Issue has become commonplace due to COVID-19 pandemic
Pak Suzuki, the company that sells the most cars in the country, is facing issues in delivering cars on time, especially the Cultus and Swift. Meanwhile, the standard version of the company’s Alto is readily available in 30 days since it needs fewer imported parts.
“We are unable to deliver the Cultus and Swift cars that were supposed to be delivered in November ,” said a company official. “This is due to supply chain issues the industry is facing.”
According to another source in the company, many car parts come from Japan where production has been affected due to COVID-19 restrictions. Shipments from Japan come after stopping at places like Singapore.
Shipping lines are facing issues with reduced manpower, which has slowed down the entire process of shipping goods.
“When countries went into lockdown due to the pandemic, shipping lines laid off many people. Ships and containers were standing idle at ports,” said the director of Master Changan Motors sales and marketing division, Shabiruddin. He said his company has also been facing similar issues.
But, he said the auto industry is not the only one that is facing this problem. International trade as a whole has been affected due to slowed down and choked shipping lines.
Shabiruddin said after the initial lockdowns, demand increased immensely in the US and Europe ahead of the Christmas season. The available containers were redirected towards the West and the supply chain was affected in Asia.
Work at ports slowed down due to a smaller workforce and COVID-19 SOPs. It has been taking more time to unload cargo from a vessel.
“If a container used to make one round trip a month, it was now taking two months,” Shabiruddin said.
The motorcycle segment of the auto industry has also been facing issues and faced delivery issues for the first time in decades.
“Containers that cost $800 are now costing $4,000 to import parts and other things from China,” said All Pakistan Motorcycle Association Chairperson Sabir Sheikh.
Pakistan is facing own-money issues in the motorcycle industry for the first time in decades.