Honda Atlas Cars Pakistan Limited (HACPL) has shut down its production for a whole week due to lack of resources stemming from supply chain issues that have been created from government’s sanctions on import of Completely Knocked Down (CKD) kits to save the country’s precious foreign exchange.
In a notification, Honda Atlas Cars Pakistan Limited (HACPL) stated that government’s stringent measures for the import of CKD kits and raw materials have created supply chain issues, adding that the company has to rationalize its production and ultimately shutdown production from October 4, 2022 to October 11, 2022.
It is pertinent to mention that Pakistan’s automotive industry has been facing many challenges due to import restrictions on import of Completely Knocked Down (CKD) kits and the devaluation of currency (USD to PKR) that has significantly raised the company’s cost.
Furthermore, these issues has caused automotive industries to observe several Non Production Days (NPDs) that has also caused a delay in vehicle deliveries to customers and ultimately a massive fall in year-over-year car sales in the country for the months of July-August.
Delay in HR-V Launch
Honda Atlas Cars Private Limited (HACPL) has announced the launch of the much awaited Honda HR-V (better known as the Honda Vezel) during the Pakistan Auto Show (PAPS 2022) and the company had been teasing different aspects of the vehicle on social media as well.
However, the launch has been delayed by the company due to above mentioned restrictions and lack of raw materials to meet customer demands. Currently, the exact date regarding the launch of the Honda HR-V remains unclear, however, it is expected to arrive sometime in Q1-Q2 2023.
Toyota Offers Refunds
The whole situation got so bad for the automotive industry that Toyota’ Indus Motor Company (IMC) had to ultimately cancel its bookings and offer a full refund with markup to customers. Furthermore, Pak Suzuki Motor Company (PSMC) wasn’t spared from the fallout of the economic crisis and the company had to observe several NPDs as well.