Karachi: Auto sales in Pakistan are anticipated to see a notable year-on-year increase in August 2026, despite a projected month-on-month decline. The three major players in the industry—Indus Motor Company Ltd, Honda Atlas Cars Ltd, and Pak Suzuki Ltd—are expected to report a 22 percent rise in sales, reaching 14,200 units compared to the previous year. However, sales are likely to decrease by 20 percent from the previous month.

According to JS Global, Honda Atlas Cars Ltd is projected to experience the most significant year-on-year growth in August 2026, with sales increasing by 2.4 times, attributed to a low base from the previous year. Indus Motor Company Ltd and Pak Suzuki Ltd are also expected to see year-on-year sales growth of 19 percent and 6 percent, respectively. In the first two months of the fiscal year 2027, the auto sector's volume is projected to grow by 59 percent year-on-year to approximately 32,100 units, largely due to the low base of July 2025.

The auto industry continues to engage in discussions with the government regarding the Auto Policy (AIDEP 2026-31). A notable trend benefiting the local auto sector is the decline in used car imports, which have decreased by 16 percent year-on-year to approximately 37,000 units in the fiscal year 2026. This reduction is attributed to stricter regulations and the abolition of the Personal Baggage Scheme.