Chinese firm to invest $120m in tyre sector

Published April 10, 2026
A delegation of Service Long March Tyres Private Limited calls on Prime Minister Muhammad Shehbaz Sharif on April 9. — Photo via PMO
A delegation of Service Long March Tyres Private Limited calls on Prime Minister Muhammad Shehbaz Sharif on April 9. — Photo via PMO

ISLAMABAD: A China-backed joint venture has announced a $120 million expansion plan in Pakistan’s tyre sector, aiming to scale up production and push exports beyond $100 million during the next fiscal year.

The announcement came from Jin Yongsheng, chairman of Service Long March Tyres (Private) Limited, during a meeting with Commerce Minister Jam Kamal on Thursday.

The chairman, at the head of a delegation, later met Prime Minister Shehbaz Sharif at his secretariat. Jin Yongsheng praised Pakistan’s investor-friendly environment and the government’s economic policies.

The delegation discussed investment expansion, export growth, and tariff policy support for Pakistan’s tyre industry with PM Shehbaz. Federal Commerce Secretary Jawad Paul also attended the meeting.

An announcement said the delegation informed the prime minister that the company was on track to achieving an export target of $70 million by June and aimed to cross $100m during the next financial year. This milestone would place it among Pakistan’s leading non-textile exporters.

PM Shehbaz said the government was working on a priority basis to strengthen B2B linkages between the two countries, adding that Pakistan remained committed to “a sustainable, transparent and facilitative” investment regime.

He said efforts were underway to provide all possible support to investors through the Special Investment Facilitation Council. PM Shehbaz said joint ventures such as Service Long March were important for economic growth, job creation, technology transfer and export expansion.

The delegation was also informed that the Board of Investment was facilitating the company across various sectors, including support for establishing a development zone at Nooriabad, in Sindh.

Global market

The meeting was further infor­med that Pakistan had made significant progress in the global tyre market, with exports to the United States and Brazil increasing rapidly. Pakistan has emerged as the fifth-largest exporter of tyres to the United States and the seventh-largest to Brazil, marking a notable shift from virtually no presence in the two countries just a few years ago.

This growth is being attributed to transfer of technology and expertise through collaboration with Chinese partners. It has enabled local manufacturers to meet international standards and compete globally.

Commerce Minister Jam Kamal acknowledged the concerns raised by the industry and reiterated the government’s commitment to supporting sectors that demonstrate strong performance and export potential.

He emphasised the importance of maintaining a balanced tariff policy that encourages local production while ensuring competitiveness.

The company’s manufacturing facility in Nooriabad was cited as a modern, efficient industrial unit employing around 2,000 workers and incorporating renewable energy solutions.

The two sides agreed on the need to strengthen collaboration between the government and industry to support export-oriented growth and industrial expansion.

Published in Dawn, April 10th, 2026

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