Pak Suzuki plans a second auto plant to manufacture 100,000 vehicles a year

Pak Suzuki plans to set up a second vehicle assembly plant in Karachi and manufacture 100,000 more vehicles a year.

At the inauguration of the Landmark occasion of 2 million vehicles line-off in Pakistan, on November 26th 2018, Global Suzuki Chairman Osamu Suzuki announced to make an investment in Pakistan. As per the reports, the total investment as per plan by Pak Suzuki Motors would amount to $450 million and the 80 acres of land, acquired for the second plant, has been procured right next to its existing site. 

Recently, in a meeting with Abdul Razak Dawood – Prime Minister’s Advisor on Commerce, Textile, Industries Production and Investment, Pak Suzuki discussed acquiring Greenfield A Category incentives for their new plant.

Suzuki Pakistan

In the letter to the Advisor to PM, Pak Suzuki mentioned about their 30 years tenure in the auto industry and how they have become the largest manufacturer of passenger and light commercial vehicles and uplifted the economy of Pakistan.

Read More: Suzuki Alto 2019 – What to expect

Moreover, the company has mentioned their plan of producing 2 million vehicles, becoming the first local automaker to achieve this milestone. “We achieved this only with your efforts to pursue and ensure consistent and coherent policies with a view to nurturing business environment favourable for investors.”

Notable Replies

  1. Before going for new car assembly plants; why don't Pak Suzuki first improve the quality of cars, which are already being assembled here? At their current plants?

    All sane people know, how they became :v: largest manufacturer of passenger and light commercial vehicles :v:! :smirk:

    What??? :flushed: :scream: RIP ADP 2016-2021! :expressionless:

    A moment of Silence for all those, who think that automotive industry can flourish here! :no_mouth:

    As per page 19/66, Category A-Greenfield Investment has been defined as installation of new and Independent automotive assembly and manufacturing facilities by an invester for the production of a make, not already being assembled / manufactured in Pakistan

    Does Pak Suzuki fit this criteria? Is it a new entrant? Is it not assembling cars here since 1980s?

    If Greenfield status is to be given to Pak Suzuki, which is already assembling cars since many years; then whats the purpose of this Greenfield status? What's the fun in ADP 2016-2021? Which gives Greenfield status / incentives to newcomers (and not the existing ones, like Pak Suzuki, which are already assembling cars)? And if I am not wrong, then Brownfield status is for reviving dead / defunct assembly plants.

    Pak Suzuki is neither a new entrant, nor has any dead / defunct assembly plants; so I do not think, it's eligible for Greenfield & Brownfield incentives. And if our Govt. gives such incentives to Pak Suzuki, then it will be severe violation of ADP 2016-2021, and discouraging for new entrants! CCP in their verdict, also opposed giving such inecentives to already existing market players!

    Our Govt. should strictly oppose any such suggestion by Pak Suzuki, and Pak Suzuki should consult a concise dictionary and search for the terms dignity, honor, customer care, respect, QA/QC and then; shame! I believe, the terms will not be difficult to understand and comprehend.

  2. Its almost 4 years they are trying to get the incentives for new entrants under the automotive policy 2016-2021, last Govt refused them numerous times, infact they showed quite a tantrums and threatened to shifting their investment to Iran or somewhere else.

    PTI should never agree to this scheme, as this turns the new policy to joke.

  3. I propose, they shift their investment from here. At least, we get rid of their vehicles.

    And they can try their luck in Iran. It's only here, their low standard vehicles are assembled and sold. Country like Iran will never allow this practice in their country; they will have to either improve their quality, or move from Iran too!

  4. Exactly they have nowhere else to go, where else would they find such a cushy place to sell their obsolete/outdated garbage, anyhow incentives in new policy were to attract new entrants and provide them the foothold with duty free import of assembly plant and discounted CKD kits for half a decade, this policy was never intended to increase the profit margins of existing players (who have already enjoyed these sorts of perks when they entered Pakistan).

    Govt should not budge to these crooks, otherwise they will build existing decades old localized garbage in old plant and shift all the rest of production to new facility and rob us blind for another half a decade and continue with their monopolistic behavior.

  5. 100 percent agree.

    Pak Suzuki is one crappy car company that is literally roasting people's wallets since decades.

    My company has recently given my zero meter Mehran, which I will return once I buy my own Civic 1.8 in a few months. The ride is extremely inconvenient with strange noises seem to be coming from literally everywhere inside the car.

    I would never spend nearly +10 lacs on Suzuki cars that are the state of the art of crappy engineering.

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