By Urdu Report Editorial Team
Pakistan’s auto market has witnessed significant changes in vehicle prices during July and August 2026. Following the Federal Budget 2026-27, an increase in sales tax on hybrid vehicles and the impact of Special Excise Duty (SED) on large imported vehicles have pushed up the prices of several models by millions of rupees. At the same time, Audi Pakistan has reduced the prices of several of its models.
During this period, prices of the Toyota Corolla Cross HEV, Toyota Land Cruiser, Toyota Camry, Honda HR-V e:HEV and Suzuki Fronx increased, while some Audi models, including the A6 Sportback e-tron, Q6 e-tron, Q3 and A3, became cheaper.
Impact of Tax Changes on Hybrid Vehicles
One of the major reasons behind the recent price increases is the withdrawal of the previous tax concession for hybrid vehicles. From July 1, 2026, the sales tax on hybrid vehicles increased from 8.5 percent to 25 percent, resulting in significant price increases for several locally assembled hybrid vehicles.
The government later considered reducing the sales tax on hybrid vehicles from 25 percent to 18 percent, although the proposal requires approval. Profit Pakistan Today
Toyota Corolla Cross HEV Price Increased
Indus Motor Company increased the prices of both hybrid variants of the Toyota Corolla Cross. The price of the Corolla Cross HEV X increased by Rs13.64 million, while the other HEV variant became Rs13.14 million more expensive. Profit Pakistan Today
| Toyota Corolla Cross HEV | Previous Price | New Price | Increase |
|---|---|---|---|
| Corolla Cross HEV X | Rs8.935 million | Rs10.299 million | Rs1.364 million |
| Corolla Cross HEV | Rs8.535 million | Rs9.849 million | Rs1.314 million |
According to the report, the increase applied specifically to the hybrid variants, while the conventional petrol variants were not affected by this particular tax change.
Official Toyota Pakistan website: Toyota Pakistan
Toyota Land Cruiser and Camry Prices Rise by Millions
Large imported Toyota vehicles have also seen substantial price increases. Following the additional Special Excise Duty, the prices of the Land Cruiser LC300, LC250 and Camry increased by millions of rupees, with some models recording increases of more than Rs100 million. Toyota Price Report – Profit Pakistan Today
| Toyota Model | Increase | New Price |
|---|---|---|
| Land Cruiser LC300 Petrol | Rs11 million | Rs106 million |
| Land Cruiser LC250 Diesel | Rs5.5 million | Rs68.5 million |
| LC250 Petrol 7-Seater | Rs3.5 million | Rs63.5 million |
| LC250 Petrol 5-Seater | Rs6.5 million | Rs61.5 million |
| Toyota Camry | Rs10.8 million | Rs43.8 million |
The report stated that the application of Special Excise Duty on imported vehicles, including rates of 86 percent for certain 2,000cc–3,000cc vehicles and 92 percent for vehicles above 3,000cc, contributed to the price increases.
Official Toyota Pakistan website: Toyota Pakistan
Honda HR-V e:HEV Becomes Rs1.37 Million More Expensive
Honda Atlas Cars Pakistan also increased the price of the HR-V e:HEV by approximately Rs1.37 million, taking its price to around Rs10.369 million.
| Honda Model | Price Increase | New Price |
|---|---|---|
| HR-V e:HEV | Rs1.37 million | Rs10.369 million |
The increase also came after the change in sales tax applicable to hybrid vehicles.
Official Honda Pakistan website: Honda Atlas Cars Pakistan
Suzuki Fronx Price Increases by Rs700,000
The price of the Suzuki Fronx also increased by around Rs700,000.
The GLX 6AT Mono-Tone variant increased from Rs6.299999 million to Rs7 million, while the Two-Tone variant rose from Rs6.34 million to Rs7.075 million.
| Suzuki Fronx | Previous Price | New Price | Increase |
|---|---|---|---|
| GLX 6AT Mono-Tone | Rs6.299999 million | Rs7 million | Rs700,000 |
| GLX 6AT Two-Tone | Rs6.34 million | Rs7.075 million | Rs735,000 |
However, the increase in the Fronx price should not be attributed entirely to taxation. According to the available report, the company restored its standard retail price after the initial promotional pricing ended, while the higher tax on hybrid vehicles was also introduced during the same period.
Official Suzuki Pakistan website: Suzuki Pakistan
Audi Cuts Prices of Several Models
The trend at Audi has been different from that of several other major automakers in Pakistan. Following changes under Finance Act 2026, Audi reduced the prices of several models.
The biggest reduction was reported for the Audi A6 Sportback e-tron Executive, whose price was reduced by Rs8.15 million.
| Audi Model | Price Reduction | New Price |
|---|---|---|
| A6 Sportback e-tron Executive | Rs8.15 million | Rs33.85 million |
| Q6 SUV e-tron Performance | Rs5.8 million | Rs36.2 million |
| Q3 Sportback S line TFSI | Rs3.9 million | Rs23.7 million |
| Q3 SUV TFSI | Rs3.75 million | Rs22.85 million |
| A3 Sedan S line TFSI | Rs3.7 million | Rs20.8 million |
The report also stated that prices of some other Audi electric models were reduced by smaller amounts.
Audi Q8 Price Moves in the Opposite Direction
Not all Audi models became cheaper. The Audi Q8 55 TFSI quattro actually became Rs15.1 million more expensive, with its price increasing from Rs86.5 million to Rs101.6 million.
Official Audi Pakistan website: Audi Pakistan
Hyundai Hybrid Models Also Under Price Pressure
Hyundai Nishat Pakistan hybrid models have also been affected by the changes in taxation. Available reports indicate a significant increase in the prices of several hybrid models following the new tax structure.
| Hyundai Model | Reported Price Increase |
|---|---|
| Elantra Hybrid | Approximately Rs1.5 million |
| Tucson Hybrid Smart | Approximately Rs1.7 million |
| Tucson Hybrid Signature | Approximately Rs1.9 million |
| Santa Fe Hybrid Smart | Approximately Rs1.9 million |
| Santa Fe Hybrid Signature | Approximately Rs2.1 million |
One-Month Overview of Pakistan’s Auto Market
The price changes recorded between July and August 2026 show that hybrid and large imported vehicles have come under the greatest pressure.
The Toyota Corolla Cross HEV and Honda HR-V e:HEV saw increases of around Rs1.3 million to Rs1.4 million, while some large imported Toyota models recorded increases of more than Rs10 million. The Suzuki Fronx also became around Rs700,000 more expensive, although the end of its promotional pricing was also a factor.
In contrast, Audi reduced the prices of several models, including the A6 Sportback e-tron Executive, Q6 e-tron, Q3 and A3, with reductions ranging from approximately Rs3.7 million to Rs8.15 million. However, the Audi Q8 55 TFSI quattro recorded a price increase of Rs15.1 million.
What Does This Mean for Car Buyers?
The recent changes show that buyers in Pakistan can no longer base their vehicle purchasing decisions solely on the model, fuel economy or features. Sales tax, import duties, Special Excise Duty, promotional pricing and the latest company price list have all become important factors.
The tax policy is particularly important for hybrid vehicle buyers. The government has considered reducing the sales tax on hybrids from 25 percent to 18 percent. If approved, such a change could potentially provide some relief to hybrid vehicle buyers and lead to further price revisions.
More News
EV Charging Stations in Pakistan: Complete Guide – urdureport.com
Suzuki Maintains Dominance in Pakistan’s Auto Market, Leads in Car Sales – urdureport.com
Important Note
The prices mentioned in this report are based on ex-factory or reported retail prices. The final on-road price may vary after registration, freight, insurance, withholding tax, dealer charges and other applicable costs.
Consumers are advised to check the latest official price list and confirm the final price with an authorized dealer before booking or purchasing a vehicle.
