Pak Suzuki hikes Swift GLX CVT price by 6.3pc

KARACHI: Pak Suzuki Motor Company (PSMC) on Monday raised the price of its Swift GLX CVT variant by 6.3 percent to Rs5.429 million, citing a higher sales tax imposed by the government on locally made or assembled vehicles.

The new price, effective from March 8, reflects a Rs304,000 increase from the previous price of Rs5.125 million, the company said in a notice. The notice said the sales tax had increased from 18 percent to 25 percent on vehicles with an invoice price (excluding sales tax) exceeding Rs4 million, according to a notification issued by the Ministry of Finance and Revenue on March 8.

“In reference to the S.R.O 370(1) dated 8th March 2024 issued by Ministry of Finance and Revenue, Government of Pakistan, sales tax has increased from 18 percent to 25 percent on locally manufactured or assembled vehicles if invoice price (excluding sales tax) exceeds Rs4 million for the vehicles falling under chapter 87.03 of the Pakistan Custom Tariffs,” the company notice said.

This is the second time PSMC has increased the price of the Swift GLX CVT this month. On March 1, the company hiked the price by 85,000 rupees, along with other variants, due to inflation, higher overhead costs, and rising international raw material and freight charges. Pakistan's auto sector has been facing challenges due to the, currency depreciation, and import curbs.