Following the collapse of the auto industry, the current economic crisis has turned its attention to the nation’s small bike industry. Even two-wheelers are becoming out of the grasp of the general populace after consecutive price increases.
As a result, motorcycle manufacturers are seeing low sales, which has prompted them to create promotions to get customers to their empty dealerships.
The Scheme:
Pakistan Suzuki Motor Company (PSMC) recently made a move in the same direction as Honda and Yamaha. For its motorcycles, the company has announced an installment plan with 0% markup. Keep in mind that the aforementioned plan does not apply to the GSX 125, and only Bank Alfalah cardholders may take advantage of this deal.
Yamaha and Honda provide 0% markup programmes for 9 months, but PSMC offers plans that go up to 18 months. In comparison to its rivals, the corporation had a better plan. Suzuki has an internal installment plan as well, which anyone can use independent of bank connection. When PSMC is already a better plan, the most recent plan is pointless.
This action highlights Suzuki’s efforts to generate interest among customers through their continuous installment plan. Due to the frequent production pauses, the success of this method is still unknown.
Declining Sales And Production Ceasing:
According to the most recent statistics from the Pakistan Automotive Manufacturers Association (PAMA), Pak Suzuki saw a fall in motorcycle sales of 29.1% last month, selling a total of 820 units.
Additionally, the business recently announced a second batch of NPDs for this month at its motorbike manufacturing site.
Suzuki announced the temporary shutdown of its vehicle and bike assembly factory from June 22 to July 8, 2023, in an official notification to the Pakistan Stock Exchange (PSX), attributing the choice to insufficient inventory levels.
A difficult environment has been created for the entire car sector as a result of the company’s poor sales as well as price rises, tax rate increases, and import restrictions. Suzuki recently had to halt motorcycle production for five days owing to a shortage of inventory, which only made their problems worse.
Suzuki contacted Shahbaz Sharif, the temporary prime minister, personally in response to these issues to inform him of the catastrophic state of the auto industry.