Automotive News

What is Causing Pakistan’s Automobile Costs to Rise?

April 1, 2022 / By Zunair Tahir / Automotive News

The government instructed an automotive monitoring committee to conduct a forensic study of recent price spikes in various car models across the board on Thursday.

Members of the committee were requested to choose neutral professional experts for the forensic study during a high-level meeting chaired by Federal Secretary for Industries and Production Jawad Malik, and the report should be presented within two weeks.

  • The ministry has directed a monitoring group to conduct a comprehensive investigation of the recent increase in automobile prices.
  • Industry participants tell the ministry about the reasons for late deliveries and manufacturing capacity.
  • The car industry has been asked to submit a localization strategy by the federal secretary.


During the discussion, a ministry official asked the committee for an explanation for the recent price hikes in several automobile models in recent months.

According to the information presented at the meeting, the price increase was prompted by the following factors:

  • The rupee’s constant devaluation versus the US dollar
  • Freight rates have risen
  • Raw material prices are rising, as are operational costs

The government was also told by the industry players about the reasons for late deliveries and manufacturing capacity.

Malik also requested that the car sector provide a localization strategy with a time range to the ministry, as well as a report on safety features compliance.



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