Islamabad: The auto industry in Pakistan is facing a challenging period as sales continue to plummet amidst soaring prices and record inflation. Adding to the woes of both buyers and sellers, the government has recently imposed an additional sales tax, further exacerbating the situation.
The new tax policy, which includes a 25 percent sales tax, is particularly impacting small cars like the Suzuki Cultus. With this tax in place, locally made cars targeting four-wheelers priced at Rs400,000 or more, or those with engines over 1400 cc, will see a significant increase in their prices.
This means that Pakistani consumers will now have to shell out additional money to purchase new cars, including models from major brands like Suzuki, Toyota, and Honda, which are all affected by the new tax policy.
Read more: Toyota, Honda & Suzuki Expected Price in Pakistan after 25% Sales Tax
The implementation of the additional sales tax is expected to further dampen the already struggling auto industry in Pakistan, posing challenges for both manufacturers and consumers alike.
