Pak Suzuki might move its assembly plant out of Pakistan

Suzu

Electricity crisis didn’t seem to improve and it was essential for the industries to run, but priorities of many managers and owners of industries located in Karachi shifted towards the security situation as it was deemed even more uncertain and fragile. It has far more devastating consequences on the industrial production and operation than load shedding.

Pak Suzuki as sources said, is working on moving out its assembly plant to Bangladesh due to load shedding and security uncertainty while the later has more influence on this move by PS.

Pak Suzuki exports Ravi pick up and Liana to Bangladesh along with several other components and Bangladesh, given its recent reputation as being stable, a lot of other companies are also considering to move to Bangladesh, Sri Lanka and other countries as they provide security and electricity.

Industrial production has remained suspended for more than 30 days in 2011 so far at the Korangi Industrial Zone due to strikes and protests therefore; local industrialists are forced to move out their businesses.

While Pak Suzuki success in Pakistan owes to lack of options amongst the buyers however Pak Suzuki is a major assembler in Pakistan providing jobs and also exporting vehicles to various countries and if it ever moves out, than this will be a major blow to Pakistan’s economy and the vehicle price, which will rise phenomenally as added costs, such as freight will be added.

Baber K. Khan

An auto enthusiast trying to bring car media mainstream.

  • Now may I call this unprofessional reporting? May we may the luck to be informed of the sources where this news came from? PakSuzuki’s plant in Pakistan is to serve the Pakistani market, and the exports do not constitute even 2% of the total sales, so how would moving this plant to Bangladesh make any economic sense, especially when PakSuzuki will lose the Pakistani market completely owing to the high tariffs its cars will be subject to if imported from Bangladesh to Pakistan. A car plant is not like a textile plant, and it’s totally not feasible to pack it and move it.

    In addition to losing the Pakistani market, the establishment of a plant in Bangladesh would also not make sense even for serving the Bangladeshi market, because (1) it’s not big enough, (2) it doesn’t offer enough tariff protection like Pakistan does, (3) it’s already being served by Maruti from India.

  • Muhammad Mubashir Khan

    Yes every party has its own rules and thinking if it is followed accordingly then country can move on one system yet here everyone as a leader wants to establish his own system which promote him/her more rather promotion of this country which was taken against Two nation theory and till now nothing executed and all leaders only tried to establish their own product which lastly give satisfaction to them & their party rather fruitful to nation & country. Now its time when nation must stand up and unite to save Pakistan from all such leaders who cannot admit their fault and don;t work to strengthen Pakistan all the talk shows appearing on TV/MEDIA is now seems as opportunities address rather to produce solution to these opportunities. Reasoning for every failure cannot lead this nation to success once nation don;t work right track as results cannot be derived in one month or so but now once Election starts commit all nation that we will cast our most valuable vote to that party who will show their long term success agenda and MEDIA will audit their progress on monthly basis what this party achieved in this month and what was loss rather giving golden words to this nation and showing everything is going good. (Pray to Allah that bless this nation & country)

  • Muhammad Mubashir Khan

    Allah bless pakistan.

  • Asim

    Game Over for Pakistan. Pakistan is next Somalia. It’s gonna happen with in 5 yours.
    God Bless Pakistan.

  • Kalam Khan

    Congratulations to PPP and allies… they are achieving the targets…..

  • Kamran Hussain

    good riddance if they go … have sucked our blood and money for too long….

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  • It is really worst for developing country like Pakistan. They are already in trouble water and now with this situation they will be down more. God bless Pakistan and its people.

  • ABID BASHIR JANJUA

    Keep the hope alive even in worst condition. Let us fight like the brave nations and contribute at our levelb to get our status back. InshaAllah we will rise.

  • ToofaneBatameezi

    News is always generated from thin air. Saleem Shahzad lost his live because he didn’t name out his sources to the Intelligence services of Pakistan.

    Source needs to be protected here but he’s someone who spent a lot of days in PS has given this report.

  • Shola

    Dear Bros and Sisters,
    The quality of comments on the news article are certainly baffling. While we all wish GOD BLESS PAKISTAN but we ourselves arenot ready to bless Pakistan. What I am referring to is reducing corruption at our levels no matter how small it is. This corruption leads to having corrupt leadership. I have decided that no matter I would vote in the next election to bring the change we always talk about but never bother to make an effort for.

    Investors wont stop leaving the country if things dont change. And if things dont change then no matter how much we wish and pray we will continue to lose our way as a nation. Lets make that change happen at our level and communicate to our fellow citizens. We ARE the change !

    InshALLAH
    Regards

  • pakistani

    Great news! Screw pak suzuki. They make coffins not cars! Let them move to sri lanka etc, and they’ll get a big boot up their rear ends there when folks tell them to go to hell for making third class cars. and all you engineers at pak suzuki, you should become carpenters in some low paying job, shame on you for even calling yourself an engineer

  • Thanks to PPP government – Roti, Kapra, Makaan

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