Why did United Motors raise the price of the Alpha shortly after its launch?

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Why did United Motors raise the price of the Alpha shortly after its launch?

Talha Kyanii asked on 14 Nov 2025 10:32:43 am

1 Answer

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Gari Master - on 14 Nov 2025 11:23:34 am

When United Alpha was first launched Jan 2021, its price was Rs 1,395,000.
Business Recorder
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Startup Pakistan
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But within a few months in April 2021, United Motors raised the price by Rs 50,000 to Rs 1,445,000.
Business Recorder

The company did not clearly explain why the increase happened so soon. According to Business Recorder, United Motors didn’t provide a detailed justification.
Business Recorder
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The timing is particularly puzzling because the Pakistani rupee had actually strengthened appreciated by ~4% against the U.S. dollar since the car’s launch — which would normally help lower cost pressure for imported components.
Business Recorder

Some observers think that despite currency strength, United might have faced other cost pressures e.g., import costs for parts, local production costs o r underestimated margins. But since the company didn’t clarify, its a matter of speculation.

Later, there was a price cut: under the new Auto Policy 2021–26, United reduced the price again.
INCPak

Impact on customers: Such early price volatility likely eroded consumer confidence. A sudden hike reduces trust, especially for buyers looking for a low-cost, dependable hatchback.