High car prices, late delivery drive customers away
Demand rises for used imported vehicles available at attractive prices.
FAISALABAD:
The unchecked increase in prices of new cars and their late delivery have forced customers to look for used imported cars, which are also preferred due to availability of high-quality parts in the market and that too at cheaper rates.
According to a survey, the Faisalabad automobile market is flooded with used imported cars with low price tags. Dealers, customers and showroom owners told The Express Tribune that high prices of locally manufactured cars and undesired delay in delivery had mainly contributed to boosting the demand for second hand imported cars.
According to them, almost all local auto manufacturers release the booked cars after two to three months and the long wait has driven customers towards imported cars which are readily available at all times in the market.
The imported cars most in demand are Vitz, Corolla, Duet and other brands. “Prices of local cars have surged up to 70 per cent in the past three years. Suzuki Swift is sold for Rs1.13 million compared to a three to five-year-old Vitz which is priced between Rs700,000 and Rs900,000,” said Asad Butt, proprietor of Zaib Motors.
Locally manufactured Suzuki Alto was sold for Rs776,000 excluding Rs15,500 in transportation charges while an imported three to five-year-old Suzuki Alto was offered at Rs600,000 to Rs650,000, he added.
A new Corolla XLI was available at Rs1.44 million excluding transportation charges while three to five-year-old imported Corolla was being sold for around Rs1 million to Rs1.1 million, he said.
“Sensible customers are choosing used cars with low prices and high parts quality. Car parts for imported cars are easily available in the market,” said Afzal Hameed, an imported car dealer.
Hameed said auto manufacturers had failed to provide cheap cars to the customers even after the government allowed imports of up to five-year-old used cars to control prices.
Some customers stressed that car assemblers should provide vehicles at low rates and the government should take action to bring the prices down.
Published in The Express Tribune, January 4th, 2012.
The unchecked increase in prices of new cars and their late delivery have forced customers to look for used imported cars, which are also preferred due to availability of high-quality parts in the market and that too at cheaper rates.
According to a survey, the Faisalabad automobile market is flooded with used imported cars with low price tags. Dealers, customers and showroom owners told The Express Tribune that high prices of locally manufactured cars and undesired delay in delivery had mainly contributed to boosting the demand for second hand imported cars.
According to them, almost all local auto manufacturers release the booked cars after two to three months and the long wait has driven customers towards imported cars which are readily available at all times in the market.
The imported cars most in demand are Vitz, Corolla, Duet and other brands. “Prices of local cars have surged up to 70 per cent in the past three years. Suzuki Swift is sold for Rs1.13 million compared to a three to five-year-old Vitz which is priced between Rs700,000 and Rs900,000,” said Asad Butt, proprietor of Zaib Motors.
Locally manufactured Suzuki Alto was sold for Rs776,000 excluding Rs15,500 in transportation charges while an imported three to five-year-old Suzuki Alto was offered at Rs600,000 to Rs650,000, he added.
A new Corolla XLI was available at Rs1.44 million excluding transportation charges while three to five-year-old imported Corolla was being sold for around Rs1 million to Rs1.1 million, he said.
“Sensible customers are choosing used cars with low prices and high parts quality. Car parts for imported cars are easily available in the market,” said Afzal Hameed, an imported car dealer.
Hameed said auto manufacturers had failed to provide cheap cars to the customers even after the government allowed imports of up to five-year-old used cars to control prices.
Some customers stressed that car assemblers should provide vehicles at low rates and the government should take action to bring the prices down.
Published in The Express Tribune, January 4th, 2012.