Pakistan’s automobile industry has shown a remarkable recovery during the first five months of fiscal year 2026, emerging as a key contributor to industrial growth. From July to November, vehicle production increased sharply across multiple segments, according to the Finance Ministry’s monthly report.
The production of trucks and buses witnessed the highest growth, jumping by 97 percent compared to the same period last year. Car manufacturing also saw a significant rise of 65.1 percent, while the output of jeeps and pick-ups grew by 38.8 percent.
This strong performance played an important role in boosting Large-Scale Manufacturing (LSM), which expanded by 5.02 percent during the period. Experts expect the auto sector to continue supporting economic recovery as industrial activity gains momentum.
However, despite higher production levels, transport-related costs remain a concern for consumers. Data from the Consumer Price Index (CPI) shows that the transport sector contributed notably to inflation, recording a 6.1 percent year-on-year increase in November 2025.
