ISLAMABAD (Kashmir English): Consumers in Pakistan are receiving significant relief on hybrid car prices following the government’s decision to reduce the General Sales Tax (GST) on vehicles from 25% to 18%.
The tax reduction came into effect on September 13, 2026, while vehicle assemblers began announcing revised prices in the following weeks.
Honda HR-V Gets Rs1.07 Million Price Cut
Honda Atlas Cars has reduced the price of its HR-V e: HEV hybrid by Rs1.07 million, bringing the price down from Rs10.369 million to Rs9.299 million.
The HR-V VTi-S has also received a reduction of Rs779,900, with its price falling from Rs8.079 million to Rs7.299 million.
Honda said the revised prices are applicable for a limited time and limited stock, with the new rates applying to orders invoiced on or after September 25, 2026.
Toyota Corolla Cross Prices Also Reduced
Indus Motor Company has also announced substantial price reductions for its hybrid models. The Toyota Corolla Cross HEV X has become Rs570,000 cheaper, with its price reduced to Rs9.729 million from Rs10.299 million.
Meanwhile, the regular Corolla Cross HEV has received a Rs550,000 reduction, bringing its price down to Rs9.299 million from Rs9.849 million.
Lower Taxes Could Boost Vehicle Demand
The latest reductions follow the government’s decision to bring the GST applicable to vehicles down from 25% to 18%.
Industry observers expect the tax relief to put downward pressure on vehicle prices and potentially encourage consumers who had delayed purchases because of high taxation to return to the market.
The timing of the price revisions means that customers should check the latest applicable price, stock availability and invoice date with the relevant assembler or authorised dealer before booking a vehicle.
