TABLE 2.10: TOTAL EXPORTS BY AUTOMOTIVE SECTOR, 2005-06 TO 2010-11 ($ Million) 2005-06 2006-07 2007-08 2008-09 2009-10 2010- 11 Transport Equipment 56.2 51.5 78.4 63.6 78.8 107.6 Auto Parts 12.5 15.2 16.9 14.1 10.3 18.1 TOTAL BY THE AUTOMOTIVE SECTOR 68.7 66.7 95.3 77.6 89.0 125.7 Source: Export Receipts by Commodity, Economic Data, SBP. 2.3. CONTRIBUTION TO THE ECONOMY We now quantify the contribution of the automotive sector to the national economy. Investment Data on investment in the automotive sector is available only for publicly quoted companies or for units which make their financial statements available on the internet. Investment during a particular year is measured as the change in fixed assets at cost (prior to provision for depreciation. We have been able to collect this information for units which account for 52 percent of the turnover in the sector. Therefore, a blowup factor has been applied of 1.923 to our estimates. The resulting estimates are presented in table 2.11. There is evidence of a business cycle of investment in the sector. Investment expanded rapidly from 2003 to 2007, during the period when there was very rapid growth in sales. Thereafter, investment has fallen simultaneously with the downturn in the economy. Cumulatively, the total investment in the sector is about $2.7 billion. The motivation for new investment has been limited by the presence of excess capacity inmost sub-sectors.
