Karachi , July 7, 2023: Pak Suzuki Motor Company (PSMC) has decided to extend the shutdown of its automobile and motorcycle plant till July 19.
The automaker shared the development in its notice to the Pakistan Stock Exchange (PSX) on Friday.
It said the decision was made as the automaker faces a shortage of inventory.
“Due to continued shortage of inventory level, the management of the company has decided to extend the shut-down motorcycle and automobile plant till July 19, 2023,” read the notice.
PSMC had earlier closed its motorcycle and automobile plant till July 15, 2023. The auto assembler also closed both its automobile and motorcycle plant from May 2 to May 9, due to a lack of raw material.
PMSC is the assembler, manufacturer, and marketer of Suzuki cars, pickups, vans, 4x4s and motorcycles as well as related spare parts. The Suzuki brand itself is from Japan.
Back in April, the auto manufacturer recorded its highest-ever quarterly loss of Rs12.9 billion in the first three months of 2023 owing to a decrease in sales and high finance cost. The car manufacturing firm had booked a loss of Rs460.227 million in the same period last year.
Pakistan’s auto sector is currently facing several crises. Other listed companies, such as Indus Motor Company Limited and Honda Atlas Cars, have also had to halt production in recent months due to economic difficulties.
The country’s auto sector, hugely dependent on imports, has been hit hard by the import curbs and restrictions in the issuance of Letters of Credit (LC).
Last month, the central bank announced the withdrawal of all restrictions on imports to facilitate the industrial sector.
In December last year, the SBP asked banks to prioritize/facilitate imports related to essential items, energy, agriculture inputs, imports by export-oriented industries, and imports on a deferred payment basis.