‘Yunus Brothers, Kia Motors to set up auto assembly plant’

[Bashido]

for someone who is buying a new car, parts availability is not a big concern. I always lease a car mostly for 5 years, I dont do any schedule service, just the oil changes and thats all...never needed any part. I am sure once a new car is introduced in the market and after few years parts demand will be created and importers will import.

issue is not availability of Parts but change in Mind set. Mohallay walay kya kahe gai k konsi gandi car lay li

 

[xyxmt]

Yes it is... Once the parts are rare you will se hike in maintenance cost because we are too good in manipulating such chances....everything can be imported yes but I am talking about something being locally made? We expect their parts to come from abroad with extra tax and duties?

Local parts makers have no love for Honda and Toyota, they will make whatever parts has demands

 

[PakGuns]

Local parts makers have no love for Honda and Toyota, they will make whatever parts has demands

... Just like RC cola to exemplify, the bottle makers were threatened to cut the purchase of bottles by cocacola and pepsi at that time and RC 's refills were destroyed by these two bigs, yes there is no love agreed on tha

 

[F86 Saber]

Hyundai Accent

Elantra

I-20

KIA Optima

Renault Megan

These are all beautiful carsi would choose over Suzuki, Honda and Toyota.

 

[Ryuzaki]

Interesting,Kia is also setting up plant in India

 

[!eon]

Don't pay much attention to such news and keep driving Corolla and Mehran my brothers and sisters

 

[AZADPAKISTAN2009]

There should be ban on Assembly unless "Design" and creation is done locally i.e Designed and parts made in Local market every 2-4 years at least 1-2 Models 100% made locally

Need to hire "Engineers" locally in country where they sell teh stuff

I hate this "Assembly bazi"

 

[Basel]

KARACHI: The Yunus Brothers Group (YBG) is in talks with South Korea’s Kia Motors Corporation to set up an auto assembly facility in Pakistan.

The sponsor of Lucky Cement and ICI Pakistan, YBG is in the initial phase of negotiations with the South Korean company and few details are available so far, said BIPL Securities in its report on Monday.

Kia’s latest initiative follows a strong line-up of auto manufacturers, including Nissan-Renault, which has expressed interest in building assembly facilities in the Japanese-dominated auto industry of Pakistan after the introduction of a new auto policy in March.

BIPL said a growing car market, strong potential for growth in demand under the China-Pakistan Economic Corridor (CPEC), low interest rate environment and attractive policy incentives provide a compelling case for foreign automakers to step into the Pakistani market.

Car sales grew at a compound annual growth rate of 17 per cent in three years ending on June 30, 2016.

Pakistan’s car penetration of 13 vehicles per thousand persons is the lowest in the region and hovers at 55pc below the regional benchmark. While details about the size and specs of the new plant – expected to take two to three years to be operational – are still awaited, the investment bodes well for local auto-part manufacturers who will likely expand their operations given the sizeable increase in demand.

The new auto policy envisages doubling the production of cars/vans/jeeps and light commercial vehicles to 429,000 units from the current level by 2021.

BIPL contends that the project will be a win-win proposition for both partners. One player will get access to a new market while the other will be able to diversify its operations into yet another booming sector of the economy following its successful entry into chemical and power sectors.

Pakistanis already had experience of driving locally produced Kia Classic NGV and Kia Spectra from 1999-2000 to 2004-05 under a joint venture with Dewan Motors.

According to the Pakistan Automotive Manufacturers Association (Pama), the production of Kia Classic in 2002-03 was 459 units, which plunged to 188 in 2003-04. Kia Classic’s last year of production was 2004-05 when 465 units were produced.

The production of Kia Spectra in Pakistan began with 890 units in 1999-2000, followed by 1,784 units, 2,091 units, 384 units, 73 units and only one unit in the subsequent five years of its production.

Published in Dawn November 22nd, 2016

Kia ceres (mini truck) Sportage (SUV) and Classic (Car) were well accepted in market, hope they bring good products in future.