Kia Hybrid Cars Get More Expensive in Pakistan

ISLAMABAD: Kia has increased the prices of its hybrid vehicles in Pakistan by up to Rs1.2 million following a sharp rise in the sales tax applicable to hybrid cars.

The revised prices affect several variants of the Kia Sportage L and Sorento, with the increase largely attributed to the higher tax burden on hybrid vehicles.

The price of the Kia Sportage L 1.6T FWD HEV has increased by Rs900,000, rising from Rs11.299 million to Rs12.199 million.

Meanwhile, the Sportage L 1.6T AWD HEV has become Rs1.059 million more expensive, with its price increasing from Rs12.240 million to Rs13.299 million.

Among the Kia Sorento variants, the 1.6T FWD HEV now costs Rs16.299 million, reflecting a Rs1 million increase from its previous price of Rs15.299 million.

The Sorento 1.6T AWD HEV has recorded the biggest increase among variants with a previously listed price. Its price has risen by Rs1.2 million, from Rs16.699 million to Rs17.899 million.

Kia has also listed the Sorento 1.6T AWD PHEV at Rs18.999 million. However, no previous price has been provided, making it difficult to determine the exact increase for this variant.

Higher Sales Tax Pushes Up Prices

The latest price revisions come after the sales tax on hybrid vehicles was increased to 25%, compared with the previous rates of 8.5% and 12.75%.

The higher tax has increased the cost burden on hybrid vehicles, prompting automakers to revise their retail prices.

Kia is not the only manufacturer affected by the tax changes. Other major automakers operating in Pakistan, including Toyota, Honda, Chery, Suzuki and Hyundai, have also increased prices of selected hybrid models.

The latest revisions are likely to put additional pressure on consumers considering hybrid vehicles, particularly those looking for fuel-efficient alternatives amid high vehicle prices and rising ownership costs.

Hybrid vehicles have gained popularity in Pakistan due to their relatively better fuel efficiency compared with conventional petrol-powered vehicles. However, the latest tax changes and subsequent price increases could affect demand in the segment.

With Kia’s latest revisions, buyers will now have to pay significantly more for several Sportage L and Sorento hybrid variants.

The price increases also highlight the broader impact of changes in taxation on Pakistan’s automobile market, where higher duties and taxes are increasingly being reflected in vehicle prices.