MG HS ; Dedicated Discussion, Owner/ Fan Club Thread

[hollywood]

Only a delay tactic. The most readily available were with red interior, black and white both. Moresoever, white with beige were and are most commonly HS available.

[hussain182]

i think gov does not plan on banning imports of used CBUs. just brand new ones. so land cruisers, prados and miras will still be there.

I highly doubt government will ban New CBUs but let used ones slide

[uzairfan]

these used JDMs are sort of out of reach precisely due to the increase in dollar rate. A 5 grade Mira costs almost 2.3 million now. Similarly a facelift vezel costs over 5 million, while there are better options available here. But lets see...

[engineerjibran]

Problem is that even pkdms dont lose value even after 3 years. In some cases a brand new vehicle is cheaper than a one year old one. I agree that JDMs are very expensive but if you get a good one its really class apart from the local vehicles. They come with all kind of safety features and other toys.

If you want to buy passo today its like 26 lacs for which you can buy a brand new yaris compare it with 23 lacs cultus and 22 lacs picanto and you would know that those 3 lacs are worth it.

[fazalwahab11375]

As per available information, all CBU's regardless of brand new or used will be banned [ temporarily] . They are even planning to increase regulatory duty on the higher displacement locally assembled vehicles/ CKD as well.

[pwuser15093809934]

https://www.facebook.com/Mgloungelhr

[engineerjibran]

Instead of implementing emission standards we take the easy way out of targetting higher displacement vehicles. Very old standards really.

[pwuser15093809934]

Car imports and current account

An industry insider informed BR Research that back in 2016-18, many luxury cars (such as Land Cruisers) were imported by some embassies under concessionary duty structure. The number was much more than the needs of their staff. Technically, these cars could not be sold in a certain time period (say 3-4 years). But these were being sold in an advance agreement.

The numbers suggest that this phenomenon is less now. This means that there are less luxurious cars being imported now. Out of over 10,000 cars being imported in FY21, around 30-40 percents are MG HS and another 10-20 percent would be CBU imports by other new local assemblers. Certainly, there are E-trons and Land Cruisers being imported, but the number is probably less than what was in the past.

The growing number in 4MFY22 of CBU imports at $124 million probably has a lion share of MG HS. There are around 9,000 MG HS being imported and out of that, around 60 percent are in the current fiscal year. But these are based on last year’s demand. The company wanted to deliver earlier. However, due to supply chain disruption, the deliveries are being delayed. There is a backlog of other 2,000 MG cars which are being booked (or planned) that are yet to be imported. The fresh demand for MG is now low. Same is the case with other new entrants that are importing to serve the demand generated last year.

Also, EV E-trons are not being imported in thousands as perceived by many. The company is supplying 40-50 cars a month and at this pace, the number for the full year would be around 500-600.

brecorder.com/

[hussain182]

From the same article

_ Some facts: Cars imports (CKD and CBU) share in total imports stood at an average of 2.1 percent in FY17 and FY18 – two years of the previous Bull Run. The number stood at 2.4 percent in FY21 and is at 2.6 percent in 4MFY22. The share of car imports is growing but still, the toll is one-fortieth of total imports. And within this, CBU is even less. CBU’s share in car imports averaged at 38 percent in FY17 and FY18, and the toll was down to 19 percent in FY21, and the ratio is also at 19 percent for 4MFY22._

So 19% of 2.1% meaning ALL CBUs make up 0.39% of total import bill!
And supposedly banning them is gonna solve all our current account deficit deficit problems??
If a certain company is involved in illegal practices like under invoicing etc, punish the company and not ban import completely.
Not gonna help anyone but local assemblers. Premiums already through the roof.

[fazalwahab11375]

I agree that CBU are like a small grain BUT any company who got the Greenfield status MUST start CKD and government must enforce minimum % of localization. Unfortunately, some companies are more into CBU imports and has no timeline for the CKD.. MG HS so called CKD rolled out in May 2021.. in reality there is no CKD on the showroom floor and no one knows when one will be available. Instead there are over 2000 more CBU at port at this time waiting clearance.

I hope MG as well as BAIC / HAVAL share their operational details publically so, consumer can have confidence on these brands.

MG is also violating the rules of Greenfield requirements as they actually imported SKD. Too many iffs and butts with MG operation in particular.

I hope MG as well as Haval and BAIC share their operational details publically with timeline of locally assembled product line as well as establishing full fledge country wide dealerships. This will help the brand as well as consumers will have more confidence.

[hussain182]

I completely agree that MG seems like a shady operation and had been abusing the auto policy to sell CBUs.

But we all know how they are able to import at the price they do (thanks to your efforts in exposing their underinvoicing scandal). If they were paying full duty there is no way they would be able to sell anything.

[fazalwahab11375]

[hussain182]

Tbh part of me wishes they permanently ban them. Taxes were already so high that imports were not a genuine competition to local assemblers anyway. But still being used as an excuse by them. Now that excuse will be gone too.

Plus maybe now the decision makers will have to ditch their LCs and line up 8 months for a fortuner or pay 15 lakh premium and realize how it is for a regular sedan/hatchback buyer.

And lets see what billions in foreign exchange we save.

[chinyoti]

Plus maybe now the decision makers will have to ditch their LCs and line up 8 months for a fortuner or pay 15 lakh premium and realize how it is for a regular sedan/hatchback buyer.

Commercial imports would be banned, not for government sector.

Secondly, do you really think the decision makers need to wait in line like a normal customer ?

Na Nasla tower gireiga, na kuch hoga is mulk ka.

This would only increase black marketing, premium mafia.

They want to ban import of imported tires. When General tire alone cannot feed the entire countries demand. This would again cause backlog and supply chain issues.

[Luke_mani]

Prices for MG steadily decreasing in the market.

[shujah4]

Reason?

[Undeadking0001]

Higher availability

[saadafaq]

Over supply, lack of genuine buyers, investors competing to sell quickly. Basically more and more ppl are realising the risks- future of the company is quite uncertain, local production is nowhere in sight and the shady practices of Mr. Afridi continue...

[shujah4]

Yes. Future of MG is uncertain in Pakistan with no localisation uptil now.

[hassannabeel27]

I am seeing more and more MGs in DHA islamabad in last 2 weeks. Seems like people are now buying it as OWN is gone and delivery is ready for MG ZS at least.

JW-SEZ is owned 51% by SIAC. So management rights might be with Chinese company. I hope they are here to stay as their product looks better than other china brands.