After Lucky Motor, Pak Suzuki hikes car prices amid new NEV levy

After Lucky Motor Corporation (LMC), Pak Suzuki Motor Company (PSMC) has become the latest auto manufacturer in Pakistan to increase the prices of its vehicles following changes introduced in the Federal Budget 2025-26, including the implementation of a new NEV [New Energy Vehicle] levy on automobile sales.

“No impact of an increase in financial economic cost has been transferred to the customer. The price revision solely reflects the increase in government-imposed taxes and levies,” PSMC said in its circular issued on Wednesday.

The NEV levy, introduced in the Finance Act 2025, applies to all internal combustion engine motor vehicles and motorcycles and came into effect from July 1, 2025, increasing prices significantly.

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According to the details, the NEV levy covers all vehicle categories from basic motorcycles to luxury SUVs.

However, the policy exempts new energy vehicles (electric and hybrid cars), vehicles manufactured exclusively for export, diplomatic mission vehicles, and those belonging to international organisations with diplomatic privileges.

According to PSMC’s circular issued to dealers, the revised retail prices, which will become effective from July 1, 2025, reflect an increase of over Rs186,000.

Among the most impacted models is the Alto VXL AGS, which now costs Rs3,32 million, marking a jump of Rs186,446 from its previous price. Meanwhile, the VXR and VXR AGS variants will now be available at Rs2.99 million and Rs3.17 million, following hikes of Rs167,861 and Rs177,480, respectively.

For the Cultus variants, the Cultus VXR has seen a significant hike of Rs40,490, with its new price now set at Rs4,08 million. Meanwhile, the VXL and AGS variants are now available at Rs4.36 million and Rs4.59 million, respectively.

For the Swift series, the price of GLX CVT has gone up by Rs47,190, bringing its revised retail price to Rs4.76 million. Additionally, Swift’s GL MT and GL CVT variants are priced at Rs4.46 million and Rs4.60 million, following the latest revision.

Every VX and VXR have experienced an increase of Rs163,230 and Rs166,200, respectively. Meanwhile, Ravi variants have seen hikes of Rs18,810 and Rs19,560.

The PSMC notification clarified that the updated prices are inclusive of FED, Sales Tax, and NEV Levy, but exclude Advance Income Tax.