Wednesday, April 20, 2022

Big Fishes of Automobile Industry "Pakistan".

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Without a doubt, three huge names, Suzuki, Toyota, and Honda, dominate Pakistan's vehicle industry, and they have monopolised the market. This car mafia is dominating us by imposing unjustified costs on such crappy vehicles. In addition, old versions of automobiles that aren't even roadworthy are being offered in Pakistan at unjustified high prices.


On the other hand, people who criticise these mafias end up buying these motor vehicles because they know prices will and have increased like past and they buy for investment point of view because Pakistan is the only country where vehicles prices will increase no matter how old the car is also there is no check and balance of old and wrecked up cars and there is no surety whether vehicles should be on the road or not.


Pakistani Automobile industry always make fool out of people and also cannot justify their prices, instead you can buy a fully optional and comfortable car in almost half of the prices what these 3 monopolistic companies are offering. Also these companies don’t want Government to allow import of these vehicles because people prefer JDM model cars upon locally assembled cars.

 

To fill out these gaps Proton, MG, and Volkswagen are among the automakers that have yet to begin production and could have a major impact on the local vehicle industry. Meanwhile, KIA, Hyundai, Changan, and Prince DFSK have already made waves in the market due to the fact that they have manufactured and delivered cars among which are Changan Alsvin, Kia Sportage, DFSK Glory, Hyundai Alantra, and Sunata are making their names in Pakistan. 


Pakistan is a paradise on earth for local assemblers because the government imposes no limitations or causes any issues. Prices can be raised at any time, consumers are required to pay in full up front, deliveries are made in 4 to 6 months, and local assemblers can take advantage of unlimited black market and duty exemptions.

 

To overcome this monopoly more new competitors in the automobile sector should be encouraged to enter the market, and used car imports should be opened on a commercial scale to put this business under regulation as well. This will provide a level playing field for all stakeholders, including the Pakistani customer, who will be able to purchase a vehicle of his choice and affordability, which is currently unavailable to him.


In addition, the Pakistani government and the Supreme Court should establish an accountability sector for automobile industries in order to restrict the rising rates of these vehicles, which are increasing every year despite no big upgrades or additions compared to previous models of vehicles.


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