Audi Partners With BankIslami, Ready to Enter Pakistani Market

[Nilgiri]

you cannot compare car ownership in Netherlands and Pakistan . There are currently thousands if not millions of unregistered cars in Pakistan.

So whenever something that shows just how low Pakistani per capita consumption is.....its always the answer of "unregistered" "unofficial" "black economy" etc etc...

Its the fudge factor to try make Pakistan look more reasonable .

So how many unregistered vehicles do you say there are for each registered one? Any third party estimates on that?

 

[war&peace]

Zabardast news but yr i hope VW consider this too because not everyone can afford an Audi :/ VW can offer small affordable vehicles easily which most of the people can afford

VW actually owns Audi and the latest models share quite a lot of components with each other but Audi is aimed towards slightly more premium market while VW towards slightly less premium though the boundaries get blurred from model to model. I used VW Phaeton for three years it is a great piece of engineering and more luxurious than many of Audi's models.

 

[The Sandman]

VW actually owns Audi

sigh Bhai mjhe ye baat pta hai i was just saying ke VW ko khud aana chaye because not evry1 can afford an audi and VW can bring in their smaller models like UP and polo etc so normal ppl can afford a good car too i think i need to be more clear in my posts next time

 

[Baloch Pakistani]

2 million or dalo Itne me to Porsche Cayenne aajati hai

Yeh that beauty is really hot. Much better driving experience.

 

[Arsalan]

@Arsalan Sir, any comments on this news story apropos our discussion elsewhere on this topic?

I would say its a start sir! A good one!

The market is opening up to new players. Initially they will start with introducing CBUs while studying the feasibility of local assembly and manufacturing plant. That delivered what both of us asked/wished for. You about opening market to new players and me about local assembly/manufacturing. Lets see where it goes from here.

In short, i sure am positive about this development and do feel that this new auto-policy may be one of the few good things that the government have done. We will surely see the benefits in coming years.

 

[Khan_21]

So whenever something that shows just how low Pakistani per capita consumption is.....its always the answer of "unregistered" "unofficial" "black economy" etc etc...

Its the fudge factor to try make Pakistan look more reasonable .

So how many unregistered vehicles do you say there are for each registered one? Any third party estimates on that?

https://en.wikipedia.org/wiki/List_of_countries_by_vehicles_per_capita

Both India and Pakistan have 18 vehicles per capita so no difference. I can post 100's of things here where on per capita basis Pakistan is better than India. Do tell me if you want me to post them .

We have Afghanistan beside us which is a huge source of smuggling for every kind of things from Hashish to Cars into Pakistan .

 

[war&peace]

sigh Bhai mjhe ye baat pta hai i was just saying ke VW ko khud aana chaye because not evry1 can afford an audi and VW can bring in their smaller models like UP and polo etc so normal ppl can afford a good car too i think i need to be more clear in my posts next time

you are right...you can add Golf in the list too. though Passat is a bigger car but still a value option as compared to Audi A4. The main idea is the diversification and indigenisation. We need to develop local auto sector not only for the consumers but this sector along with steel and material industry is a backbone of any developed nation.

 

[VCheng]

I would say its a start sir! A good one!

The market is opening up to new players. Initially they will start with introducing CBUs while studying the feasibility of local assembly and manufacturing plant. That delivered what both of us asked/wished for. You about opening market to new players and me about local assembly/manufacturing. Lets see where it goes from here.

In short, i sure am positive about this development and do feel that this new auto-policy may be one of the few good things that the government have done. We will surely see the benefits in coming years.

Isn't Audi already on the market in Pakistan? All this represents is a new financing deal with another bank to provide loans with an Islamic stamp for a few hundred CBU luxury car imports. How do you see such a deal changing the local car market? How will this lead to local manufacturing, Sir?

 

[Arsalan]

Isn't Audi already on the market in Pakistan? All this represents is a new financing deal with another bank to provide loans with an Islamic stamp for a few hundred CBU luxury car imports. How do you see such a deal changing the local car market? How will this lead to local manufacturing, Sir?

Sir a few private dealers were IMPORTING the cars and buying it at there showrooms, that was pretty much it as far as "Audi being in Pakistani market" goes. The main importer was Mr. Hamza Shahbaz Shareef. What this report suggests is Audi launching itself properly in the market, will bring the whole deal. We will see increased numbers, most likely Audi showrooms and dealer ships going to locals.If they are going into details like bank financing, that is enough indicator that it is going to be bigger then the odd cars being sold at carious private dealers.

The same news report mentioned:

As we reported earlier, Audi started a feasibility study for the local market and also signed a Memorandum of Understanding with Sindh Board of Investment to set up its assembling plant in Pakistan after determining market potential and regulatory regime.

and

The German automotive company will test its popularity of cars through exports of Completely Built-up Units (CBU) in Pakistan in first stage before setting up assembling plant in the second stage depending on the feasibility result.

So based on that and the news circulating in media for some months now, i would again say that it is a good start and it is highly likely that, bar any major screw up (which are thankfully getting more unlikely as we move forward) we will see local assembly/manufacturing plant, most probably in Karachi to cover local market needs as well as for export.

 

[VCheng]

Sir a few private dealers were IMPORTING the cars and buying it at there showrooms, that was pretty much it as far as "Audi being in Pakistani market" goes. The main importer was Mr. Hamza Shahbaz Shareef. What this report suggests is Audi launching itself properly in the market, will bring the whole deal. We will see increased numbers, most likely Audi showrooms and dealer ships going to locals.If they are going into details like bank financing, that is enough indicator that it is going to be bigger then the odd cars being sold at carious private dealers.

The same news report mentioned:

and

So based on that and the news circulating in media for some months now, i would again say that it is a good start and it is highly likely that, bar any major screw up (which are thankfully getting more unlikely as we move forward) we will see local assembly/manufacturing plant, most probably in Karachi to cover local market needs as well as for export.

Audi already has this presence formally Sir:

http://www.audi.com.pk/sea/brand/pk.html

And yes, we already know about the feasibility study from an earlier thread. That will be the key in determining if the VW Group will be able to establish itself as a new player in the market after the new policy was announced. The other claimed entrant Renault/Nissan is in the same process. The outcome will be interesting to see.

 

[Skywalker]

Unfortunately leasing in Pakistan is not as easy as some people might be thinking, unlike here in UK individuals can't even think about leasing or financing a car in Pakistan on their own, it would definitely be under corporate guarantees. Unluckily our bank system is not as strong as it should be, I happen to know the owner of the Audi partners in Pakistan very good people and very very sound when it comes to profession and financing, it is the same group who owns a lot more than anyone else in containers business.

If Audi enters in production that would be a signal to others that the flood gate would be open, let's hope for the best.

 

[Arsalan]

Audi already has this presence formally Sir:

http://www.audi.com.pk/sea/brand/pk.html

And yes, we already know about the feasibility study from an earlier thread. That will be the key in determining if the VW Group will be able to establish itself as a new player in the market after the new policy was announced. The other claimed entrant Renault/Nissan is in the same process. The outcome will be interesting to see.

OK about the feasibility part. As for the Audi presence in Pakistan market, i am telling you the ground reality. I already mentioned that a FEW cars are being imported and sold at various private dealers. Audi are not running any PROPER DEALER SHIP in Pakistan. They do not have showrooms and workshops shops in as many locations and numbers as Toyota and Honda do, there even isn't a comparison. Just like audi, people also own Mercedes and BMW here as well but we cannot say that they are properly working in this market. A few imported cars here and there do not means presence in market. What Audi is doing here now is launching itself as a proper player in Pakistani market. We will see more cars being brought and more dealerships opening all across the country, financing services etc, this was not the case in the past.

 

[VCheng]

OK about the feasibility part. As for the Audi presence in Pakistan market, i am telling you the ground reality. I already mentioned that a FEW cars are being imported and sold at various private dealers. Audi are not running any PROPER DEALER SHIP in Pakistan. They do not have showrooms and workshops shops in as many locations and numbers as Toyota and Honda do, there even isn't a comparison. Just like audi, people also own Mercedes and BMW here as well but we cannot say that they are properly working in this market. A few imported cars here and there do not means presence in market. What Audi is doing here now is launching itself as a proper player in Pakistani market. We will see more cars being brought and more dealerships opening all across the country, financing services etc, this was not the case in the past.

Sir, Mercedes has a long presence in Pakistan formally, with Shahnawaz Motors, as the factory authorized dealers and service providers. Similarly with Audi and Porsche, there are formal arrangements that already exist, as shown in the various tabs under the link I posted above.

The OP represents a new financing deal, that is all. The real advance will be the result of the feasibility report for local production.

 

[Arsalan]

Sir, Mercedes has a long presence in Pakistan formally, with Shahnawaz Motors, as the factory authorized dealers and service providers. Similarly with Audi and Porsche, there are formal arrangements that already exist, as shown in the various tabs under the link I posted above.

The OP represents a new financing deal, that is all. The real advance will be the result of the feasibility report for local production.

well what can i say sir. You will have to come to Pakistan so i can show you the number of Audi or the lack of it that we can see on our roads. The lack of any real dealer ships, showrooms, pretty much non-existent workshops etc. Perhaps i am not being able to explain my point clearly and all this will make it clear.
Anyway, this new deal, as far as i can understand will be more the merely a new financing deal. We will get to see the results in few months after it goes operational. The feasibility study is going to be a bit length process and the feedback of the "increased activity" in the market by Audi after this new deal discussed in OP will have some say in the final results as well.

 

[VCheng]

well what can i say sir. You will have to come to Pakistan so i can show you the number of Audi or the lack of it that we can see on our roads. The lack of any real dealer ships, showrooms, pretty much non-existent workshops etc. Perhaps i am not being able to explain my point clearly and all this will make it clear.
Anyway, this new deal, as far as i can understand will be more the merely a new financing deal. We will get to see the results in few months after it goes operational. The feasibility study is going to be a bit length process and the feedback of the "increased activity" in the market by Audi after this new deal discussed in OP will have some say in the final results as well.

We can wait to see the sales figures for Audi after this new deal to compare with the years past. After all, that is a good measure of success for a car company, right?