Dealers predict a decline in sales as a result of the price increase
Changan Pakistan has raised the costs of its many models, following in the footsteps of other automobile makers.
In the mini-budget, the federal government increased the Federal Excise Duty (FED) on automobiles, and as a result, Pak Suzuki, Toyota, Honda, KIA, and DFSK have already raised car pricing.
According to a Changan dealer, the higher pricing went into effect on January 15. All partial and full payment orders placed before January 15 will be subject to the new prices.
A minimum of Rs65,000 and a maximum of Rs130,000 has been added to the costs.
The price of the Changan Alsvin 1.3L M/T Comfort has risen by Rs65,000, and it is currently available for Rs2.48 million.
Changan Alsvin 1.5L DCT Comfort’s pricing has risen by Rs70,000 to Rs2.74 million.
Changan Alsvin 1.5L DCT Lumiere has increased by Rs75,000 in price. The price of this model has increased to Rs2.93 million.
In Pakistan, Alsvin is the most popular Changan model
The price of the Changaan Karvaan MPV increased by Rs120,000, bringing it to Rs1.79 million.
The Karavan MPV Plus has seen a price rise of Rs130,000. Rs1.94 million is the new pricing.
The pricing of the Changan M9 Loader Pickup, on the other hand, has stayed steady at Rs1.5 million.
In August, the business raised the pricing of Alsvin variations by Rs120,000 but had to reverse the decision following government intervention.
In November, however, automobile prices in Pakistan saw a new wave of increases, with practically all automakers announcing updated pricing in response to higher shipping costs and the rupee’s depreciation.
In November, Changan Pakistan raised tariffs by up to Rs275,000
Why did vehicle makers raise their prices?
According to a Changan dealer, vehicle businesses have passed on the cost of higher taxes to customers.
He believes that if the currency strengthens, the auto industry would witness another price increase.
Car dealers anticipated a reduction in sales as a result of price increases, as the price hikes reduced potential consumers’ purchasing power.
“In the last two months, the corporation boosted automobile prices by up to Rs405,000,” a dealer stated.
The Association of Pakistan Motorcycle Assemblers (APMA) Chairperson Muhammad Sabir Shaikh, on the other hand, believes that the price rise will influence cash sales since clients who make cash transactions will consider some of the most important criteria.
“At the moment, the firm delivers automobiles to consumers within a month,” Shaikh explains.
According to insiders, the paperwork procedure for imported automobiles takes a long time, resulting in fewer imported cars entering the nation and carmakers profiting from the shortfall by raising costs.