High inflation reduces sale of cars in Pakistan, Toyota closes plant

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2023-08-25T04:01:11+05:00 News Desk

Indus Motor, the manufacturer of Toyota vehicles in Pakistan Thursday announced that it will temporarily halt its production operations from August 25 to September 6, 2023.
The company cited major economic challenges faced in the financial year 2022-23 as the reason for the closure.
The company informed the Pakistan Stock Exchange of its decision in a letter on Thursday.
According to the letter, the company suffered from a significant increase in duties and taxes, a decline in consumer purchasing power due to inflation, and a decrease in the demand for new vehicles.
The company also faced difficulties in importing raw materials for its production.
The letter stated that the company hopes to resume its normal operations after September 6, 2023, subject to the availability of raw materials and improvement in market conditions.
The company assured its customers and stakeholders that it will try to minimize the impact of the closure on its business and service delivery.

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