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In the wake of the Finance Act 2025, United Motors has announced a significant price hike across its motorcycle range due to the introduction of 18% Sales Tax and 1% NEV (New Excise Value) Levy. The increase affects all major variants in the US-70 CC, US-100 CC, US-125 CC, and US-150 CC categories.
This move follows the federal government’s new fiscal policies aimed at increasing tax revenue through indirect taxation, which is now directly impacting the cost of locally manufactured motorcycles.
Updated United Motors Motorcycle Prices (Inclusive of Taxes)
The revised pricing is effective immediately and applies to all retail outlets nationwide:
US-70 CC Series
| Variant | New Price (PKR) |
|---|---|
| US-70 CC (Standard) | Rs. 111,000 |
| US-70 CC (Self Start) | Rs. 122,000 |
| US-70 CC (Alloy Rim) | Rs. 121,000 |
| US-70 CC (Alloy Rim & Self Start) | Rs. 132,000 |
US-100 CC Series
| Variant | New Price (PKR) |
|---|---|
| US-100 CC (Special) | Rs. 121,500 |
| US-100 CC (Special Alloy Rim) | Rs. 132,000 |
| US-100 CC (Plus) | Rs. 121,500 |
| US-100 CC (Plus Alloy Rim) | Rs. 132,000 |
| US-100 CC (Standard) | Rs. 108,500 |
| US-100 CC (Standard Special) | Rs. 109,500 |
| US-100 CC (Standard Alloy Rim) | Rs. 113,500 |
| US-100 CC (Scooter) | Rs. 273,500 |
US-125 CC Series
| Variant | New Price (PKR) |
|---|---|
| US-125 CC (EURO II) | Rs. 166,500 |
| US-125 CC (Self Start Alloy Rim) | Rs. 238,000 |
US-150 CC
| Variant | New Price (PKR) |
|---|---|
| US-150 CC | Rs. 299,000 |
Why the Price Increase?
The price hike directly reflects the implementation of higher taxes introduced in the Finance Act 2025, which now places:
- 18% Sales Tax on the value of the motorcycles
- 1% NEV Levy on the assessed excise value
The government aims to widen the tax net and improve documentation of locally manufactured vehicles. However, the additional cost burden is now being passed on to consumers, particularly affecting middle and lower-income buyers who rely on two-wheelers for daily commuting.
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Industry Impact and Market Reactions
Industry experts warn that the increased retail prices could lead to:
- A drop in demand for entry-level motorcycles
- A potential slowdown in production for local manufacturers
- An uptick in second-hand bike sales due to affordability concerns
Dealerships may also experience reduced footfall in the coming months, particularly in rural and suburban markets where price sensitivity is higher.
Future Price Adjustments Likely
United Motors has indicated that the current prices are based on prevailing tax structures, but further adjustments may occur depending on:
- Changes in raw material costs
- Currency fluctuations
- Additional regulatory directives
The company urged consumers to stay informed and regularly check with official dealers for the latest pricing and product availability.
