Challenges Persist for Pakistan’s Auto Industry in 2023

The year 2023 saw a continued struggle for Pakistan’s auto industry, witnessing a 55% decline in vehicle sales and a substantial 70% reduction in the production of manufacturing parts.

This downturn in sales has not only affected the auto industry but has also led to a notable decrease in revenue for the national exchequer.

HM Shahzad, Chairman of the All Pakistan Motor Dealers Association, expressed concern over the prevailing conditions in vehicle manufacturing and assembly in the country. He warned that if the situation remains unchanged, the next two years could bring even more challenging circumstances.

Shahzad highlighted the failure to introduce new high technology to the country despite agreements with automobile companies. This lack of technological advancement contributes to the continued inaccessibility of vehicles for many buyers, given their expensive nature.

While acknowledging the caretaker government’s efforts to address these issues, Shahzad emphasized that more needs to be done to revitalize and strengthen the auto industry, a sector that plays a vital role in the country’s economic landscape.