ISLAMABAD – Honda lovers have been dealt blow as the company raised prices of its popular City and Civic models, effective July 1, 2025 in wake of newly enforced taxes in Budget 2025.
While Honda previously absorbed rising costs without passing them on to consumers, this time the company says it has no option but to revise rates upward due to increased taxation under the new fiscal policy.
Honda Car Prices from July 2025
| Model | Old Price | New Price | Increase |
|---|---|---|---|
| City 1.2 MT | 4,649,000 | 4,696,000 | 47,000 |
| City 1.2 CVT | 4,689,000 | 4,737,000 | 48,000 |
| City Aspire CVT | 5,849,000 | 5,969,000 | 120,000 |
| Civic Oriel | 8,659,000 | 8,834,000 | 175,000 |
| Civic Turbo RS | 9,899,000 | 10,100,000 | 201,000 |
Civic Turbo RS has now officially crossed the Rs. 10 million mark, raising eyebrows among consumers already struggling with affordability.
The updated prices apply to:All invoices issued on or after July 1, 2025. Pending/back orders dated before or on June 30, 2025. New bookings placed from July 1 onwards
Customers will be responsible for any future increases in duties, levies, or taxes imposed by the government at the time of delivery. Sveral players including Suzuki, Kia, and Changan have also raised prices, citing increased input costs, freight charges, and heavy tax revisions. The cumulative impact is making new cars increasingly unaffordable for middle-income families.
With repeated price hikes across the auto industry, buyers are now reconsidering their options. Analysts warn that unless the government revisits taxation policies and provides relief to the sector, car sales may decline further in the coming quarters.
