Suzuki vs Honda: Who Led Pakistan’s Car Sales in FY25?

In the competitive landscape of Pakistan’s automotive industry, Pak Suzuki Motor Company (PSMC) and Honda Atlas Cars (HCAR) have shown notable performances in FY25.

Pak Suzuki Motor Company (PSMC) – Five-Year Performance

• FY21: Sales stood at 123,244 units, driven by stable demand and product availability.
• FY22: Slight growth was observed with 126,679 units sold, maintaining PSMC’s market dominance.
• FY23: Sales dipped to 114,605 units due to economic uncertainty and import restrictions.
• FY24: A major decline was recorded with only 35,253 units sold, impacted by severe supply chain issues and reduced consumer purchasing power.
• FY25 (10 months): PSMC began a recovery phase, selling 39,849 units, reflecting a 30% YoY increase.

Honda Atlas Cars (HCAR) – Five-Year Performance

• FY21: Sold 24,064 units, benefiting from consistent consumer interest in its sedan lineup.
• FY22: Sales rose to 29,137 units, supported by strong Civic and City models.
• FY23: Slight decline to 28,928 units, maintaining relative stability.
• FY24: Faced a sharp drop with 9,760 units sold amid broader industry challenges.
• FY25 (10 months): Recovered strongly with 14,483 units, achieving a 32% YoY increase.

HCAR’s significant YoY growth in April suggests a positive trajectory, potentially challenging PSMC’s dominance shortly.

The Mehran Era: An Iconic Run Comes to a Close

In 2018, Suzuki Mehran, once dubbed “the people’s car,” recorded its highest-ever annual sales in Pakistan, 47,199 units, up from 37,933 units in 2017, according to PakDrive. This marked a significant milestone in the car’s nearly three-decade production run.

Despite its official discontinuation in 2019, Mehran’s legacy remains strong. Between 1999 and 2018, nearly 600,000 units of the car were sold, reflecting its popularity as an affordable and reliable option for the masses. By contrast, its worst-performing year was 2001, when sales dipped to just 5,169 units, likely impacted by economic slowdown and increased competition.

Honda’s Rise in the Last Five Years

In the post-Mehran era, the consumer shift toward more feature-rich and fuel-efficient vehicles has been clear. Pakwheels reports that in the last five years, Honda Atlas has carved out a firm market presence. The Honda City and Civic combined have become the top-selling models for the company in Pakistan.

Recent reports indicate that City and Civic models regularly cross 1,100 units per month, outperforming other Honda offerings. Meanwhile, the BR-V and HR-V, Honda’s compact and subcompact SUVs, collectively manage sales of over 100 units per month.

While Honda’s monthly numbers may not rival the former peak of the Suzuki Mehran, they reflect a growing demand for performance, comfort, and technology, trends increasingly influencing middle-class car buyers.

Suzuki vs. Honda: A Tale of Two Strategies

Suzuki remains a volume leader in Pakistan’s market, largely thanks to its affordable and fuel-efficient lineup, including the Alto, Wagon R, and Cultus. The Suzuki Alto, which replaced the Mehran, has taken up the mantle as Pakistan’s top-selling car in recent years, regularly topping monthly sales charts with over 6,000–8,000 units sold.

In contrast, Honda focuses on premium offerings, with a narrower portfolio but higher margins per unit. Honda’s vehicles appeal to a more urban, upwardly mobile demographic, emphasizing safety features, infotainment systems, and performance engines.

The Road Ahead

As Pakistan’s economy fluctuates and fuel prices remain volatile, the demand balance between budget-friendly compact cars and tech-rich sedans/SUVs will continue to shape the market.

While Suzuki dominated the affordable segment with the Mehran for decades, Honda’s recent performance shows a strong foothold in the mid-to-premium market. With local and foreign automakers introducing new models and EV strategies, consumer choice is set to expand, and brand loyalty will be tested more than ever.