Suzuki Motorcycles Plant Shutdown in Pakistan

Since last year, the economy and auto industry of Pakistan are in hot waters. Many companies have closed or limited their operations in Pakistan. The vendor industry and many other small suppliers are facing closure due to a lack of raw materials. After the Govt has announced many items as “unnecessary items” and banned their imports in Pakistan. The letter of credit for automakers in Pakistan are closed and Suzuki Motorcycles Plant shut down in Pakistan.

Suzuki Motorcycles are being assembled in Pakistan for over 4 decades. Suzuki started assembling 80 cc motorcycles in the 70’s & 80’s. The automaker never localized completely and always relied upon CKD or CBU imports to continue their business in Pakistan. Now after the exchange rate differences, things are much different and it’s almost impossible to continue automobile manufacturing this way.

Keeping these issues in mind, the Suzuki Motorcycles plant is shut down in Pakistan for over 3 weeks now. This plant closure is extended till 28th April 2023 and the situation seems to be even worst. In an official notification, Suzuki has informed all the government authorities about its closure. Its been a month Suzuki has not produced a single motorcycle in Pakistan. The letter states as follows:

Also to make the situation worst, the highly increased prices have also affected sales. Suzuki motorcycles used to be sold for less than MRP in Pakistan. Now They are being sold for a much higher price tag. Suzuki GD110S, GS150, GR150 & GSX125 are now costing an all-time high. The Suzuki Motorcycles used to be sold on installment plans as well. The installment sales are also less and people are more inclined towards second-hand.

Also, the government is inclined to launch cheaper petrol, this is being done at the cost of car owners. Govt plans to sell expensive fuel to car owners and give subsidies to motorcyclists which is unfair!