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Barely a year into it and the new Auto Industry Development Policy (AIDP) seems to have begun to yield the intended results: new non-Japanese car brands are coming to the Pakistani market, and the existing ones are forced to invest in new variants and models as well as improve the quality and passenger safety features of their vehicles in line with global standards.

At least three new carmakers plan to enter Pakistan’s market whose size, some analysts believe, will almost double to half a million units by 2025.

French Renault was the first carmaker to announce its plan to invest $100m in the Ghandhara Nissan plant to bring its brand into the country’s market.

South Korean companies — Hyundai and Kia — followed the French carmaker, announcing their intentions to stage a comeback in collaboration with reputable local industry giants — Nishat Group and Younus Brothers — with deep pockets.

Now the German Audi is also said to have approached the Board of Investment through its local authorised dealer with a proposal to start an OEM (original equipment manufacturer) plant here.

Pakistan being the 6th largest populated country, with half of its population below 30 years and car penetration as low as 13 vehicles per 1,000 persons, offers a huge potential for growth to global carmakers.

At least three new carmakers plan to enter Pakistan’s market whose size, some analysts believe, will almost double to half a million units by 2025

“The development of infrastructure under the $57bn China-Pakistan Economic Corridor (CPEC), a large young population, increasing buying capacity, rapid urbanisation and a growing economy offers an enormous opportunity to carmakers to come and invest here,” says Rao Khalique, a Lahore-based banker who didn’t want to give his bank’s name.

He claimed that car leasing has been growing rapidly for the last two years to peak at Rs127bn by the end of 2016. “The size of financing shows the quick growth in car demand over the last couple of years.”

While the new car brands have expressed their intention of setting up assembly plants in the country in order to reap the benefits of a growing demand, it remains unclear as to how much they and their local partners plan to invest and what plant capacities and engine sizes they are targeting.

“We are working on the project. It will take some time to finalise all the details,” Mohammad Ali Tabba, Chief Executive Officer of Lucky Cement, which is partnering with the Kia Motor Company to produce its cars in Pakistan, told Dawn. But, he added, “We plan to produce cars as well as commercial vehicles.”

Ali Asghar Poonawal, an analyst at AKD Securities, is of the view that local partners of foreign carmakers are tight-lipped about their plans owing to their non-disclosure agreements with the principals.

He points out that the establishment of new assembly plants and development of a dealer network usually takes two years.

“I think both Lucky and Nishat will start by importing different variants of Kia and Hyundai cars to first ascertain demand in the Pakistani market before launching actual assembly plants,” he adds.

“They will likely venture into a small car segment where the demand is growing more rapidly,” he says.

Renault, on the other hand, is expected to enter in the 1,200cc and above segment.

Watching these developments closely, the existing OEMs appear to be losing hope of a change in the AIDP that favours new investments in the auto industry and seem to have decided to brace for the upcoming competition.

Pak Suzuki, which had earlier threatened to withdraw a planned investment of $450m in a new plant, unless the government extended same incentives for new investment by the incumbents that the AIDP offered to the new entrants, is now said to be moving ahead with it — albeit not as aggressively as it intended to.

Besides, it is also replacing old models and bringing in new ones to prepare for competition.

Indus Motors, the producer of Toyota cars, is tweaking its plant and de-bottling its facility to raise its production capacity to above 65,000 units on a double shift basis, as well as bringing in operational and cost efficiencies.

Constrained by its production capacity, Honda too is changing its variants and models in order to maintain its clientele in the country’s high prices car market.

“The existing players are conscious of the likely competition going forward. Therefore, the old models are being scrapped and new ones, with features that they had never thought of offering in Pakistani market before, are being rolled out,” says Ali Asghar Poonawal.

There’s a consensus among industry analysts that the new competition in the country’s car market would help dismantle the ‘cartel’ of the existing Japanese carmakers. “The car companies have enjoyed government patronage and protection from competition for far too long a time. Now it is time for them to learn to compete, improve their quality and give their customers value for their money,” a Lahore-based car dealer contends.

“While new players in the car industry pose a challenge to the existing OEMs and will depress their margins, we do not anticipate any immediate arrival. This will give the incumbents in the industry enough time to tweak their plants to bring cost efficiencies, as well as to improve the quality of their cars. If they don’t prepare for the coming competition, their brands will suffer once their new competitors start eating into their market share,” an analyst who didn’t want to give his name remarks.

Published in Dawn, Business & Finance weekly, February 13th, 2017

Comments (146) Closed

Adnan aziz Feb 13, 2017 08:30am

German car maker, Audi in Pakistan? I caanot imagine such a high- end luxury brand in this country where roads are fit only for tanks and tractors.

M. Emad Feb 13, 2017 08:43am

Indian automobile and component manufacturers organising a motor show Expo in Bangladesh in February 2017. Several Indian companies have assembly units in Bangladesh with the capacity to produce 150,000 units. Annual car sales in Bangladesh is now around 50,000 units.

Basit Ali Feb 13, 2017 08:44am

We need national companies like Tata and Mahindras to manufacture our own products

MFM Feb 13, 2017 08:52am

@Adnan aziz I think they eye the emerging market in Central Asia

Punjab Feb 13, 2017 08:54am

Good news for car lovers

kaleem Feb 13, 2017 08:55am

New Auto Policy is the game changer for Pakistan and a feather in PML N cap.Renault is entering with small car segment too.

Hamid Shafiq Feb 13, 2017 09:03am

Assembling not a solution for a national product govt contact to those who manufacture a complete car locally

Jawad Feb 13, 2017 09:07am

@Basit Ali No Thanks. Absolutely, third-class, seventeen century, rubbish quality vehicles that you never see anywhere in the world. Yes, we need German car for status-conscious society. If roads are bad then they can make more money. It is a win-win scenario. Look at the bigger picture and develop local industry with the help of developed rather than third world countries.

Abdul Feb 13, 2017 09:08am

@Adnan aziz Brother Pakistan is poor but not the Pakistanis. Only issue at the moment is terrorism. If that gets eradicated, you would be surprised to see high end cars growth in Pakistan

Ali Feb 13, 2017 09:13am

very good new but prices??

RD Feb 13, 2017 09:28am

India has it all from audi to Mercedes and now even Tesla. India has tata and Mahendra who export to Europe and America. CPEC can't help you! it's just a road, you need wheels to move on that road!

AHSAN Feb 13, 2017 09:44am

More auto assemblers are direly needed, especially in the small car segment. Government must further enhance incentives for new entrants to encourage them to enter.

Also, penalties need to be put in place for obsolete and unsafe vehicles so that Paksuzuki upgrades its lineups too.

Raheel Ghani Feb 13, 2017 09:53am

Good News For skill Persons

Ahmad Feb 13, 2017 09:53am

@Jawad Are you real? At-least you should have checked cars manufactured by TATA and Mahindra on google before commenting and making yourself look silly.

Other than manufacturing in India, Tata is also owner of brand Jaguar and land rover. Tata exports cars in APAC, Africa, Europe, Latin America, Russia and Middle East.

Mahindra mostly focuses on India but have very good cars and other automobiles.

SID Feb 13, 2017 10:04am

@Jawad Even they are not interested . Mahindra is exporting vehicle Scorpio, XUV 500 to Latin America & African market for last 10 years . And TATA motor exported more than 54,000 commercial vehicle in 2015-16 alone. They are planning to reach 1,00,000 export figure in 2018-19 .

saudagar ( indian) Feb 13, 2017 10:31am

pakistan auto is two decades behind india but why ? mnc which came india could not go to neighbourhood ?

HAROON Feb 13, 2017 10:42am

The issue still is lack of infrastructure. You put thousands of new cars on the roads of major cities like Karachi and Lahore and the already choking roads become an even bigger nightmare. There is already a high level of tension, anxiety and stress due to extremely poor traffic conditions in the major cities - investment is needed in mass transit, hi-speed rails etc. and secondly a lot of training of drivers and higher standards of tests for getting driving license. Drive in the west or AUS etc. and you will know the difference on existence of road laws and how people carefully follow them. Without all this, it's just a money making business without regard to any negative impacts on society.

SAEED MASOOD Feb 13, 2017 10:49am

Very good all this will create new and more jobs..The Government should make Auto industry an example of international investment and start giving incentives in other industries as well to encourage more International investments...

AwaN Feb 13, 2017 10:50am

@M. Emad On every news piece you bring the comparison of Bangladesh and Pakistani automotive sector. Are you in a inferiority complex or what?. For your information there is no comparison between Bangladesh and Pakistani automotive sector. In Bangladesh less than 21000 cars were sold in 2016 that is only 8 percent of Pakistan. Whereas in Pakistan only local car production stood at Quarter million with more than 100,000 Imports in addition to that. That is more than 10 times of the numbers compared to Bangladesh. So kindly stop comparing these two countries on every news piece.

Muhammad Arshad Feb 13, 2017 10:53am

Good News.

Syed mudassir Feb 13, 2017 10:56am

@M. Emad Pakistan's Vehicle per capita is 13. Whereas for Bangladesh vehicle per capita is 3 for 1000. That mean in Bangladesh every 3 person among 1000 owns a vehicle. That comparison explain every thing. Thank You

Gul Feb 13, 2017 10:55am

European maker will wind up all these old technology in 2030 by all means, because new research and development and revaluation has been taken in the atoumobile industry, the old one be shifted to third world's countries, like us, we should go beyond 2030 to welcome the new technology.......

Lone ranger Feb 13, 2017 10:56am

"Pakistan being the 6th largest populated country, with half of its population below 30 years and car penetration as low as 13 vehicles per 1,000 persons, offers a huge potential for growth to global carmakers." Are our roads ready to accommodate all this growth in number of vehicles???. Some investment on roads' maintenance and expansion is long due but who cares for the suffering public.

AHA Feb 13, 2017 10:57am

Good news, also we will not have shortage of skills are many of youths are very skilled in mechanical work like milling, machining etc by working in illegal gun factories.

Ahmed Feb 13, 2017 10:57am

@M. Emad No sure what is purpose of your comments and mentioning about Bagladesh's per annum car sale of 50,000.

In addddtion to exporting car, at present Pakistan's domestic per year car production is more than 200,000 and with these additional plants it would increase significantly

jaan-bhittani Feb 13, 2017 10:57am

definitely, our newly built roads are waiting for the new luxury car. Long live Pakistan

AHA Feb 13, 2017 11:03am

@Jawad Need to get your facts correct. TATA owns Jaguar & Land rover and Mahindra has market in over 20 countries. Mahindra are now set to launch their EV in China as well. Indian vehicles may not be shiny or smooth but they are rugged. Also note Mahindra had 50% ownership of your first finance minister. These vehicles are most suitable for terrain like Pakistan.

analyses Feb 13, 2017 11:15am

wow Audi assembling in Pakistan? That's the best news of the day!

khan Feb 13, 2017 11:19am

I have no idea where and on what kinda roads in India they drive BMW and Mercedes, where monkeys, donkeys ,cows , beside rickshaw , and millions of people are ruining around on the roads?

Dynamite Feb 13, 2017 11:26am

These cars are meant to be driven on the CPEC only

Viking Star Feb 13, 2017 11:40am

@Adnan aziz .... Audi A3 priced at PKR 4 million offers premium driving experience at a good price. Those who want luxury brand and cant afford Mercedez or BMW, A3 is the best alternate. Its already making inroads rapidly.

Ahamd Feb 13, 2017 11:45am

@khan Come to India and see the roads. Indian roads are much better than you think.

saudagar Feb 13, 2017 11:47am

@Jawad; think wise before penning, my able friend . india has left roads way behind and in next 48 hours ISRO will launch 100+ satellites in SPACE ! where are you ?

arifkasam Feb 13, 2017 11:52am

the bureaucrats receive heavy graft from Japenese firms to stop the intrusion of other countries manufacturers

Babar Feb 13, 2017 12:03pm

Thi s will be a good move. The present car manufacturers will at least have some competition. Already looted the public by making enormous profits.

imtiaz ali khan Feb 13, 2017 12:04pm

Good for Pakistan.

Pasha Feb 13, 2017 12:24pm

@Basit Ali Get real you cannot even develop engine. How you will manufacture own car?

saudagar ( indian) Feb 13, 2017 12:25pm

@imtiaz ali khan ; SALAAM khan saheb ! If i would have been a ceo of audi -pak ,you would have been first to own its keys .

Dipak Feb 13, 2017 12:30pm

About 15 companies are in manufacturing automobiles,from two wheelers to heavy trucks and military vehicles. Foreign companies are now interesting in india due to matured leadership and stable democracy . Not only but people of this country is liberal and not coloured with extremism . Law and order a major factor that has also supported

BAXAR Feb 13, 2017 12:33pm

@kaleem "New Auto Policy is the game changer for Pakistan and a feather in PML N cap." Buses are imported and luxury cars assembled locally. You may call this policy a game changer, but the direction of "change" doesn't make much sense.

omveer Feb 13, 2017 12:44pm

Can Pakistanis afford Audis and beemers? The only vehicle they drive is Isuzu truck

Human first Feb 13, 2017 12:46pm

@khan truth hurts.India doesnt have to wait for project like CEPEC. road or no road you can find all preimium brands and local brands competing with each other .Hope pakistan will get better roads to drive these assembled cars once CEPEC is complete.

Manu.J Feb 13, 2017 01:05pm

Search about India quadrilateral golden project. Those who doubt Indian roads. And to the pakisthani friends when you are comparing Pakisthan with India in every matter when you are miles behind then on what logic you can criticise him for comparing with bangladesh. He had done a harmless comparision he never boasted bangladesh is better than Pakisthan but my dear friends who even gave rhetoric speech about Pakisthan greater than India in everyfield when the truth is otherwise. Bangladesh is the youngest nation between us. Still they are growing faster than you. Give them 20 years they will outgrow you

Abdulla Hussain Feb 13, 2017 01:17pm

@Basit Ali: Live in the present time, Pakistan has such companies already who are producing thousands of vehicles annually. This is an age of JV production.

Abdulla Hussain Feb 13, 2017 01:16pm

@Basit Ali: Which age you live. Tata and Mahindras, wow! still stuck their.

Ahmed Bilal Feb 13, 2017 01:43pm

@Basit Ali Agreed

Syed Omar qadri Feb 13, 2017 02:16pm

@Adnan aziz they are already selling cars here... and I'm sure they know they can easily sell their smaller cars here which have the most potential in this market.

Mohammad Feb 13, 2017 02:26pm

@RD You are either too negative about CPEC or have no clue what you are talking. Renault, Hyundai and Now Germany, Did nt you realize why they are coming to Pak, because there will be huge requirement and huge money will be involved. Well of course they would heavy vehicle so Germany have done all this research before penetrating into new market. By the way this road will give access to 60 Countries... Is there any route in the world give access to 60 Countries???

Faisal A Malik Feb 13, 2017 02:33pm

@Adnan aziz why not? If Suzuki can produce an obsolete car like Mehran and earn substantial profits, why not the same for Audi or any other car company globally. Why not just install fully depreciated plants in Pakistan and transfer money through imports from parent company and profits.

MSD Feb 13, 2017 02:44pm

Glad to see good news coming from Pakistan!

Faisal hamid Feb 13, 2017 02:42pm

I think we need new players in every sector of our country, to boost economy, to create competition, to expand job market and of course to develop new taste. But all that should have done in the best interest of the nation, so shall prosperity prevails within the country in a positive direction.

Shabbir Feb 13, 2017 02:53pm

@Abdul He is saying improve the roads.

Jawad Feb 13, 2017 03:05pm

@Ahmad and other friends. 100% real and personally travelled on those vehicles in India over 50 times! Those are cheap versions of trucks and tanks! Jag and Rover are English brands, unfortunately now on Indian Anvil! Time will tell if pan-dan will be added in them! We all know about recent leadership chaos at TATA.

Muhammad Feb 13, 2017 03:06pm

@Adnan aziz Pakistanis are already using the Audi and other luxury cars despite not very good roads

Ghulam Sarwar Feb 13, 2017 03:15pm

We should allow more car manufacturers to make and sell quality cars in pakistan and stop all other car imports to pakistan, so Pakistanis only buy made in Pakistan stuff. This will provide work for our people and also create seconday job market.

Jawad Feb 13, 2017 03:18pm

@Ahamd Been there over 50 times! Please do not mislead others. Absolutely incorrect.

ABOOD Feb 13, 2017 03:17pm

@Adnan aziz .pribably you stay in karachi

Jawad Feb 13, 2017 03:22pm

@saudagar I am all over the world. Visted India over 50 times and seen all that. Worked in Auto industries over 20 yeras again all over the world.

TORIS Feb 13, 2017 03:23pm

This is a Good News for pakistan's growth and development graph. To attract more and more foreign investors in the country, pakistan has to check the terrorist movements. Otherwise , regular two-three bomb blasts may change the foreign investors enthusiasm in their invesment plan in pakistan.

VINEETH Feb 13, 2017 03:27pm

@Adnan aziz Audi operates on Indian roads with even deeper pot holes.

VINEETH Feb 13, 2017 03:46pm

@Jawad Perhaps then, you would be explain how the new Tata and Mahindra models are selling like hot cakes in Indian markets in the face of a flood of products from foreign brands. Take a bit of time and read reviews on new models like Tata Tiago, Tata Hexa, Tata Nexon and the various Mahindra SUVs. Indian manufacturers have learnt a thing or two from their foreign counterparts.

taimoor khan Feb 13, 2017 03:50pm

It will be lovely to see Audi driving on beautiful Pakistani roads. People have no clue how good our roads are.

kash Feb 13, 2017 03:54pm

Renault/Dacia will be very good for Pakistan. The dacia lineup should sell very well in Pakistan

Dacia Sandero, Logan and duster. But they need to keep prices low. For example, Sandero should sell no more than 8.5 lacs for top spec.

Logan @ 11lac tops and Duster no more than 15 lacs. If Renault can do these prices , then surely this is a game changer in Pakistan.

Hyundai with its i10 and i20 can capture a lot of the market. It will depend on pricing but if they can sell i10 for under 11 lacs, they will be onto a winner.

currently, the big 3 are charging way too much for their cars. Its about time Dacia breaks the monopoly.

Houlbelat Feb 13, 2017 04:03pm

Already we find it impossible to drive in big cities due to ever increasing traffic jams. Unless we make more roads and bridges, additional cars on the same congested roads would make it useless to keep cars that stay in home garages for saving them from collisions on the insufficient roads

Houlbelat Feb 13, 2017 04:14pm

@Basit Ali: It needs a viable steel industry. And you would never agree to have and drive a limousine named 'Ittefaq' produced by Sharif Auto Industries, a subsidy of Ittefaq foundries and mills, at any cost.

asheikh Feb 13, 2017 04:21pm

The rich with black money will buy Audis and middle class folks will borrow money to compete with them and end up in Financial ruin. Disparity between rich and poor will be even bigger.

007 Feb 13, 2017 04:36pm

Audis will be to entertain the rich. Pakistan needs something for its middle class. KIA, Hyundai, Mitsubishi, Subaru, Nissan, Ford, Chevy, Citron, and Skoda etc. are needed.

Nelly Feb 13, 2017 04:37pm

@Mohammad do you know how much of petrol will require to go to this 60 countries ?

bk Feb 13, 2017 04:56pm

The PML N govt is good at giving false hopes.Lets wait and watch, I personally dont think that there will be any change. We need to elect strong powerful leaders who really do something for the betterment of people and country.

salar Feb 13, 2017 05:09pm

Please build the roads and infrastructure in large cities at the same time. Also, invest in public transit policy. At the same time, start approaching the African and Asian markets for export out these countries. That's how you will build and sustain this industry.

IMran Feb 13, 2017 05:10pm

If Audi comes that will be huge plus. They make really good cars. Trust me they have good market in Pakistan. Looking forward to see them in Pakistan.

sachin Feb 13, 2017 05:12pm

@Basit Ali Do you know the Pakistani connection of Mahindra? Today it is called as M&M in India. Once upon a time i.e. 1944 it was called Mahindra & Mohammad, the latter went on to become Pakistan's first Finance minister.

Umair. Feb 13, 2017 05:17pm

@Adnan aziz they will come to earn money . if they don't like it . fine.they should not come. Its the world of capitalist economy. They want more money than they are earning that's why they are coming. No one is doing any thing to any one . we want to great jobs they want wealth. Its simple is that.

nikus Feb 13, 2017 05:28pm

Most of these car brands are in India and they will export India made kits to Pakistan for assembly.

Sajjad Kamran Feb 13, 2017 06:04pm

@Adnan aziz Well said.

MAA Feb 13, 2017 06:05pm

@RD Wait and see.

Princess_of_DHUMP Feb 13, 2017 06:11pm

@Basit Ali Go and start one. Who is stopping you?

Masood Hussain Feb 13, 2017 06:34pm

Addition of new entrants in the car industry is big boost in Pak Economy.

nikus Feb 13, 2017 06:43pm

@Syed mudassir this is 80's has more middle class people than pakistan and car ownership now is far better than pakistan. alreadyt they are far ahead of you in hdi...

Ali Feb 13, 2017 06:47pm

@RD...irrelevant for you to draw comparisons with your country. ..each country's economy is based on its climate. And please don't make a fool of yourself to give an impression that those unknown brands outside India are seen on American and European roads...we've better standards here and that's why I haven't seen any Indian cars in the US yet in all these decades.

Ravi Feb 13, 2017 06:57pm

Good news for Pakistan. More brands gives variety for different segments. Care should be taken for regulation of traffic and to avoid congestion. Also plan for parking spaces well in advance.

Ali Vazir Feb 13, 2017 06:59pm

I am on overseas Pakistani and went to buy a new Suzuki Mehran for my sister. I was suspicious of being a new due to the jerky gears and hard steering. The car-dealer asked me which vehicle I had been driving. I told him Corolla Japan assembled. He said then you are right in objecting to it. This is how new Mehran is. Thank you Suzuki for giving us "C" category vehicles even after 34 years of operation in Pakistan. A big 'Yes' to the new automakers.

CLEAR HEADED INDIAN Feb 13, 2017 07:44pm


Why don't you guys READ? Do you know that a 100% Tata Motors subsidiary, Tata Daewoo, located in Gunsan, South Korea, exports CKD kit to Pakistan?

Shakil Feb 13, 2017 07:50pm

@Adnan aziz its already on the roads big way, when everyone driving japanese, people with some extra money wish to drive a bit more than a normal car brand.

I believe suspension wise, if a honda can survive Pakistan Audi is not far off. Audi already have dealerships all over the Pakistan. It doesnt manufacture in Pakistan at present and may not do so as demand for high end cars is not at the level for local consumption. Pakistan need to create a policy that encourage exports as well not just for local consumption.

zak Feb 13, 2017 07:58pm

I await the day, Pakistan produces its own cars. It has the engineers, designers, technicians and the entrepreneurs.

zak Feb 13, 2017 08:00pm

@M. Emad We are not interested, we can do better, and bigger. We want to compete internationally with the best, not regionally with the run of the mill.

akber Feb 13, 2017 08:01pm

Has anybody thought of the urban road infrastructure to accommodate the already burdened state

saqib mughal Feb 13, 2017 09:01pm

@RD don't see any tatas and mahendras here in the UK.

tech talk Feb 13, 2017 11:29pm

@Jawad you claim 50 times to India, from auto industry and yet you are faltering..cery poor...for your info Suzuki & Hyundai were born in Japan & Korea, but brought up in India...technically both are Indian Companies, in terms of everything, BMW produces 3 series in India and VW several models...

IMTIAZ ALI KHAN Feb 14, 2017 12:26am

@saudagar ( indian) Thank you my brother. I'm content in my life brother, I would give your offer to much hungry or poor Indian or Pakistani who have no food to eat and still living on the streets and sadly there are millions like that. This materialistic life is not for me dost. I have food, shelter and clothing.

I believe in the words of Sai Baba of Shirdi "Give food to the hungry, water to the thirsty, and clothes to the naked. Then God will be pleased."

Love from Pakistan to you my Indian brother. Namasteh, Sat Sri Akal and Salam :)

Amar Feb 14, 2017 01:30am

Jap cars are milking pakistanis cars that have a decade old technology are being sold for 30 lakhs its crazy stuff going on we need german cars so much

islamispeace Feb 14, 2017 05:29am

Audi is Pakistan's best friend. Long live Audi-Pak Friendssip

Kamran Feb 14, 2017 06:34am

All autonmakers...investing through one or more local one wants to risk it.

My leaders of Pakistan take my food and water away. And they give me cars to eat. Note your young population doesnt have amounts to spend.

Armughan Feb 14, 2017 08:03am

@M. Emad and why is there a need to bring these stats up? makes little sense.

edward singh Feb 14, 2017 08:59am

It will be nice for Pakistan to get Indians great automakers like Tata and Mahindra and Mahindra to build in collaboration with Pakistani private sectors. Across the border parts and materials can be bought and it will avoid long freight costs too.Plus it could generate Pakistani made auto parts manufactured in Pakistan and create more employment.

kevin Feb 14, 2017 09:46am

@Abdul There is a correction. Pakistan is rich but pakistanis are poor. Pakistan is rich in resources, climate, natural wealth, mineral etc.etc

MOHAMMED (bangla) Feb 14, 2017 10:02am

@AwaN Our car production is more than pakistan and in 2016 along total half millions different vehicles sold in bangladesh which is far higher than pakistan.

nikus Feb 14, 2017 10:03am

@saqib mughal you definitely see indian auto in uk. optare bus brand is owned by hinduja brothers .............

kevin Feb 14, 2017 10:14am

@Ahamd Your knowledge about India is 1990's. India is running far far ahead than pakistan, that is why all International agencies put India in 2nd economy in the world in 2030. Atleast you use your brain, every year india is growing 7-8 % (India is Ist place in eco. growth in the world) where this growth is going. You are talking about CPEC the game changer and do you know how many Rail corridor, industrial corridors, Smart cities, Quadrangular corridors (which touch 4 sides of the country quadrangular shapes), even separate freieht corridors for moving freight only coming through out India. E.g Mumaby Delhi corridor which passing through 4 states and investment is 180 Billion USD and you are still in 50 B CPEC, the game changer. Open your eyes and see the reality.

Qamar Rathore Feb 14, 2017 10:30am

@Jawad agreed we need quality, if most people had the money they would be driving an Audi, Porsche or BMW because German cars are the best, Pakistan will never compete not even the U.K or America can compete so stop living in a dream world. Pakistanis deserve the best to, hopefully at a reasonable price if they're locally produced

Qamar Rathore Feb 14, 2017 10:50am

@Adnan aziz there are many Audi variants Q1,Q3, Q5 and Q7 al four wheel drive. With Air suspension and loads of other superior features, do you know about them?

CRICKET LOVER Feb 14, 2017 11:31am

Road infrastructure in Pakistan is far better than India. Pakistan is progressing and on the right track. More car makers should be invited such as Benz and BMW.

kevin Feb 14, 2017 11:43am

@saqib mughal But land rover and Jaguars are running in UK roads which is owned by TATA and now their engine also making in indian plant which is in state of Tamil Nadu.

irfan Feb 14, 2017 11:57am

@Adnan aziz I think you do not believe in hope.

irfan Feb 14, 2017 11:58am

@M. Emad My brother is in Dhaka for long, the people there do not like Indian made cars, the rather prefer to import cars from Dubai.

Usman Feb 14, 2017 12:43pm

@RD smell some burning especially when the word cpec comes :-)

Human first Feb 14, 2017 12:48pm

Both countries cant be compared as the parameters will not match so no point is arguing.Pl google yourself on automotive industry in Pakistan and India you will get your facts right.

Imran Feb 14, 2017 01:26pm

@Adnan aziz Think out of the boX

M. Anwar Qureshi Feb 14, 2017 01:55pm

What type of feasibility reports these car makers have done? Where are the roads for cars these manufacturers will produce? We already have enough roads congestion and traffic jams; horrible!!! Then what's the use of metro buses and trains?

Jawad Feb 14, 2017 02:56pm

@CLEAR HEADED INDIAN Why don't you guys read and understand correctly. Without even reading, a small Indian subsidery in Korea does not covert whole Daewoo in South Korea to an Indian TATA company.

shahid Feb 14, 2017 03:04pm

Very delayed but welcoming news

Rashid Feb 14, 2017 05:11pm

@M. Emad Bangladesh needs boats not cars, due to global warming half of the country would be submerged into the waters up to 2050 .

MEA Feb 14, 2017 06:29pm

@M. Emad Is it true!

sallahuddin shah Feb 14, 2017 06:35pm

Excellent for end users . but what about ;

  1. More cars means more pollution. what are we planning to give our children ?? co2 instead of o2 ??
  2. More fuel consumption increase trade deficit
  3. More congestion on already congested roads with pathetic drivers and their skills ( not all but sadly majority )
  4. already millions of hours are wasted on roads due to slow and absurd driving movements + traffic jam etc

Is government thinking about these elements ??

dentedmemories Feb 14, 2017 07:46pm

@AHA @jawad check cars now make by tata. Tata tiago was rated the best compact car of the year. Interiors are way better then the competitors. Mahindra XUV 500 TUV 300, KUV 100 are selling like hot cakes and are indeed impressive vehicles. Tata next month is launching a sports car named TAMO. They are doing well in fact better than established brands like Chevrolet, Renault, Tyota

MUHAMMAD Feb 14, 2017 07:57pm

@Manu.J, I dont know whether u are new to the forum or being ignorant by choice. M.Emad has a habit of making unnecssary comaprisons between pakistan and BD and many times have also bragged about it on different articles (something which had nothing to do with pakistan or BD) amd this goes not just on economic articles but also on cultural, social and political articles as well. Thats the reason why he is being responded to so much overhere. Just because we are paksitanis doesn't make us bad and just because someone here is from BD or india, he/she automatically becomes a saint.

Bicycle is the answer. Feb 14, 2017 08:03pm

@sallahuddin shah. Totally agreed.

Danish Feb 14, 2017 08:37pm

Wow , so many people are disucssing and excited about cars. But do we have the roads to support these cars ? and Parking spaces ? :p

irfan uk Feb 14, 2017 08:50pm

@Adnan aziz Dare I say that Pakistan's roads are in a much better shape than those of India where they have a much larger variety of car makers. Suzuki and Honda have been exploiting the Pakistani customers for far too long so this is a very positive move by the newcomers into Pakistan which will definitely upper the standards.

Ayaz Mirza Feb 14, 2017 09:23pm

@RD 1st step ...

anony Feb 14, 2017 10:09pm

This is excellent news and will create a lot more jobs. Bring all these manufacturing into Pakistan. The Indians won't be pleased with our progress at all.

oats Feb 14, 2017 10:49pm

@Adnan aziz Come and look at the roads in Punjab or the motorways now developing in Pakistan and you will change your mind. It's about time that other international car manufactures have woken up and taken notice of Pak's growing economy. Good work Nawaz Sharif and team!

imtiaz ali khan. Feb 15, 2017 01:33am

@edward singh Singh is King :) Thank you for your friendly word dost.

Asim Feb 15, 2017 01:54am

@Adnan aziz Audi owns Volkswagen

Jatinder Feb 15, 2017 03:08am

Why cant India and Pakistan collaborate together to produce and design new auto products. India has huge experience and Pak has potential. Instead of feeding the foreign auto industry, keep the money in our pockets for further R&D

Asim Feb 15, 2017 03:14am

Amazing how news about upcoming car assembly plants in Pakistan degraded into an exchange of insults between Pakistanis and Indians (and even a Bangladeshi). I am amazed that we have nothing better to spend our time and energy on besides this useless exercise in negativity. With the developed markets saturated, all companies have to look at developing markets and Pakistan provides a good bet. My guess is that Renault will be assembling Nissans, and Audi probably Volkswagen. Hyundai's quality and image has improved and is giving Toyota and Honda run for their money. Their Kia brand provides an excellent bang for the buck. Replacing old cars will save fuel and improve air quality.

Jatinder Feb 15, 2017 03:17am

@khan They are not much different from Pakistan, but Highways are world class, inner cities slightly better than Pak If India had no good road network thousands of international companies wont invest in India. One reason China is getting lot of investment because of excellent road network, better than probably any other country. Otherwise Chinkis are not smarter than South Asians.

Jatinder Feb 15, 2017 03:33am

@anony Progress is not just assembled cars or CPEC or luxury gadgets. Progress is healthy attitude, productive knowledge, contribution to mankind for their well being and health and non biased education (eg. history etc) and liberal view to life and society. Please help your self and our other brothers who have no correct definition of progress. Lastly it can take lifetime to understand the real meaning of progress. Even your Holy book has much better explanation of progress, don't just read it but understand it too.

Shafiq Ahmad Feb 15, 2017 03:45am

@Adnan aziz has you ever travelled on the roads of Pakistan. It is very easy to point out faults. First, have an experience that than utter any negative word.

dentedmemories Feb 15, 2017 03:56am

@VINEETH they know all that but they prefer to be ignorant..It's their jealousy and nothing else. . Hyundai took time to sell their cars in USA..It doesn't happen overnight.i am sure Indian brands will do well in the future as they have learnt to be in the markets like india you need to be better than the competitor's

Shafiq Ahmad Feb 15, 2017 03:58am

@M. Emad so, what is the point to share this information in contrast with Pakistani automobile market? There is a serious Delima with Indians about any progress in Pakistan. You don't need to worry about anything as India is making progress rapidly and we wish you good luck in that regard.

NowNow Feb 15, 2017 05:48am

And what about the deletion program? What kind of deletion program will these new entrants will be signing on? And what is the status of deletion for the existing players?

Alan Feb 15, 2017 06:19am

Future is electric car. Need Pak Legislation on how all Auto Producers must also have a battery operated electric car, battery operated and Pak Govt must set up battery charging infrastructure. Race is on. Get on to this fast!!!

LAHORI KID Feb 15, 2017 07:05am

Great, hope they plan to widen the existing roads and motorways and plan on building more roads, because the way the traffic is already, more cars on the roads will only add bigger problems for every town, every city. Before you know it, we may find a similar system for motorcycles and bicycles like the metro buses.

Usman Sherazi Feb 15, 2017 08:28am

@Adnan aziz Audi would be introducing its Volkswagen branded vehicles to start with . Its a great news forPakistani cosumers. Hope the plans materialise soon.

imtiaz syed Feb 15, 2017 10:23am

Audi o yes

imtiaz syed Feb 15, 2017 10:23am

@Adnan aziz Please come to KPK see the metaled road

Ahmad hussain Feb 15, 2017 11:36am

New car makers entry in Pakistan will definitely pose challenges to existing Auto Industry. If they don't opt for changes in their existing policies of offering cheap material stuff with no features and high costs, their demand will reduce which could squeeze their margins.

However, it all depends on Government policies whether they are going to allow Local manufacturers to keep their monopoly going on, which in previous years had been seen.

BAXAR Feb 15, 2017 01:33pm

@oats "look at the roads in Punjab or the motorways now developing in Pakistan " So they are developed in order to facilitate the import of vehicles that match these motorways. Nice vision of development indeed.

nikus Feb 15, 2017 05:30pm

@dentedmemories mahindra tractors are already very popular in usa.

Hamza Piracha Feb 15, 2017 06:12pm

Pakistan surely has the capacity to move on from assembling to manufacturing which would result in much more cost savings and customers can enjoy cheaper and probably better cars.

B R Chawla Feb 15, 2017 09:20pm

A good start. Today assemble tomorrow you start manufacturing parts climbing stair by stair. Keep it up it shall increase generate employment and impart skill. Better still patch up with your twin brother India and discover your shared past link with your own soil.

zak Feb 15, 2017 11:28pm

@Basit Ali Those are substandard cars, not accepted in west. We want high quality cars like Volkwagon.

Atif Feb 15, 2017 11:30pm

@AwaN Well said. Very Well Said

Rasik Feb 16, 2017 12:49am

@Adnan aziz you are right bro !

nikus Feb 16, 2017 01:04am

@Jatinder Do you feel Pakistan can do R&D in automobile? They don't have decent steel plant to start with. India started with auto component business and today we are here due to various component manufacturers.Furthermore, Sono Koya, Robert Bosch,Continental, Asahi,Saint Gobain etc. all has manufacturing unit in India , making it easier to manufacture a car in India.Even Mercedes has started assembling V6 and V8 engines in Pune. Wait for few more years, we will have V6/V8 engine manufacturing plant in India and brands like Ferrari will make India home to manufacture car.