Changan, United Motors to Invest $100 Million to Setup Vehicle Manufacturing Plant in Pakistan Poste

[Shahzaz ud din]

Changan, United Motors to Invest $100 Million to Setup Vehicle Manufacturing Plant in Pakistan
Posted 20 mins ago by Raja Kamran

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  China’s oldest automobile company Changan has announced to make Pakistan its manufacturing and assembly hub for Right Hand Drive (RHD) vehicle for local and export market. For the purpose, Changan will be relocating its entire RHD vehicle industry to Pakistan with-in this year.

This was announced during a Joint venture and resource pool agreement signing ceremony held at local hotel in Karachi earlier today. Vice President Changan, Mr. Wang Huanran and Chairman Master Motors Mr. Nadeem Malik signed the agreement.

Speaking at the event Mr. Wang Huanran told that Pakistan has very vibrant auto policy to attract foreign investment in the country. Due to this lucrative policy, Changan chose Pakistan for its RHD vehicle production hub.

“We are excited to see the market potential not only in Pakistan but also the export opportunities that we can tap through our manufacturing and assembly facility in Pakistan.”

Wang told that Changan is the largest selling Chinese brand in China for 10 years in a row now, touching annual volume of 2,870,000 units with wide range of world class products in Light Commercial, Special Utility, Multi Purpose and passenger cars segment. It has joint venture with Suzuki, Ford, PSA, Mazda, Bosch, Nissan and Scheffler.

Nadeem Malik told that both companies will jointly invest in $ 100 million in Pakistan with Master Motors to have 70 percent stakes while Chnagan to get 30 percent stakes in the JV. Changan will have first right of refusal if Master wishes to sell its stakes. He also revealed that JV aims to get listed on stock market within 3 years.

“We wish to tap market potential while leading on technology front and offering latest technologies at affordable price to deliver unprecedented value to the customers.” Nadeem told

Changan’s entire range of RHD vehicles – for local as well as international market – will be manufactured in Pakistan
Master Motors Managing Director Danial Malik told ProPakistani that Changan has already stopped producing a line of vehicles that will now be relocated to Pakistan. He further confirmated that Changan production in Pakistan will start from December this year and export of Pakistan produced vehicles will start from next year.

“Changan’s entire range of RHD vehicles will be manufactured in Pakistan”, Danial Malik told.

Danial also told that Mastar Motors is willing to bring value and cutting edge technology to every segment of the market, with an emphasis on SUV, MPV, and LCV, followed by passenger cars and electric vehicles.

He told that company’s Karachi based plant has production capacity of 30,000 units per year.

“This joint venture will create almost 10,000 direct and indirect jobs in the country”, Danial told.

 

[hazzam]

changan kaun si car banate hai ?

 

[Kai Liu]

See my thread:
https://defence.pk/pdf/threads/introduction-of-chinese-car-companies.566195/

 

[zainkhan24]

Actually I test drive it in Dubai, they are really good.

 

[Max Pain]

Among all the other News Changan Seems to be the only company that claims of actually manufacturing in Pakistan, not just assembly, Also the plan to Shift the Production of RHD Vehicles in Pakistan and exporting them too sounds really lucrative.

 

[ALi Rizwan]

Among all the other News Changan Seems to be the only company that claims of actually manufacturing in Pakistan, not just assembly, Also the plan to Shift the Production of RHD Vehicles in Pakistan and exporting them too sounds really lucrative.

If manufacturing you mean most of the parts will be manufactured locally then i beg too differ.
Although production of parts locally is possible if Chinese company is willing to use local vendor instead of foreigner.

 

[Max Pain]

If manufacturing you mean most of the parts will be manufactured locally then i beg too differ.
Although production of parts locally is possible if Chinese company is willing to use local vendor instead of foreigner.

you can differ but the interesting part here is that they intent to "relocate" the production here so if you're planning to make Pakistan an export base then you'd have to have local production here else it'll be too expensive to make any dent. lets see.

 

[ALi Rizwan]

you can differ but the interesting part here is that they intent to "relocate" the production here so if you're planning to make Pakistan an export base then you'd have to have local production here else it'll be too expensive to make any dent. lets see.

Shifting right hand production line is Big news. Export potential.
But producing parts locally is also very important it will give your local industries boost. At least dozens of companies will get benefit.

 

[S.Y.A]

Shifting right hand production line is Big news. Export potential.
But producing parts locally is also very important it will give your local industries boost. At least dozens of companies will get benefit.

A lot of parts are already being produced in Pakistan. Take a look at PAPAM's website

 

[Asian.Century]

This is simply great:

“ China’s oldest automobile company Changan has announced to make Pakistan its manufacturing and assembly hub for Right Hand Drive (RHD) vehicle for local and export market. For the purpose, Changanwill be relocating its entire RHD vehicle industry to Pakistan with-in this year.“

 

[ALi Rizwan]

A lot of parts are already being produced in Pakistan. Take a look at PAPAM's website

Can you name any car model along with local parts Percentage excluding Mehran & Interior plastic.

My concern is too many brands and each brand with number of models. So financially it will be more feasible to import parts rather then produce locally(3rd party).

 

[S.Y.A]

Can you name any car model along with local parts Percentage excluding Mehran & Interior plastic.

My concern is too many brands and each brand with number of models. So financially it will be more feasible to import parts rather then produce locally(3rd party).

I used to work in the automotive vendor industry, Procon engg produces seats(complete stuff, from springs, recliner assembly, foam, cloth), sheet metal parts, door trims, roof headlining, wire harness, deck and chassis for trucks etc all under one roof. Many others like this producing various components for OEMs, not just suzuki. They are the ones who are launching the above mentioned Changan line (procon and mmc are both part of master group).

Automotive parts being manufactured in Pakistan.