Honda Pakistan increases car prices by up to Rs1m

KARACHI: In the backdrop of rupee depreciation against the US dollar and increase in sales tax, Honda Atlas Cars (Pakistan) has increased the prices of its cars of various models by Rs1 million, ARY News reported on Tuesday.

As per a circular issued to the authorised dealers, the new price of high-end Civic variant crossed Rs10-million mark – the first time in the country’s history.

‘Keeping in view further increase in exchange rate and rate of sales tax from 18% to 25% on 1,400cc and above CKD vehicles. HACPL (Honda Atlas) has to increase current prices”. The new prices came into effect on March 14.

Following the recent price hike, the Civic RS 1.5L variant is now available at Rs10.199 million.

The rate of the low-end City MT 1.2L rose Rs220,000 to Rs4.799 million. The price of 1.2L City CVT jacked up by Rs200,000 and it will now be sold for Rs4.929 million.

Meanwhile, the 1.5L City CVT will now be sold for Rs5.549 million after an increase of Rs530,000. On the other hand, the new price of BRV CVT S is Rs6.529 million after an increase of Rs580,000.

The rate of HRV VTI S has been increased by Rs800,000 and the new price is Rs8.199 million.

It is worth mentioning here that Pakistan’s auto sector remains engulfed in various crises, with a number of automakers announcing complete or partial shutdowns in recent months citing various reasons.

Earlier on March 8, it was reported that Pakistan’s automaker Honda Atlas Cars (Pakistan) Limited (HCAR) has temporarily shut down its plant from March 9 to 31, citing supply chain disruptions.

“Considering the current economic situation of Pakistan whereby the Government resorted to stringent measures including restricting the opening of Letters of Credit (LCs) for import of CKD kits, raw materials and halting foreign payments, the company’s supply chain has also been severely disrupted by such measures,” read a notice.