Pakistan Automobile Industry

[ghazi52]

Hongyan heavy-duty trucks launched in Pakistan

A new range of Hongyan heavy-duty trucks has been launched in Pakistan, including Genlyon 6X4 Prime Mover and 6X4 Dumper.

According to the company’s press release, Hongyan is among the first Chinese trucks being introduced in Pakistan which is built on European Technology from IVECO global R&D Center in Europe. Hongyan trucks come with Cursor engine complying to EURO III emission standards. Cursor engines have passed European tests and acquired the European ECE certification. Cursor engines are not only used in Hongyan but also exported to Europe to be equipped on the IVECO trucks.

Hongyan trucks are said to be highly-fuel efficient due to its engine technology and have low operating cost due to long oil change intervals. It maximizes uptime and provides a lucrative payback. Hongyan has a wide range of product types such as 4X2T, 6X4T for the long haul, 6X4R long chassis for regional distribution, 6X4 and 8X4 dump trucks for heavy-duty construction and mining applications.

Hongyan trucks launch event in Karachi

The Chinese company follows a manufacturing system customized by IVECO. It uses dual coating painting for its chassis which is built on European technology. It is among the first Chinese-made heavy-duty truck which has passed the European ECE R29 collision test.

SAIC-IVECO Hongyan is a Chinese joint venture headquartered in Chongqing, China, and owned by SAIC GROUP. The company develops, designs and manufactures a wide range of heavy-duty trucks including prime movers, dump trucks, cargo trucks, concrete mixer trucks, oil tank trucks, fire trucks, and street sweepers. The SAIC group ranks among Fortune Global 500 companies list.

Premval, Hongyan’s exclusive authorized distributor, is a leading importer of trucks, buses, and construction equipment. Established in 2017, it caters to the increasing growth of Chinese products in Pakistan.

The company aims to provide high-quality value products to its customers in the automotive and construction segments. It has dedicated sales teams and provides after sales support in Lahore, Islamabad, and Karachi

 

[ghazi52]

Ceremony for Exchange of Licensing and Technical Assistance Agreement of Proton Plant in Pakistan
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An exchange of documents for a Licensing and Technical Assistance Agreement between Proton Holding and Al-Haj Automotive Private Limited was conducted today, the 26th of April 2019.

Both companies were represented by their senior executives. Dr Li Chunrong, CEO of Proton Holdings, and Mr Bilal Khan Afridi, Managing Director of the Al-Haj Group.

The exchange of document follows the previous announcement by Proton Holdings and Al-Haj Automotive Private Limited to develop a manufacturing facility for Proton vehicles based in Karachi, Pakistan.
The manufacturing plant will sit on a 55 acre site in the port city of Karachi. Its construction requires an initial investment within USD 30 million. The facility will be ready for production by June 2020 and would have an annual capacity of 25,000 units.

 

[Zhukov]

Pakistan automobile industry thread has become more of a "Chinese Automobile Exports to Pakistan thread"

 

[Aryeih Leib]

Can Pakistani people purchase cars under FTA with china

 

[Zhukov]

Can Pakistani people purchase cars under FTA with china

No, They have the sames levy and taxes attached to them as any other Japanese or European car

 

[ghazi52]

Changan’s First Locally Manufactured Vehicle Rolls Off the Assembly Line

Today, the first ever Karvaan 6+2 seat minivan rolled off the assembly lines in Karachi and it is Changan’s fist locally assembled car.

The company’s local production plant is based in Karachi with a manufacturing capacity of 30,000 cars per year and in the preliminary phase, alongside the Karavan minivan; the M-8 and M-9 commercial pickups will be locally manufactured.

Currently, the Changan authorized dealers sell the vehicles’ CBU versions in Pakistan.

 

[ghazi52]

30% vehicle to be converted to electric cars by year 2030:

May 17, 2019

Advisor to the Prime Minister on Climate Change Malik Amin Aslam said 30 percent of the vehicle system in the country will be converted to electric cars by the year 2030.

Addressing a news conference, he said Electrical Vehicle Policy to this effect will be devised within fifteen days under the direction of Prime Minister Imran Khan.

The Advisor said this step will prove to be helpful in bringing significant reduction in the import of oil. He said the electric vehicles will also improve the environment and help deal with the challenge of smog.

He said the government is focused on making Pakistan an exporter of electric vehicles within the period of five years. He said vehicle examination system is also being introduced in the transport sector to check condition of vehicles.

To a question, Malik Amin Aslam said 10 billion tree tsunami is the project of Pakistan's bright future. He said the project is also receiving appreciation by the world's big institutions.

 

[AsifIjaz]

Making 30 or even 50% cars in pakistan hybrid or semi hybrid by 2030 would be a more realistic option. Even this initiative will save lots for economy in terms of fuel and for environment through less air pollution.

 

[ghazi52]

Kia to Start Production of Sportage & Picanto by August This Year:

Kia Lucky Motors Pakistan is expected to commence production from August this year, reported Business Recorder. The report stated that the company is going to launch two new models in the next three months.

The manufacturing facilities of the firm are complete and the firm will start manufactreport.

Kia has up to 15 percent localization in terms of parts and assembly in Sportage and Picanto.uring by August 2019 for the following models:

The bookings for Kia Picanto will start in August 2019 while delivery will start in October 2019 whereas booking for Kia Sportage will start in June 2019 and while it will be delivered in August 2019, stated the

The company’s representatives met with the Prime Minister’s Advisor on Commerce, Textile, Industries and Production and Investment Razzak Dawood and apprised him of their production plans and other issues.

Kia Lucky Motors Pakistan Ltd had applied for Greenfield status on March 13, 2017, which was awarded on June 19, 2017. The planned investment in the project is $ 190 million.

According to the CEO, the company has a production capacity of 50,000 units per annum but the utilization of the production capacity will depend on the market demand of its vehicles.

Furthermore, it was highlighted that the company is worried over the imposition of 10 percent Federal Excise Duty (FED) on above 1,700 cc vehicles.

According to Kia Lucky Motors, it is being rumored that the Government of Pakistan (Ministry of Industries and Production) is actively considering awarding Greenfield status and similar concessions to an existing OEM which has committed to bringing in new investment.

The company argues that it was never the objective of the Automotive Development Policy to give concessions to existing OEMs under the Greenfield or Brownfield categories, adding that if such intent had been communicated earlier, global OEMs like Kia and others would not have decided to enter Pakistan.

Federal Excise Duty (FED)
FED has been imposed on locally manufactured vehicles of 1700 cc and above despite MoI&P’s recommendation to remove the FED.

According to the report M/s Kia Lucky Motors Pakistan and M/s Hyundai Nishat Motors were awarded Greenfield status under Automotive Development Policy 2016-21 and have submitted requests for withdrawal of Federal Excise Duty (FED) at 10 percent, levied on locally assembled vehicles having a cylinder capacity of 1800 cc or above, in view of their major variants of higher engine capacity.

Engineering Development Board (EDB) and the Ministry of Industries and Production have supported their proposal and opposed the levy of 10 percent FEC on locally manufactured vehicles

 

[ghazi52]

Check out the exclusive first look of the all-new Suzuki Alto 660cc interior by PakWheels.com!

 

[Hiraa]

Hideous design

 

[ghazi52]

Interior of Prince PEARL 800cc 2019 Model. Car expected to launch in July 2019 expected price 7.5-8.5 Lac PKR.

 

[Samlee]

We Should Give More Funds To Universities and PCSIR For R&D In Auto Technologies

 

[ghazi52]

Pakistani made Rickshaws by Sazgaar Engineering exported to Japan here are more pictures of it. Pakistan isn't Importing these from Japan but exporting them

Now Sazgar Loader, Red Color Flat Bed at Kobe Port Japan

 

[ghazi52]

The government has unveiled the financial budget for the fiscal year 2019-20 earlier today. Minister of State for Revenue Hammad Azhar presented the Budget 2019-20 in the National Assembly.

As far as the automobile industry is concerned, the major impact is due to the changes in Federal Excise Duty (FED) structure. Previously in the Supplementary Bill 2019, the government had imposed 10% FED on locally assembled vehicles of 1700 cc engine displacement and above. Although the government has now reduced the FED for 1700cc & above vehicles, but it has broadened the duty to various other vehicle segments, details of which are given below.

Category------------FED (old)---------FED (New)

Up to 1000cc--------0%---------------2.5%
1000cc to 1700cc---0%---------------5%
1700cc to 2000cc---10%--------------5%
2000cc & above-----10%--------------7.5%

The new FED structure is going to have a negative impact on vehicles up to 1700cc engine capacity, which will make these cars more expensive. Bigger vehicles with 1700cc & above engines will see a decrease in price and will only fulfill a handful of buyers with strong purchase power.


The proposed FED if approved from the assembly will be implemented from the 1st of July 2019, which means cars under 1700cc will see an increase in sales in June as people will rush to avail the non-existent FED on these cars. Buyers of vehicles above 1700cc might want to hold their purchasing decision for a while and wait for July for the prices of these cars to come down.

To summarize, the Budget 2019-20 will again benefit the wealthier and may not be equally beneficent for masses who buy ordinary sedans and hatchbacks.