Four companies get nod for auto plants

on 21/07/2017

The federal government has granted permission to four automobile companies to set up their assembly/manufacturing plants in Pakistan. In June, three companies were granted permission by the government, a move that would result in a total investment of $372 million. The government is expecting a total of $2 billion to make its way into the country as the number of companies interested in setting up their plants goes up. As per estimates, one plant needs an investment of around $500 million and all four auto manufacturing plants are believed to invest $2 billion in the industry.” In July, two more firms will be allowed to set up plants which is expected to attract around $1 billion as investment. A total of nine companies had applied to set up new manufacturing plants of them four have been granted permission whereas two are in process of completing documents. It was earlier reported that United Motors Private Limited, Kia-Lucky Motors Pakistan Limited and Nishat Group, which is collaborating with Hyundai, have been granted permission. Moreover, the official said that Regal Automobile Industries Limited Karachi has also been given permission. The remaining five entrants who have applied include Habib Rafiq Private Limited, Khalid Mushtaq Motors, Pak-China Motors, Foton JW Auto Park, and Cavalier Automotive Corporation.