ISLAMABAD – Pakistan introduced the new auto policy in March 2016 for the2016-21 period. The policy offered a bunch of incentives including low taxrates to the auto manufacturing players contemplating an entry to thePakistani market.
The policy seemed to be an instant success as major manufacturers includingRenault, Nissan, Kia, Volkswagen, and Hyundai, among others, expressedtheir interest in setting up plants in Pakistan. Kia, Hyundai, and Renaulthave already begun the process of establishing assembly plants in Karachiand Faisalabad.
Another good news is in line for the public as two new auto manufacturershave submitted their requests to enter the local market.
These two companies are based in China and go by the names Lifan Motors andBeijing Automobile Works (BAW) respectively.
BAW has signed a vehicle assembly joint venture agreement with CavalierAutos to bring its light commercial vehicles, double cabin pickups and SUVsto Pakistan.
[image: White SUV]
Lifan Motors will join hands with Pak China Motors to launch its vehiclesin Pakistan. According to reports, both companies submitted their requestsfor a greenfield status to the Ministry of Industries and Production(MoIP). The ministry has already recommended Lifan’s file for approval.
[image: Red Lifan Myway]
The entry of new auto leaders is certainly a good news for the customers.It will give rise to the competition in the market that has been dominatedby the Japanese auto manufacturers for decades now. The healthy competitionwill mean more options for the auto enthusiasts at competitive rates.