It’s no secret that big international car manufacturers are making their way into the Pakistani automobile industry. The credit of the current boom in the auto sector can be crowned to the Automotive Development Policy (ADP) 2016-21 which provides benefits for companies to come and invest in the country.
Our automobile sector for years has been monopolized by a handful brands. As we have reported earlier in our article that how many famous brands have wrapped up and left the business in Pakistan. Are we paying for Substandard Cars? Thanks to the 3-Monopolists who use all means to ensure that new entrants are kicked out. But now customers can see a variety of new cars. Here are a few top brands who are going to locally assemble their vehicles in Pakistan.
French car manufacturer Renault will start assembling cars in Pakistan as early as 2018. This will mark the first time a European car manufacturer made its way to the Pakistani market. Renault will be manufacturing both SUVs and sedan cars.
This development will create around 10,000 direct and indirect job opportunities for Pakistanis. According to the Board of Investment (BOI) chief, the company will also make efforts to revive the manufacturing of Nissan vehicles in the same plant.
The South Korean car manufacturer KIA announced in December 2016 that it would start assembling vehicles in Pakistan. Lucky Cement will invest Rs12 billion to set up a new company to start manufacturing and assembling of Kia vehicles.
Kia used to be manufactured in Pakistan, but due to disappointing and faltering sales, manufacturing was halted. Lucky Cement also announced that through this new venture they would also market and sell, besides import and export of, all types of Kia vehicles, parts and accessories.
Hyundai Motors through its union with Nishat Mills will be assembling its vehicles in Pakistan. The two companies together will set up a greenfield project for assembly and sales of HMC passenger and 1-ton range commercial vehicles in Pakistan.
Hyundai also used to manufacture its vehicles in Pakistan but left the country mainly owing to the to the liberal used car import policy in the Musharraf regime.
Audi AG also has set its eyes on the Pakistani market as reportedly it approached the Board of Investment through its local authorized dealer, Premier Systems Private Limited with a proposal to start an OEM (original equipment manufacturer) plant in Pakistan.
Volkswagen Commercial Vehicles is also in final talks with Premier Systems Private Limited to set up a manufacturing/assembly plant for its Amarok and T6 (Transporter range) models. The company will use the same plant that Audi is going to build for the assembly of its own vehicles, as its owned by Volkswagen Group.