Although automakers expect a rise in vehicle prices as a result of rising raw material prices on global markets, another cost pressure has emerged as a result of China’s withdrawal of an export tax rebate on 146 types of steel products effective May 1, 2021.
Pak Suzuki Motor Company Ltd (PSMCL) and Indus Motor Company (IMC) both warned about vehicle price hikes at an analyst briefing last week.
According to Topline Securities’ Qazi Hadi, Pak Suzuki told analysts that the company could conduct a price review in relation to the rupee-dollar parity. The effect of the ongoing third wave of Covid-19, on the other hand, is being considered.
IMC said the appreciating rupee had offset that commodity prices (steel, plastic resin, copper, aluminum, and so on) in 9MFY21, according to Taha Madani of BMA Capital Management. If commodity prices do not stabilize, IMC will raise vehicle prices to pass on the cost.
pathetic companies (including Honda), they always focus on money not to facilitate the customers and safety features.