Since the government announced its auto policy 2016-21, many local and foreign automakers are gearing up to establish new plants in the country, and some have even started establishing new plants. In December last year, Hyundai Nishat Motors held a ground-breaking ceremony for its assembly plant in Faisalabad. And now many rumors are circulating on social sites and local media outlets are also reporting, and according to them, Renault has also decided to set up its plant in Faisalabad. It is said that due to not allocating the land for the plant on the assigned time, the company has decided to build their plant in Faisalabad instead of Karachi. The Government of Punjab is offering cheap land to French automaker to establish its plant in the province. Moreover, parties have even inked initial agreements in this regard as well.
It is pertinent to mention here that it was also reported that Pakistan Steel Mills (PSM) and National Investment Park (NIP) were not giving any relief to the company rather creating hurdles for it. Moreover, it was also promised to the company that world-class facilities would be given to it; however, it didn’t happen at all, which discouraged the investors as well as Renault. These are also the reason the company decided to move to Faisalabad.
Last year in November Renault signed an agreement with Al-Futtaim and released a press release, in which it was stated that the parties would establish a new plant in Karachi. However, now it seems that it might not happen.
Read Also: Renault in Pakistan: From rumours to reality
It is to be noted here that it was reported by many media outlets that the company would launch its iconic Duster SUV in the local market to grab the SUV segment; however, till now no confirmation has been made in this regard by the concerned parties.
Aside from Renault, Kia Motors is also all prepared to launch its vehicles in Pakistan. It is expected that the Korean automotive giant might launch four new vehicles. Let’s hope they do so.
That’s from our side, drop your thoughts in the comments section below.