Other companies also expected to follow soon
Yamaha will be raising prices of its motorcycles by as much as Rs8,500 from October 1. Its lowest price bike, the YB125Z, will now be selling for Rs184,000.
The new price of YB125Z DX will be Rs198,500.
YBR125 and YBR125G will now be selling for Rs204,000 and Rs213,500, respectively.
Last year, there was a surge in demand for motorcycles after markets opened after lockdown
According to sources, Honda and Suzuki were also thinking of jacking up prices of their models as well.
United Automobiles and Road Prince have already announced that they will be adding on Rs5,000 and Rs3,000 respectively to their motorcycle prices from October 1.
“Companies are not giving more units (motorcycles) to dealers,” said Association of Pakistan Motorcycle Assemblers (APMA) Chairperson Muhammad Sabir Shaikh. “It happens when companies plan to increase prices.”
SAMAA Digital contacted several dealers to ascertain the availability of motorcycles. Motorcycles were not readily available and a few dealers hinted that motorcycle prices may go up next month.
Shaikh said that the cost of inputs such as steel has gone up and the dollar has been hovering around Rs169 with no signs of coming down. Moreover, freight costs have also gone up.
“All these factors have been keeping companies on tenterhooks. They may soon jack up prices to pass on the higher cost of production to buyers,” he said.
Pakistan’s auto sector, including both car and motorcycle segments, depends on imported parts. Imported items are highly sensitive to the dollar rate.
Shaikh claimed motorcycle companies did their costing when the dollar rate was around Rs155.
Last year, there was a surge in demand for motorcycles after markets opened following lockdown due to the coronavirus pandemic. The companies couldn’t match the high demand and therefore there were fewer motorcycles available and more buyers. This introduced the menace of own-money in the two-wheel segment as well.
Motorcycle companies did their costing when the dollar rate was around Rs155.
According to Minister for Industries and Production Khusro Batkhtiar, Pakistan manufactured a record 2.6 million motorcycles in the financial year 2020-21. For the current year, the government has set a production target of 3 million motorcycles units to increase job creation.