Due to a shortage of inventory, Pak Suzuki Motor Company (PSMC) has decided to halt motorbike assembly for 16 days.
According to a formal notice, motorcycle assembly will stop from July 31 to August 15. After production resumes, Suzuki may raise motorbike pricing, citing the instability of the local currency.
Here is the official notification:
The corporation recently stated that it would suspend production from June 22 to July 15. As a result, there was a 24-day stretch where nothing was produced.
Due to occasional production pauses, Suzuki, the biggest manufacturer in Pakistan in terms of production and sales, has seen a sharp fall in sales and revenue.
Pak Suzuki Concerns
Suzuki informed Prime Minister Shahbaz Sharif about the terrible status of the auto industry in the first week of June, stating, “Here, we would like to bring to kind notice that PSMC is going through the very worst of times in its history of about 40 years. The company has already suffered huge losses of Rs. 12.9 billion in the first quarter of the current year due to current economic uncertainties.
The company is also observing many “No Production Days” every month throughout the year. In addition to this, our dealers and vendors are also suffering very badly due to the current economic and business situation, as some of them are already closed and many more are on the bring of closure.”
Recent sources indicate that the government has raised taxes on all locally built vehicles while maintaining import restrictions. The future of the auto sector seems dim given the current situation.
To read our blog on “Suzuki launch its plant operations after almost 1 month,” click here.
