Indus Motor Company (IMC), the assembler and seller of Toyota-brand vehicles in Pakistan, has announced yet another hike in the prices of its cars. This latest increase ranges up to Rs2.017 million and will take effect from March 10, according to a letter sent to dealers.
The company cited a number of factors for the decision, including economic uncertainties, exchange rate issues, and an increase in sales tax. “This situation has made it extremely difficult for IMC to hold the current indicative retail selling prices,” the company said in the letter.
Following the latest price hike, Toyota’s Yaris 1.3MT will now sell for Rs4.499 million, with the car’s price rising by Rs183,000. The high-end Toyota Fortuner Legender will now cost more than Rs20 million after an increase of Rs2.017 million, with the new price standing at Rs20.129 million.
The Corolla 1.6 MT has also seen a significant increase, with its price going up by Rs593,000 to reach Rs6.169 million.
This is the third time that IMC has raised the prices of its Toyota cars in 2023. In a letter sent to dealers on February 14, the company increased prices by up to Rs890,000.
IMC has attributed the latest price hike to the government of Pakistan’s recent decision to enhance the rate of sales tax to 25% on all CKD vehicles with engine capacity of 1400cc and above (with exception of IMV-I Single Cabin) under the Sales Tax Act 1990.
The latest increase in prices has sparked concern among consumers, who are already struggling with the high cost of living in the country. It remains to be seen how this latest development will impact the automotive market in Pakistan.
