Pakistan car sales increased 11% year-on-year to 15,558 units in August 2026. However, sales dropped 21% compared with July, according to a report from Topline Securities Ltd.
The latest figures are based on data from the Pakistan Automotive Manufacturers Association (PAMA). They show that the auto market continued to grow compared with last year, despite a sharp monthly decline.
Cumulative sales for the first two months of fiscal year 2027 reached 35,376 units. That represents a 41% increase compared with the same period a year earlier.
The August figures do not include Sazgar Engineering Works because its sales data was not available when the report was prepared. Excluding the company, industry sales rose 20% year-on-year but fell 19% month-on-month.
Pakistan Car Sales Face Monthly Pressure
Topline Securities attributed the monthly decline partly to uncertainty surrounding the country’s new auto policy. The brokerage also pointed to regional uncertainty and its potential impact on automotive supply chains.
Despite these concerns, several major manufacturers recorded strong annual growth. Indus Motor Company posted one of the notable increases during the month.
Indus Motor sold 4,029 units in August. Sales were 19% higher than a year earlier but 21% lower than July.
Indus Motor and Honda Performance
Sales of the Corolla, Yaris and Cross models increased 21% year-on-year to 3,079 units. Fortuner and IMV sales also performed well.
Their combined sales reached 950 units, representing a 12% annual increase and an 18% monthly rise.
Honda Atlas Cars recorded an even stronger annual improvement. The company sold 2,633 units in August, around 2.5 times its sales from the same month last year.
City and Civic sales climbed 3.7 times year-on-year and increased 1% from July. Combined sales reached 2,529 units.
However, the BR-V and HR-V recorded a sharp decline. Their combined sales fell 79% year-on-year and 28% month-on-month to 80 units.
Suzuki and Hyundai Sales
Pakistan Suzuki Motor Company remained the largest seller among the companies covered in the report. It sold 7,633 units during August.
That figure was 7% higher than a year earlier. However, Suzuki sales declined 25% from July.
The Alto remained the company’s strongest performer. Sales reached 5,339 units, up 27% year-on-year.
Cultus sales moved in the opposite direction. Sales fell 40% annually to 296 units.
Hyundai Nishat Motors recorded a 39% year-on-year decline. However, its monthly sales improved 5% to 742 units in August.
Two- and Three-Wheeler Sales Increase
The broader automotive market also recorded growth in two- and three-wheelers.
Sales in this segment reached 178,119 units in August. That represented a 20% year-on-year increase and a 3% monthly rise.
Excluding Sazgar Engineering Works, two- and three-wheeler sales increased 22% annually and 4% from July.
Tractor sales also grew compared with last year. August sales reached 1,052 units, up 6% year-on-year but down 15% month-on-month.
Meanwhile, truck and bus sales increased 31% annually to 875 units. They were 5% lower than the previous month.
Auto Sector Outlook for FY27
Topline Securities expects Pakistan’s automotive market to maintain its positive momentum during FY27.
The brokerage believes new vehicle variants could help support demand. The entry of additional automotive brands is also expected to increase competition.
As a result, new model launches and a wider range of vehicles could provide further support to industry sales throughout the fiscal year.
The August decline shows that the market still faces short-term uncertainty. Nevertheless, the strong growth recorded during the first two months of FY27 points to improving annual demand across several segments.
