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Pakistan’s car market experienced a slight setback in December 2025, with total sales declining 14% month-on-month (MoM) to 13,280 units, according to the Pakistan Automotive Manufacturers Association (PAMA). Despite this monthly dip, year-on-year (YoY) sales grew 35%, taking the first half of FY26 to 88,322 units, up 46% from 60,676 units in the same period last year.
Topline Securities notes that the overall yearly growth is driven by new market entrants, lower interest rates, easing inflation, and improving macroeconomic sentiments. The MoM decline, however, is largely due to end-of-year effects, with many buyers delaying purchases in anticipation of new year registrations.
Honda Atlas Cars (HCAR) saw a 75% YoY growth, though MoM sales dipped to 1,943 units. City and Civic models rose 79% YoY, while BRV and HRV models increased 46% YoY.
Indus Motor Company (INDU) recorded a 40% YoY growth with 2,312 units sold. Corolla, Yaris, and Cross sales combined surged 83% YoY but declined 35% MoM. Fortuner and IMV sales dropped sharply by 61% YoY and 67% MoM.
Hyundai Nishat posted 11% YoY growth and 2% MoM growth, driven by Sonata and Elantra, which rose 105% and 52% YoY respectively.
Sazgar Engineering (SAZEW) sold 1,165 units in December 2025, up 5% MoM.
Pak Suzuki Motor Company (PSMC) achieved a 9% YoY increase to 6,531 units, thanks to a nearly 12x surge in Every sales and a 51% rise in Swift sales.
Two and three-wheeler sales jumped 36% YoY but fell 3% MoM to 160,408 units. Atlas Honda (ATLH) recorded record sales of 143,091 units for its popular CD70 bike.
Tractor sales dropped sharply by 52% YoY and 7% MoM to 3,399 units. Truck and bus sales rose 93% YoY but were down 30% MoM, totaling 372 units.
Topline Securities expects the positive momentum in auto sales to continue in FY26, supported by lower interest rates, new hybrid and plug-in hybrid models, easing inflation, and increased economic activity.
