Does Pakistan plan to Export Car Parts?

[FuturePAF]

The Car parts market is huge. Recent news of companies setting up plants in Pakistan for the local market and the following video got me thinking. Does Pakistan have a plan to get a share in the global car parts market? If not, we need to aggressively seek to export not only minor car parts, but engines and transmissions.

 

[Muhammad Omar]

Pakistan Auto Parts Exports stands at $210 million and are made to the US, Europe and a number of African countries.

Pakistan also set the target of $500 million worth auto parts export till 2023.

 

[Abdussamad]

The cars we produce locally are obsolete by global standards so the parts we produce are also obsolete. Besides we can't really make engines. We import those and simply assemble the cars. Decades of protectionist policies have led to an auto cartel that can only do this much.

 

[Mahmood-ur-Rehman]

All powers in Pakistan remain busy in making money and looting the country and making assets in Europe and America No exception from top to bottom Count how many generals Cavil servants are living in Pakistan after retirements and their children are living in America or Europe So the whole bureaucracy is loyal to other countries and not Pakistan So every one is working for their godfathers

 

[FuturePAF]

some provision should be added to foreign auto manufacturers setting up shop in Pakistan, where by they will also have to make parts for export to offset profits they are making in Pakistan from the local auto market.

 

[Bossman]

The cars we produce locally are obsolete by global standards so the parts we produce are also obsolete. Besides we can't really make engines. We import those and simply assemble the cars. Decades of protectionist policies have led to an auto cartel that can only do this much.

Obviously not very knowledgeable. First of all most cars made in Pakistan are not obsolete secondly your logic about parts being also obsolete is very naive. Majority of parts in an automobile do not change year over year. Most changes are superficial. Lastly Pakistan manufactures and exports fairly sophisticated Diesel engines and prime movers. All parts might not be manufactured under one roof but are made locally including cylinder blocks and heads. What we don’t do is small alloy based, high speed car engines. The reason is not technology but rather economies of scale and global capacity. If a company can import the same thing cheaper from China or Thailand than manufacturering locally, why should they.

For example the engine made by this company leverages the local vendor industry developed by Millat tractors for Perkins engines and uses basically the same block and head made by Bolan casting. Engines for smaller bikes I.e. 70 and 100 CC are a cottage industry with multiple manufacturers including unbranded ones.

http://www.powervision.com.pk/test/public/

 

[WarKa DaNG]

No one will buy a suzuki tin cans, we need to standardize the auto industry and give them a list of things like ABS, EBD, ACC, TAC etc which will be mandatory for every car. Then we can expect for the export