Indus Motor Company, the makers of Toyota in Pakistan, has decided to increase prices of passenger cars on account of the worsening macroeconomic situation in the country.
Global supply chain crisis and political uncertainty in Pakistan have contributed towards this bleak economic outlook.
“The price hike was very much on the cards due to the slippage of Pakistani rupee against the greenback,” Ismail Iqbal Securities auto analyst Muqeet Naeem informed The Express Tribune.
The company has increased prices of its six variants of Corolla from Rs990,000 to Rs1.290 million.
Corolla Altis X Manual 1.6 litres is now available at the price of Rs4.899 million after a hike of Rs990,000.
The new price of Corolla Altis X Automatic 1.6 litres is Rs5.139 million after a hike of Rs1.040 million.
Corolla Altis X Automatic 1.6 litres Special Edition now costs Rs5.639 million after a jump of Rs1.130 million.
Indus Motor has increased the price tag of Corolla Altis X CVT-I 1.8 litres to Rs5.679 million from Rs4.499 million previously.
Corolla Altis Grande X CVT-I 1.8 litres with beige interior now costs Rs6.149 million from Rs4.859 million previously, which shows a jump of Rs1.290 million.
Corolla Altis Grande X CVT-I 1.8 litres with black interior saw the same hike and it now stands at a price tag of Rs6.189 million.
Since the last price hike in April 2022, the rupee has devalued by around 28%. This has led to a significant price increase for Indus Motor cars, according to Ali Asif, an auto analyst at Aba Ali Habib Securities.
He contends that it is a matter of time before other industry players follow suit and increase car prices
as well.
“It should be noted that despite the significant price increase, the booking for new cars is still closed due to restrictions on LCs,” Asif told The Express Tribune.
Toyota Yaris, which is available in six variants, saw a price increase from Rs760,000 to Rs910,000.
The new price tag for Toyota Yaris GLI Manual 1.3-litre is Rs3.799 million after an increase of Rs760,000.
The new price of Toyota Yaris ATIV Manual 1.3-litre is Rs3.999 million, which shows a jump of Rs790,000 from the old price.
Yaris GLI CVT 1.3-litre now costs Rs4.039 million after a price hike of Rs790,000.
The company increased the price of Yaris ATIV CVT 1.3-litre to Rs4.209 million from Rs3.379 million previously.
Toyota Yaris ATIV X MT 1.5-litre after a price hike of Rs860,000 is now available at Rs4.309 million.
The new price of Yaris ATIV X CVT 1.5-litre is Rs4.569 million after a jump of Rs910,000.
Besides the devaluation of the rupee, the increase in taxes accounts for the price hike as the government has imposed CVT on vehicles above 1,300cc engine. In addition, an increase in raw material and transportation costs has also increased the total vendor cost of production. These factors have prompted Indus Motor to increase prices, according to auto analyst Arsalan Hanif.
Toyota Fortuner variants recorded a massive hike from Rs2.530 million to Rs3.160 million.
Fortuner 2.7-litre G variant now costs Rs12.489 million after a jump of Rs2.530 million.
The new price of Fortuner 2.7-litre V is Rs14.279 million after a hike of Rs2.820 million.
Fortuner 2.8-litre Sigma 4 after the price increase is now available for Rs15.069 million.
Toyota Fortuner Legender Diesel also saw a massive increase in price from Rs 12.679 million to Rs15.839 million.
Published in The Express Tribune, July 30th, 2022.
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