It's a shame that despite being the sixth largest country in the world in terms of population size (heading to become fourth largest by 2050 according to UN estimates) our auto industry is not progressing at all. Countries with even lower local production volumes than Pakistan have more options and at least manufacture cars with safety features. Asides from maybe civic (which is largely not localized) none of our mainstream passenger cars meet any safety standards whatsoever. Safety is largely ignored in cars with especially higher level of localization. Paksuzuki is the king of exploitation in the country.
Recently they, along with lobbying from other PAMA members are modifying the upcoming Auto Industry Development Policy heavily.
The big 3, especially Paksuzuki is lobbying for the following (as per news sources).
- Assemblers should not be forced to replace model after even 30 years (they are lobbying to get the proposed 10-15 year model replacement rule cancelled)
- Government should not adopt modern emission standards. Euro IV and Euro V. (because Paksuzuki does not want to transfer technology)
- Government should not give incentives to new assemblers to enter (so that their monopoly remains intact, they do not want volkswagen, chevrolet or any other assembler to enter because it will create competition for them)
- Government should not introduce safety testing or make airbags mandatory.
- Government should not punish them for not meeting localization targets which they committed to back in 1980s. (All auto assemblers failed localization targets, it took PakSuzuki over 20 years to achieve significant localization in Mehran)
I only hope there is some competition soon else industry will stagnate and only be able to produce significant parts for 1980s era Mehran which cannot be exported at all due as its technologically obsolete and meets no international safety standard.