A wave of price hikes has swept the motorcycle industry again but several local assemblers of Chinese bikes had already introduced price hikes of their own earlier this month prior to the announcements by Atlas Honda and Yamaha.
Recent media reports disclosed that assemblers such as Unique, Road Prince, United Auto Industries, Crown Motor Company, and Express Motorcycles have all increased the prices of their motorcycles and attributed their price hikes to the increase in the cost of raw materials and the other pre-produced components of the motorcycles.
Reportedly, D.S. Motors — the assembler of Unique Bikes — had increased prices of its motorcycles by up to Rs. 2,000 on 10 July, while the Crown Motor Company and Road Prince Motorcycles had raised the prices of their motorbikes by Rs. 1,000.
United Auto Industries had raised the prices of their 70cc and 125cc motorcycles by Rs. 1000 on 10 July and that of their scooter by Rs. 10,000 in April. On the other hand, Haji Motors — the makers of Express motorcycles — had raised the prices of their motorcycles at the start of July.
Despite the increase in the prices of motorcycles, their sales in Pakistan are on a continuous upward trajectory.
A senior motorcycle trader, Mohammad Sabir, told the media that the prices of motorcycles are increasing due to the increase in the cost of assembling.
He added that that the demand for motorcycles will continue to grow because cars and fuel are becoming more expensive and local transport is becoming a less favorable option for daily commuters.
Sabir further stated that motorcycles are cheap to buy, easy to maintain, and easy to live with, which is why they are the vehicle of choice for the majority of Pakistanis.
Given these factors, there is an urgent need for the government to issue a dedicated policy for the motorcycle industry to allow more competition in the market for competitive pricing and also to regulate the price of the motorcycles to curb unnecessary price hikes.