As we all noticed things in our surroundings to be changed in covid-19 and it impacts all the sides.
If we talk about automobile side we’ll notice Cars manufactured by different companies are now becoming a luxury in 2021 But if we go through about the impact of covid-19 on automobile side we’ll notice that with the instances of local car manufacturers providing discount packages and premium fee waivers, it is safe to say that Covid-19 has made us see things we never imagined.
On the whole, the automobile sector was no different than other national businesses in terms of losses as there was a massive decline in the purchase of consumer cars. Overall, the figures suggested that the consumer car sales decreased by more than 50% during the March- October tenure as compared to the period between the same months in 2019.
Nothing can beat the love of our people for cars.
With the trade activities coming to a near close during the pandemic, we could sense that our people wanted to keep the legacy of car trading afloat and they somehow managed to do it through used car trading. According to figures, used car trading witnessed a staggering increase during Covid-19 as consumers went all out for the options that came down within their budgets.
Before the advent of Covid-19, the sales figures between July 2019 and February 2020 showcased that automobile sales in Pakistan had tanked by as much as 44% compared to the period between the same months in 2018-19. Considering these staggering figures and the 4% contribution of Pakistan’s automotive sector to the national economy, it is safe to say that that the national economy faced a major setback due to the decrease in sales in the automotive sector.
Industry analysts have painted a positive outlook for the auto industry in the upcoming years, predicting around 17% rise in demand for cars in 2021 and 24% in 2022, stated a report on vehicle category. In comparison to 2020, the volumes are estimated to be 35% higher in 2021 and to be more increase in 2022 due to a lot of availability since new branded cars are launching in Pakistan like MG, Kia, proton and Changan to compete for the market and operates more choices to the people.
Submitted by Hussain Abidi, Date 27 January 2021.