The Pakistani automobile industry is expected to expand. The automobile sector in Pakistan is expected to grow significantly as a result of fast digitalization, which has resulted in a reduction in the country’s average earning age.
The Pakistani automobile industry is expected to expand
Syed Shabbiruddin, Master Changan Motors’ Sales and Marketing Director (MD) stated,
The previous generation received their first payment on average when they were 27 years old, but because to the opportunities created by digitization, that age has now been lowered to 21 years.
In a presentation, he stated that the company targets clients between the ages of 25 and 64, and that a large number of Generation Z members join the ranks of car owners each year.
These people begin working at a young age — usually around the age of 21 — and quickly rise through the social ranks, according to Shabbiruddin.
“An increasing number of ladies in the business sector will result in a significant increase in the proportion of females who own their own cars,” the MD predicted, adding,
On average, one out of every six rich consumers buys a new car every year.
Furthermore, by 2026, the wealthy class is expected to reach 21 million people, followed by 27 million in 2031 and 29 million in 2036.
Noman Ahmed, CEO of SI Global, told The Express Tribune that the rapid expansion of internet jobs has allowed young people to make substantially more money than prior generations.
He went on to say that the introduction of new manufacturers, as well as government backing, have helped boost car sales in the country. In addition, the shift from mechanical to technology-based automobile manufacturing has had a significant impact on young people’s car preferences. Latest Car Price & Specifications in Pakistan 2022.
“The motor business continues to adapt and develop to this day,” said Said. He believes that, in addition to increasing car sales, the youth may participate in the manufacturing of automobiles and their parts, as well as the establishment of trustworthy platforms for online replacement parts purchases.
Zulfikar Thaver, President of the Association of Small and Medium Enterprises (UNISAME), stated that the automobile business is obviously drawing young people.
“However, to reduce the burden on the exchequer, the automobile sector needs to create more and more localised parts,” he said.
Due to the fact that the automobile sector appears to have a bright future, Thaver believes it will continue to decline for a few years. Muqeet Naeem of Ismail Iqbal Securities forecasts a drop in automobile sales in the fiscal year 2022-23 as a result of high-interest rates, limited vehicle financing, and the government’s reversal of tax incentives in the 2021-22 budget.