has yet to be announced, so the future GST rate remains unclear.