Auto industry to add Rs 80Bln new investments in Pakistan
KARACHI: Auto assemblers have plans of expansion costing about Rs 80 billion to come up on line by 2010. The plans have been chalked out to offset the effect of the new trade policy which has allowed concessions in the duty for import of cars.
The government has recently liberalized the import policy in order to bridge the demand supply gap of 40,000 cars per annum.
However, influx of imported cars will eat away a portion of the market share and it is lightly that the manufacturers may hold back measure expansion plans.
The changes in the government policy provides an opportunity for the auto manufacturers to enhance their trading income by benefiting from the cut in CBU duty.
It will be interesting to see as to how the local assemblers respond to the challenges that they currently face
http://www.pakistantimes.net/2005/08/12/business2.htm