Update: As we announced earlier, Suzuki Pakistan will be officially discontinuing their Suzuki Mehran VX. Earlier on Thursday, the company via a soft-announcement claimed that it will cease production of their low-priced Mehran from next year.
This move was taken by the company to promote the launch of a new brand with modern-day features in order to tackle their Chinese competitors.
As of now, the company has planned to produce 4,574 units of Merhan SB-308 VX and 19,247 units of SB-308 VXR. This makes 33% of the company’s total production which sums more than 144,000 units (which the company produced in 2017/18).
Management of PSMCL Pak Suzuki Motor Company Limited has decided to discontinue Model SB-308 Mehran from April 2019. Consequently, 23,821 units will be produced from September 2018 to March 2019.- PAK Suzuki
However, analysists have shared that this decision comes as a shocker to customers who are looking to purchase an affordable car according to their price range. One of the biggest competitors which Suzuki and their new brand will have to face is United Auto’s Bravo Hatchback which is expected to launch this month.
That’s not all, for local brands like Honda, Toyota, and even Suzuki, United Auto is not the only competitor. Asides Chinese brands, they will get a tough time from Kia, Renault, and Hyundai as well as they are to unveil cars to meet the robust demand in the market.
“It might be part of a cannibalisation move as the company planned to rev up its Alto model (with 660cc). But, the price of imported cars gets double after heavy duty structure.” -Mohammad Shahzad, Car Dealer
The decision to stop the production of the Suzuki Mehran VX was taken by the company in December 2017, according to one of the officials.
“The last order from suppliers for imported materials must be done in accordance with the stock available at supplier’s premises, orders in pipeline and stock at PMSC,”
“The suppliers who are using local materials are also advised to strictly follow the firm orders of PSMC before the placement of last order for procurement of local materials.” – Pak Suzuki
We have now to see how these brands compete with one another while trying to meet ongoing demands from customers in the markets.
Known to be the ‘King of the Roads’, Suzuki Mehran VX has dominated the streets and markets of Pakistan for decades!
Mehran is one of the most loved vehicles in the country because of its economic convenience.
However, Suzuki Pakistan has now decided to discontinue the car. The manufacturer sent a notice to the dealers reading;
“Dear valued vendor(s), Management of PSMCL has decided to discontinue its Model SB308 only version VX(Mehran) from end November 2018. In view of above, it is important to note that all the respective local parts should be produced and supply according to schedules to be sent to you on monthly basis for remaining production plan of 6734 units to be produced from June 2018 to End November 2018.
To avoid surplus stock available at vendors ends after models discontinuation, all valued vendors are advised the following:
- The last order from the vendor for imported materials must be done in accordance to the stocks available at vendor’s premises in pipeline and stock at PSMC
- The vendors who are using local materials are also advised to strictly follow the firm orders of PSMC before the placement of last order for procurement of local materials”
This year, Suzuki sold 30% more units as compared to sales in February 2017. It was then suspected that the company might not discontinue the car, however, it has now been officially announced.
Are you ready to bid farewell?
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