KARACHI, Auto sales in Pakistan are expected to remain low in October 2023, as the three listed Original Equipment Manufacturers (OEMs) are likely to report a combined sales volume of just 5,300 units. This figure represents a steep 59% year-over-year decline, which industry analysts attribute to continuing macroeconomic headwinds that have suppressed consumer demand.

According to JS Research, the monthly comparison is also set to reflect a downturn, with sales projected to fall by 26% from the previous month. While there have been some improvements on the supply side, auto manufacturers continue to face significant challenges related to import restrictions. These issues contribute to the uncertainty regarding when the sector might return to normal operations. Additionally, the demand for automobiles has remained weak, complicating the recovery and growth prospects for auto companies.

Despite these obstacles, the research points out the potential for limited profit growth within the sector. As the industry contends with the current economic climate, opportunities for expansion could emerge in the longer term. However, for now, the near-term outlook for Pakistan’s auto sector remains unclear, with both demand and supply-side challenges influencing market performance.

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