Business

‘Fiat looking at Pakistan as next possible destination’

Italian envoy fuels hope of investment in auto sector

APP December 10, 2015

Finance Minister Senator Mohammad Ishaq Dar in a meeting with the Ambassador of Italy, Stefano Pontecorvo. PHOTO: NNI

ISLAMABAD: Italian Ambassador to Pakistan Stefano Pontecorvo has given some hope to Pakistan consumers, saying Fiat is viewing Pakistan as “the next possible investment destination”.

The Pakistani government is looking to invite another international carmaker to the current fold of just three, as it looks to increase investment in the country.

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The envoy on Thursday called on Finance Minister Senator Mohammad Ishaq Dar and discussed matters of mutual interest in the fields of trade and investment.

He said that the renowned car maker was exploring Pakistan as an option because the country has ample supply of cheap labour and has the potential to be a regional hub for exports. “Pakistan provides significant trade links ranging from China in the east to Lebanon in the west in addition to the entire central Asian region.”

Italy’s Fiat made a brief foray in the 1990s, but failed to gain a foothold before the financial crisis forced it to exit.

Pontecorvo said Pakistan’s transport, textile and energy sector hold vast opportunities to expand mutual trade.

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He informed the minister that a delegation of Italian businessmen would visit Pakistan early next year to establish contacts with the business community.

“Italian businessmen closely follow the Pakistani market and products and appreciated the skills and talents available in the country.”

Pontecorvo said that Italy was also in the process of reopening its Trade Commission in Karachi whilst reinforcing its Trade Office in the Embassy so as to better cover other cities such as Lahore and Sialkot.

Dar appreciated Pontecorvo’s plans for improving economic and business ties between the two countries. He assured the envoy that Pakistan would provide full opportunities and incentives to Italian businessmen interested in investing in Pakistan.

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“We want to diversify our exports and want to find new partners for doing business. I believe that Pakistan really has a lot of potential to promote itself and Italy is one country which provides excellent business opportunities,” said Dar.

Published in The Express Tribune, December 11^th, 2015.

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COMMENTS (7)

VGP | 8 years ago | Reply Fiat is one of the top car manufacturer in the world. However they totally failed in the Indian market in spite of introducing some very good models mainly on account of very poor quality of after sales service. Today in spite of having a fully operational plant in India they are barely able to sell any cars here. Fiat is surviving mainly because they are supplying their engines to Tata motors and Maruti Udyog for use in some of their models. Maruti would stop buying their engines in a year or so as Maruti,s own diesel manufacturing plant is coming up in India and then Fiat will be left only with Tata Motors. Tatas are also coming out with their own latest tech engines and would cease supply from Fiat. Hence Fiat is desperately looking for new markets around as its possible that they may have to shut shop in India in the distant future

Shabbir | 8 years ago | Reply @salman: Why would they do that when China has a huge domestic auto industry? The entire supply chain is there in China for any auto manufacturer that wants to sell to the Chinese. Why go through the trouble of recreating all that in a volatile country like Pakistan just to export to China and face import duties to boot?! BTW fiat already has a presence in China. A joint venture with a huge native company GAC (as required by the government).