The rapid growth in the economy during the last few years has stimulated the manufacturing growth, and more so the auto industry which has out performed the other sectors in production and sales. Increasing disposable income, availability of financial options besides the government’s economic reform policy and the professional approach of the assemblers and vendors have helped the industry to reach to a highly satisfying stage in the last 6 – 7 years. Auto Industry’s smooth transition during the last year from the Deletion Programmes to a competitive Tariff Based System (TBS) has been highly encouraging which expresses the capacity of industry to cope with the challenges.