Pakistan’s car sales rise 19% in first quarter of FY27, decline 12% in September 2026

Profit reported that car sales in Pakistan rose 19% year on year to 50,480 units in the first quarter of FY27. The rise came despite a 12% fall year on year and a 3% drop month on month in September, when sales reached 15,104 units, according to Pakistan Automotive Manufacturers Association data.

Topline Securities and IMS Research pointed to policy uncertainty, slower hybrid invoicing and rising rivalry from imported models as reasons for the September dip. Passenger car volumes fell 20% month on month, while light commercial vehicles and pickups recovered 126% month on month to approximately 4,200 units. Analysts also blamed doubts over the sales tax rules for HEVs and PHEVs for slower invoicing and deliveries.

Indus Motor Company (INDU) stood out as the sole major assembler to grow month on month in September, with units up 31% year on year to 4,142. Honda Atlas Cars (HCAR) sold 2,128 units that month, down 8% year on year, while Pakistan Suzuki's September volumes fell 46% year on year. The GST on hybrid vehicles has been lowered to 18%, which reports describe as adding clarity and aiding deliveries in upcoming months.