Pakistan Auto industries are shutting down their operations

[ghazi52]

.,.,

Auto sector woes: Hinopak suspends assembly plant operation​

• Cites hurdles in opening Letters of Credit for import of raw materials as reason

BR
March 21, 2023

Hinopak Motors Limited (HINO) has become the latest automaker to shut operations on a temporary basis as it faces consequences of government’s import restrictions and struggles to continue production.

Hinopak, which assembles and manufactures Hino buses and trucks, shared the development in a notice to the Pakistan Stock Exchange (PSX) on Tuesday.

“Considering the current economic situation of Pakistan, whereby the commercial banks have been advised by the State Bank of Pakistan (SBP) to prioritize/facilitate the imports to essential sectors only, which does not include the auto sector. Consequently, the company has been facing hurdles in opening of LCs for the import of CKDs and other raw materials,” read the notice.

“Accordingly, the company is not in a position to continue with its production activities and has to temporarily shut down its chassis assembly plant from March 24, 2023 to April 04, 2023,” it added.

Hinopak is a subsidiary of Hino Motors Limited Japan and the ultimate parent company is Toyota Motors Corporation Japan.

Pakistan’s auto industry, highly dependent on imports, has been caught in the midst of a crisis, as the SBP, after unabated rupee depreciation, imposed restrictions on the opening of LCs. Industries are facing hindrances in operations as the country’s reserves remained low.

Auto sector woes: Hinopak suspends assembly plant operation

Cites hurdles in opening Letters of Credit for import of raw materials as reason

www.brecorder.com

 

[ghazi52]

Auto financing dips for eighth consecutive month​

• Factors for the decline include massive hike in car prices, soaring interest rates and plant shutdowns of various assemblers

BR Web Desk
March 21, 2023

The amount of outstanding auto financing declined for the eighth consecutive month at the end of February, data released by the State Bank of Pakistan (SBP) showed on Tuesday.

The amount stood at Rs326 billion at the end of February, registering a year-on-year decline of 8.6% or Rs31 billion. The latest outstanding auto financing figure is 1.8% lower than its January 2022 level, which witnessed auto financing of Rs332 billion.

Experts attributed a number of factors to the ongoing declining trend including a massive hike in car prices by automakers in recent months, soaring interest rates, plant shutdowns of various assemblers, and the inability of automakers to get Letters of Credit (LCs) opened by commercial banks.

At the same time, demand for price-sensitive low-end cars in Pakistan dropped significantly in February amid supply chain issues and rising vehicle prices.

 

[Baburfromsarmarkand]

There go our main source of exports

 

[ziaulislam]

Fixing this will take decades..

 

[Kingdom come]

Pakistan's Honda Atlas extends longest production shutdown to end April

Honda Atlas Cars Pakistan Ltd on Thursday announced a 15-day extension to its longest plant shutdown this fiscal year, citing the country's economic crisis, restrictions on opening letters of credit for imports, and halting foreign payments.

www.reuters.com

 

[ghazi52]

.,.,

Auto sales drop by over 80pc in April.​

Aamir Shafaat Khan
May 12, 2023

Sales of cars, light commercial vehicles, jeeps and vans plunged by over 80 per cent year-on-year (YoY) to 4,463 units in April amid growing economic and political uncertainties.

As a result, the sales halved to 114,868 units in the first 10 months of the current fiscal year compared to 227,995 units in the same period last fiscal year. On month-on-month (MoM), the sales stood lower by 52pc in April.

It was the lowest monthly sales in the above categories since May 2020 Covid-19 lockdown.

Higher prices, dwindling auto financing on account of high soaring interest rates, high petroleum prices, plant shutdowns due to parts shortage owing to import curbs and delay in delivery of vehicles to the customers were the main reasons for the continuous downward trend in the auto sales.

As per analysis based on the data of Pakistan Automotive Manufacturers Association (PAMA), Toyota Corolla and Yaris sales in April stood at 1,007 units, showing a fall of 10pc MoM and 76pc YoY. Sales of both these cars shrank by 64pc to 17,001 units in July-April FY23.

Toyota Fortuner and Hilux sales surged by 19pc to 941 units in April against 793 units in March. The April sales were 43pc less than the 1,658 units achieved in April. As a result, both the costly vehicle sales fell by 27pc in 10MFY23 10,539 units.

Sales of Honda Civic/City nosedived by 74pc in April to 159 units from 611 units in March while it contracted by 93pc if compared with 2,265 units in April 2022. Total sales of these vehicles in 10MFY23 witnessed a drop of 57pc to 12,540 from 29,095 units.

Honda BR-V sales in 10MFY23 grew by 11pc to 3,945 from 3,544 units in the same period last fiscal despite a 79pc drop in April to 48 units versus 224 units in March. In April 2023, BR-V sales stood at 364 units.

Negative sales trend continued to prevail in Suzuki Cultus, WagonR, Alto, Bolan and Ravi which fell by 67pc, 73pc, 46pc, 61pc and 72pc to 6,410, 5,121, 31,564, 4,028 and 3,544 units in July-April FY23 from 19,431, 18,739, 58,250, 10,422 and 12,446 units in the same period of 10MFY22.

Suzuki Swift sales plunged by 83pc to 145 units in April from 877 units in March, while 10MFY23 sales swelled to 8,729 units from 2,770 in the same period last fiscal year.

Bike and tractors

Suzuki bike sales clocked in at 28,091 units, showing a rise of nine per cent from 30,998 units during 10MFY22 while Yamaha sold 11,161 as compared to 20,021 units in July-April 2021-2022, down by 44pc.

Sunny Kumar of Top Line Securities said that truck and bus sales were down 51pc MoM and 68pc YoY to 152 units in April 2023. This takes 10MFY23 sales to 3,534 units, down by 35pc YoY primarily due to a drop in transportation activity and a slowdown in the overall economy.

Al-Ghazi Tractors Ltd sold 9,463 units of farm machinery as compared to 18,340 units in 10MFY22, posting a 48pc drop while Millat Tractors also came down by 47pc to 14,981 from 28,111 units due to floods, plant shutdowns, lower consumer buying power and higher prices....

 

[Dual Wielder]

The generals must have a sh1t filled heads, they have literally destroyed the country.. yet they keep on stomping on the corpse.. how much low can they go?

 

[python-000]

.,.,

Auto sector woes: Hinopak suspends assembly plant operation​

• Cites hurdles in opening Letters of Credit for import of raw materials as reason

BR
March 21, 2023

Hinopak Motors Limited (HINO) has become the latest automaker to shut operations on a temporary basis as it faces consequences of government’s import restrictions and struggles to continue production.

Hinopak, which assembles and manufactures Hino buses and trucks, shared the development in a notice to the Pakistan Stock Exchange (PSX) on Tuesday.

“Considering the current economic situation of Pakistan, whereby the commercial banks have been advised by the State Bank of Pakistan (SBP) to prioritize/facilitate the imports to essential sectors only, which does not include the auto sector. Consequently, the company has been facing hurdles in opening of LCs for the import of CKDs and other raw materials,” read the notice.

“Accordingly, the company is not in a position to continue with its production activities and has to temporarily shut down its chassis assembly plant from March 24, 2023 to April 04, 2023,” it added.

Hinopak is a subsidiary of Hino Motors Limited Japan and the ultimate parent company is Toyota Motors Corporation Japan.

Pakistan’s auto industry, highly dependent on imports, has been caught in the midst of a crisis, as the SBP, after unabated rupee depreciation, imposed restrictions on the opening of LCs. Industries are facing hindrances in operations as the country’s reserves remained low.

Auto sector woes: Hinopak suspends assembly plant operation

Cites hurdles in opening Letters of Credit for import of raw materials as reason

www.brecorder.com

gya ppp gya bhutto gya zardari gya PDM...