Honda City expected new price in Pakistan as GST increased to 25%. The newly formed federal government has announced a significant increase in the general sales tax (GST) on automobiles valued above Rs4 million or featuring engine capacities exceeding 1400cc.
The GST, previously set at 18%, has now been elevated to 25%, signaling a notable shift in tax policy.
This decision is expected to have profound implications for the automotive industry in Pakistan, particularly for renowned manufacturers such as Honda.
Industry analysts anticipate that auto companies will respond to the increased tax burden by revising the prices of their vehicles, a customary practice within the sector.
Also read: Honda City 1.2 price in Pakistan December 2023 update
Among the vehicles likely to be affected, the Honda City stands out as a popular choice among car enthusiasts, lauded for its elegant design, smooth driving experience, sophisticated cabin, and powerful engine options.
In light of the government’s tax adjustment, variants of the Honda City available in the Pakistani market—including the Honda City 1.2 MT, Honda City 1.2 CVT, Honda City 1.5LS CVT, Aspire 1.5LAS MT, and Aspire 1.5LAS CVT—are expected to undergo price revisions, particularly those exceeding the specified Rs4 million threshold or possessing engine capacities surpassing 1400cc.
The announcement has set the stage for manufacturers to announce revised pricing structures, factoring in the additional 7% GST.
This development underscores the ongoing interplay between government policy decisions and the dynamics of the automotive market in Pakistan.
As Honda City expected new price in Pakistan as GST increased to 25%, the implications of the GST hike on car prices remain a subject of keen interest and scrutiny within the industry and among prospective buyers alike.
Existing Price of Honda City in Pakistan
| Honda City 1.2 MT | Rs4,799,000 |
| Honda City 1.2 CVT | Rs4,929,000 |
| Honda City 1.5LS CVT | Rs5,549,000 |
| Aspire 1.5LAS MT | Rs5,759,000 |
| Aspire 1.5LAS CVT | Rs5,979,000 |
