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KARACHI, June 11, 2026: Pakistan’s automobile industry recorded mixed performance in May 2026, as car sales increased on an annual basis but declined compared to the previous month.
According to data released by the Pakistan Automotive Manufacturers Association (PAMA), car sales reached 17,660 units in May 2026. This reflects a 19% increase year-on-year (YoY) but a 20% decline month-on-month (MoM). Consequently, cumulative car sales during the first eleven months of FY26 climbed to 183,704 units, marking a strong 45% YoY growth.
Analysts attribute the annual growth to new market entrants, fresh vehicle launches, lower inflation in recent months, and increased auto financing. However, fewer working days during Eid-ul-Adha holidays affected deliveries and sales activity in May. In addition, market expectations of possible tax reductions may have prompted some buyers to delay purchases.
Among individual manufacturers, Sazgar Engineering posted the strongest growth. The company sold 1,604 units in May, up 75% YoY, although sales fell 28% MoM. Notably, the company sold 355 units of its newly launched TANK variant during the month.
Meanwhile, Pakistan Suzuki Motor Company (PSMC) reported sales of 8,856 units, up 60% YoY but down 20% MoM. The company launched the Suzuki Fronx on May 6 and sold 552 units during the month, indicating strong market acceptance.
Similarly, Honda Atlas Cars recorded sales of 2,230 units, reflecting an 11% YoY increase and an 18% MoM decline. Sales of City and Civic models rose 4% YoY to 1,952 units, while BR-V and HR-V sales more than doubled year-on-year to 278 units.
In contrast, Indus Motor Company (Toyota) reported sales of 3,496 units, down 28% YoY and 19% MoM. Combined sales of Corolla, Yaris, and Corolla Cross dropped 30% YoY to 2,685 units, while Fortuner and IMV sales declined 20% YoY to 811 units.
Likewise, Hyundai Nishat Motors sold 902 units, down 31% YoY and 10% MoM. However, sales of the Tucson and Porter models increased 11% and 45%, respectively, on a monthly basis.
Beyond passenger cars, the two- and three-wheeler segment remained strong. Sales reached 172,433 units in May, up 13% YoY, although down 10% MoM. As a result, cumulative sales during 11MFY26 rose 30% YoY to approximately 1.8 million units.
Furthermore, tractor sales climbed 67% YoY to 2,616 units, despite a 7% MoM decline. Meanwhile, truck and bus sales increased 17% YoY to 714 units, though they fell 13% compared to April.
Looking ahead, analysts expect the auto sector’s positive momentum to continue in FY27. New vehicle variants, fresh market entrants, and improving consumer demand are likely to support further growth in sales.
