Islamabad: Pakistan’s automobile industry has experienced a significant surge, with car sales increasing by 50% Year-on-Year (YoY) during the first eight months of Fiscal Year (FY) 2025.
Reports indicate that from July 2024 to February 2025, total car sales reached 89,770 units, a sharp rise from the 59,700 units recorded during the same period last year.
Market Performance
In February 2025, auto sales stood at 12,084 units, reflecting a 24% YoY increase.
However, Month-on-Month (MoM) figures showed a 29% decline from January, which experts attribute to typical seasonal variations, as many buyers make their purchases earlier in the year.

Factors Driving Growth
- Economic Recovery: Rising consumer confidence has led to increased spending on vehicles.
- Lower Interest Rates: More affordable financing options have encouraged car purchases.
- New Vehicle Launches: Automakers introducing fresh models to attract buyers.
- Improved Supply Chain: Availability of vehicle parts has stabilized production, ensuring timely deliveries.
- Government Policies: Supportive regulations and incentives have contributed to the auto sector’s expansion.
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Segment Analysis
- Passenger Cars: The main contributor to the sales boom.
- Two & Three-Wheelers: Sales rose by 30% YoY, reaching over 962,000 units in 8MFY25.
- Tractors: Saw a YoY drop of 54% and a MoM decline of 44%.
- Trucks & Buses: Sales stood at 486 units in February, marking a 38% YoY increase.
Future Outlook
The automotive industry is expected to sustain its upward trend, supported by economic stability, favorable lending policies, and growing consumer demand.
Continued innovation and new model introductions will likely keep the momentum going in the months ahead.
Stay updated for the latest developments in Pakistan’s auto industry! 🚗📊
Bloom Insight: Pakistan’s Auto Industry on a Growth Trajectory
Pakistan’s auto sector saw 50% YoY growth, reaching 89,770 units in FY 2025. Driven by economic recovery, lower interest rates, and new models, the market remains strong despite seasonal dips, with a positive outlook for sustained expansion. 🚗📈