As the impact of Pakistan’s 2025–26 Federal Budget unfolds, Honda Atlas Cars Pakistan has revised the prices of its lineup, with increases reaching up to Rs. 200,000. The new pricing structure is effective from July 1, 2025, and aligns with the broader market trend following the introduction of the New Energy Vehicle (NEV) Adoption Levy.
The revision marks Honda’s response to the evolving fiscal environment, which is reshaping the pricing strategies of multiple auto manufacturers across the country.
🚗 Why the Price Hike?
According to industry sources, the price increase is primarily driven by the NEV Adoption Levy, a new government-imposed tax designed to encourage the use of electric and plug-in hybrid vehicles (PHEVs) by disincentivizing traditional fuel-powered cars.
Under this policy:
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The levy ranges from 1% to 3% depending on engine capacity
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It applies specifically to petrol and diesel vehicles, including those assembled locally
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EVs and PHEVs are currently exempt, making them more cost-effective in comparison
As a result, Honda’s conventional fuel-powered lineup is directly affected, with prices adjusted upward to reflect the added cost burden.
💸 New Honda Car Prices – Effective July 2025
Although the company has not released a full public breakdown yet, market data suggests the following estimated price increases across popular models:
| Model | Previous Price (PKR) | Revised Price (PKR) | Increase (PKR) |
|---|---|---|---|
| Honda City (1.2L MT) | Rs. 4,699,000 | Rs. 4,849,000 | +150,000 |
| Honda City (1.5L CVT) | Rs. 5,479,000 | Rs. 5,649,000 | +170,000 |
| Honda BR-V | Rs. 6,299,000 | Rs. 6,499,000 | +200,000 |
| Honda Civic (Oriel) | Rs. 7,999,000 | Rs. 8,149,000 | +150,000 |
| Honda Civic RS | Rs. 9,199,000 | Rs. 9,399,000 | +200,000 |
📌 Note: These are estimated figures based on current market reports. Final prices may vary by region and dealership.
⚙️ Industry Perspective
Honda’s decision mirrors the actions of other major automakers—such as Hyundai, KIA, and Toyota—who have also revised prices in response to the NEV Levy. While the short-term effect is a spike in costs for buyers of petrol and diesel vehicles, the broader objective is to encourage a gradual shift toward more sustainable transport options.
⚡ Electric Future: A Competitive Advantage
Interestingly, EVs remain unaffected by these increases, giving automakers with electric offerings a clear pricing advantage. While Honda has yet to launch a fully electric model in Pakistan, the growing demand for EVs and favorable tax policies may accelerate future plans for hybrid and electric options.
✅ Conclusion
As of July 2025, car buyers in Pakistan will need to account for the revised prices across Honda’s lineup. For those considering a purchase, now is a critical time to evaluate fuel efficiency, long-term running costs, and potential EV alternatives.
Stay informed with our blog as we continue to track automotive price changes, tax updates, and the transition toward clean mobility in Pakistan.
Got questions about the new prices or need help choosing the right car in 2025? Drop a comment below or follow us for updates.
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