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Pakistan Automobile Industry


FAW R7 1.6L launching in 2019 in Pakistan by Al-Hajj Motors



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Stahlco Group introduce 3 wheeler reefer van

Price for three wheel reefer van is 650,000 rs before taxes and ex-factory!
This is a cheap solution for cold storage deliver. These are being locally produced in Lahore.


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Indus Motor Company (IMC) is investing Rs 4 billion in the Pakistani market to increase its production capacity by 20%.

This will increase the capacity of the company allowing it to assemble up to 75,000 units annually.

The announcement was made by IMC during a State Minister’s visit to IMC’s production plant. The decision will surely be a good news for consumers as annual vehicle demand in Pakistan stands at more than 400,000 against a production of around 250,000 units.

IMC representative told that Corolla model is ranked 23rd in more than 170 countries and has 4th highest sales in the world. They further informed that it is the highest selling model in Asia Pacific region.


IMC representatives briefed the Minister for Industries and Production, Sardar Arshad Khan Laghari, about the contribution of IMC to the national treasury as well.

Here is what the representative said;

IMC is the staunch promoter of “Make in Pakistan” and has a very strong commitment towards localisation. Around 150 million locally produced parts are used by IMC every day with purchases amounting to Rs40 billion annually. IMC has enabled 35 Technical Assistance Agreements with local as well as global auto part makers which have resulted in technology and knowledge transfer to Pakistan. Huge investments are also being made in local vendor industry to cater to the growing demand coming from both existing and new Original Equipment Manufacturers (OEM) and aftermarket as well.

It won’t be irrelevant to mention here that despite such huge sales major auto manufacturing companies keep increasing their prices. All three major companies of Pakistan including IMC, Pak Suzuki, and Honda increased their prices twice in last three months.

Some of the world’s leading companies including Renault and Kia have announced to establish assembly plants in Pakistan. Let’s hope that this move will somewhat control the monopoly of major car companies in the Pakistani market
 
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KARACHI: Ghandhara Nissan Limited (GHNL) announced on Thursday that the government has awarded it the ‘Brownfield Investment Status’ for revival of its existing assembly to produce Datsun passenger car.

According to a company notice, the Ministry of Industries and Production has allowed it to resume car production in the country.

Its share price closed at the upper limit on Thursday, rallying 5% to end at Rs261.24, an increase of Rs12.21.
press Tribune reported last month that the company is expected to get government permission for resuming production of cars in Pakistan as the Board of Investment (BOI) and the Engineering Development Board (EDB) had agreed to treat the company’s plan as a Brownfield investment.

Under the Brownfield category, Ghandhara Nissan will be allowed to import auto parts at lower rates of customs duty for a period of three years.

It will be able to import those parts that are not produced in the country at 10% and those that are manufactured in the country at 25% duty for production of its cars and light commercial vehicles.

The company will also be permitted to import all parts (both localised and non-localised) at prevailing rates of customs duty for non-localised parts for the manufacturing of trucks, buses and prime movers for a period of three years.

Ghandhara Nissan was incorporated on August 8, 1981 in Pakistan as a private limited company and was later converted into a public limited company on May 24, 1992.

It started vehicle production in December 1996, but after about 14 years production activities came to a halt. Its car assembly plant has remained inactive since 2010.

In October last year, a Ghandhara Nissan delegation, headed by CEO Ahmed Kuli Khan Khattak, visited BOI to meet its officials and discuss the possibility of reviving the company’s assembly plant under the new incentive-filled auto policy 2016.

They gave a comprehensive presentation to the BOI secretary on the manufacturing of Datsun cars in Pakistan by pouring a fresh investment of Rs4.5 billion in the first four years of operation. The project is expected to create 1,810 new jobs.

The company will resume vehicle assembly with technical assistance of and purchase of auto parts from Japan’s Nissan Motor Co Nissan currently manufactures vehicles in 20 countries around the world including Japan.

The Automotive Development Policy 2016-21 outlines two categories of investment with different incentives.

Greenfield investment is defined as the installation of a new and independent assembly and manufacturing facility by an investor for the production of vehicles of make which are not already being assembled and manufactured in Pakistan.

In the second category, brownfield investment is defined as the revival of an existing assembly or manufacturing facility that has been lying shut since before July 1, 2013 and the brand has not been in production in the country since that date.

Apart from this, the plant revival is undertaken either independently by original owners or new investors or under a joint venture agreement with foreign principal or by the foreign principal independently through the purchase of plant.

At present, three Japanese auto assemblers dominate the market in Pakistan, but from now onwards they will face stiff competition from new players, attracted by the fresh auto policy, who are eyeing to grab a slice of the growing market.

France’s Renault and South Korea’s Kia and Hyundai are teaming up with domestic investors to launch their vehicles in Pakistan. Other foreign and domestic assemblers and manufacturers are also making strides to introduce their cars in the country.
 
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imo, there needs to be a firm policy of local content from parts manufacturing to engine casting. knock down assembly is a waste of time.

there is one, 70% within two years or you dont get the tax breaks.
something of that sort

dont read into everything kids talk here
 
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Chinese co signs deal with Pakistani partner for auto factory

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CHENGDU: A Framework Agreement of Joint Venture for Manufacturing of World Class Buses in Pakistan was signed in Chengdu between the Commerce and Sourcing House Holdings (CASH) of Pakistan and Chengdu Bus Co. Ltd., a State-owned Company.

The agreement was signed by the President of CASH Chico J. Ullah and President of Chengdu Bus Co. Ltd. Wang Rongkun at the Pakistan Consulate in Chengdu.

Speaking on the occasion, Consul General Muhammad Mudassir Tipu hailed the signing of the Framework Agreement as an important step in bringing a world class bus manufacturer to Pakistan to meet the large demand for both highway and city buses. He termed the agreement as an important step in promoting collaboration in transportation sector of Pakistan and China.

Both the parties conveyed their commitment in jointly developing Pakistani market for both mid-size and large buses and jointly invest in setting-up a manufacturing plant in Pakistan.

According to the signatories of the agreement, the total amount of investment is expected to exceed $10 million and plant will be set-up in Lahore.

CASH is a Pakistani holding and investment group company that covers a wide range of industries including automobile, pet feed, and smart manufacturing. Chengdu Bus Co. Ltd. manufactures and supplies buses for local and long distance transportation in Chengdu and surrounding areas catering to a population of more than 20 million.
 
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VPL (Volvo Pakistan Ltd) has launched The Most Beautiful and Stunning Shaped Bus ever launched called "THE NAVIGATOR" by Golden Dragon powered by Mercedes....
The inauguration ceremony took place at Karachi last week. The Bus is featured with latest facilities for passengers like On Board Entertainment System, mobile charging facilities etc.


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Ravi Auto in partnership with Piaggio are bringing back Vespa Primavera. The suspected introductory price of the Vespa (150cc) at the launch is going to be Rs299,000. After 16th March, the price will be Rs330,000.

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Harley Davidson motorbikes in Pakistan

Call it the sway of the American culture or the bike’s macho looks and feel, Harley Davidson has a cult fan following globally. For those who cannot afford it, a Pakistani entrepreneur, Imran Malik, came up with a solution: buying second-hand bikes abroad, and refurbishing them locally before putting them up for sale at his Harley Davidson Store.

A bikes aficionado himself, until a few years back Imran Malik used to wonder whether many Pakistanis would want to own a Harley Davidson. Then he decided to take the plunge, and find out for himself. Malik was not disappointed, once his startup started selling second-hand but expensive Harley Davidson motorbikes, the response was good enough to convince him once and for all that the bike has a fan base.

Such is the history and the iconic image – indeed a pedigree of its own making bikers crave to possess it – that Malik did not have to do much by way of advertising to strike it reasonably big – to the extent that he has now opened a second store in Islamabad.

Having sold above 180 motorbikes last year, a good 15 on average every month, the sales manager at The Harley’s Store, Umer Usmani, put the price range in perspective: between Rs1.5 million to a staggering Rs6 million for a refurbished Harley Davidson.



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To the aficionados, just the roar of a Harley Davidson is uplifting. Ehsan Sehbai, the CEO of Shaheen Air, said in a recent interview that the whirring sound of his Harley’s engine is an antidote for his stress.

“I love riding my Harley Davidson. It’s the best antidote to stress. There’s something about the roar of the engine that relaxes me,” he was quoted as saying. Apparently a vintage cars and motorbikes buff, Sehbai also owns a 1967 Ford Mustang.

Harley Davidson dealership is really sought after in Pakistan. And Dewan Group – a major entity some two decades back in the automotive market producing Hyundai and Kia cars before it withered away, and even now importers of BMW – is said to be one of the contenders for some time now.

But now the Harley Store, with an established niche of its own in Harley Davidson bikes, albeit used and refurbished ones, also has its hat in the ring for the lucrative dealership.
 
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Ghandhara Nissan rolls out locally-assembled one-ton pickup

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KARACHI: Ghandhara Nissan has launched the locally-assembled JAC Motors X200 one-ton pickup, which is mainly used for the distribution of goods, according to an announcement made on website of the Pakistan Stock Exchange (PSX) on Tuesday.

“It is now being produced locally (in Pakistan), previously it was imported in built-up condition from China,” Company Secretary Sheharyar Alam said in the statement.

JAC Motors is one of the leading companies of China, which has expertise in the manufacturing of light commercial vehicles.

Speaking at the launching ceremony of the pickup, senior management of JAC Motors, led by Oscar Yu, Head of Light Commercial Vehicle Business, told the audience that they “will be offering more products in this strategic market, Pakistan.”

According to the statement, massive growth is expected in the near future due to the China-Pakistan Economic Corridor (CPEC).

Production capacity at Ghandhara Nissan for X200 pickup is 5,000 units per annum on a single shift basis.

Company CEO Ahmad Kuli Khan Khattak called it a milestone that Ghandhara Nissan achieved by locally producing X200.

“In such a short time, this vehicle has made its mark in terms of performance and quality standards,” the statement said, adding the company would ensure that consistency was sustained in the quality of locally assembled vehicles.

The company was incorporated in 1981 as a private limited company and acquired sales licence for the distribution of Nissan vehicles in completely built unit (CBU) condition in Pakistan.
 
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