Pak Suzuki extends shutdown amid import curbs

Suzuki, Pakistan's top automaker, has extended the shutdown of its vehicle and motorcycle manufacturing for another week due to an ongoing inventory deficit.

The business had previously announced a factory delay from June 22 to July 8, 2023. It is now extended till July 15.

The company stated in a letter to the Pakistan Stock Exchange (PSX) that the decision was made due to a prolonged lack of raw materials.

"Due to continued inventory shortages, the company's management has decided to extend the shutdown of the automobile and motorcycle plant until July 15, 2023," Suzuki stated in its notification.

Suzuki's motorcycle plant was shuttered for five days at the start of June, while the vehicle division was also closed for eight days in May, along with the bike manufacturing.

Due to import restrictions, Pakistan's auto industry is in hot water, with carmakers providing customers the option to cancel reservations and receive refunds. Several vehicle manufacturers, notably Suzuki, saw their sales suffer as a result of the huge price increases.

All major companies in the car industry are feeling the brunt of the economic downturn since the country's auto sector is heavily reliant on imports and has been stressed by the rupee's dramatic fall.

According to data provided by the Pakistan Automotive Manufacturers Association, vehicle sales fell by 80% year on year last month.