GST hike to make Suzuki Alto costlier by Rs186,446: Report

With new tax, govt aims to curb pollution from ICE, encouraging consumers toward greener, more sustainable transport options
An undated image of Suzuki Alto. — Suzuki Pakistan
An undated image of Suzuki Alto. — Suzuki Pakistan

The federal government has approved a hike in the General Sales Tax (GST) on vehicles with engine capacities up to 850cc, elevating it from 12.5% to 18%.

This decision directly impacts Suzuki Alto and Suzuki Every, the most popular locally assembled new vehicles available in this segment in Pakistan.

In addition to the GST hike, the government has enacted a new Climate Support Levy (CSL) that ranges from 1-3%, but in Alto and Every case, they’ll get a 1% Climate Support Levy.

With this tax, Prime Minister Shehbaz Sharif-led government aims to curb pollution from internal combustion engines (ICE), encouraging consumers toward greener, more sustainable transport options like all-electric vehicles.

With the new GST and CSL now in effect, Suzuki Alto buyers might face an immediate price hike ranging between Rs. 167,861 to Rs. 186,446, and for Every, it’ll be 163,230 to 166,198 depending on the specific variant.

This increase includes both the raised GST rate and the newly implemented CSL.

It is worth noting that the final pricing decision rests solely with the company, and these calculations are meant to offer a tentative idea of the maximum possible impact if the entire tax burden is transferred to the buyer.

Suzuki Alto new price in Pakistan (expected)

Car brand ModelPrevious price (12.5% GST) Price after 18% GST 1% Green tax 

Total expected price (After all taxes & GST)

Suzuki Alto VXR Upgraded 2,827,000 2,965,209 29,6522,994,861
Suzuki Alto VXR AGS Upgraded 2,989,000 3,135,12931,351 3,166,480
Suzuki Alto VXL AGS Upgraded 3,140,000 3,293,51132,9353,326,446
Suzuki Every VX 2,749,0002,883,396 28,8342,912,230
Suzuki Every VXR 2,799,0002,935,84029,3582,965,198

 Notably, the newly implemented CSL is calculated as a percentage of the total vehicle price, inclusive of all existing taxes and duties. Its rate depends on the vehicle’s engine size and its manufacturing origin (local or imported):

  • Vehicles under 1300cc: taxed at 1%.
  • Vehicles between 1300cc and 1800cc: taxed at 2%.
  • Vehicles over 1800cc: taxed at 3%.