CPEC opens doors to Chinese auto companies

Automakers will provide more options to customers in Pakistan


Our Correspondent August 12, 2022

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LAHORE:

The automobile industry is an integral part for the development of highways, roads and other infrastructure and it has great significance in CPEC-related projects, said Wang Zihai, President Pakistan-China Joint Chamber of Commerce and Industry (PCJCCI).

“CPEC (China-Pakistan Economic Corridor) projects are strategically important and beneficial for the economies of both countries and Pakistan’s automobile industry is one of the main beneficiaries of CPEC,” he noted while speaking at a think tank session held at the PCJCCI Secretariat.

China-Pakistan automobile cooperation was a win-win choice as new Chinese auto sector entrants in Pakistan would bring more options to local customers, Wang added.

China’s Belt and Road project has now been developed through which Pakistan is importing automotive parts and completely knocked down (CKD) kits from China at cheaper costs.

Owing to unemployment, Pakistan had a low labour cost, therefore, the country could develop Chinese-origin vehicles with little investment, he said.

“If sold at economical prices, these vehicles can capture the domestic market,” Wang stressed, adding that due to the high rate of inflation, the government should initiate low-cost vehicle manufacturing for the comfort of people.

Speaking on the occasion, PCJCCI Senior Vice President Ehsan Choudhry shared that CPEC had opened doors for Chinese companies, which were willing to invest in Pakistan’s automobile sector.

He added that one of the automobile giants of China, Chery, launched its new RHD (right hand drive) strategy in 2019 and selected seven countries as its key potential markets, including Pakistan.

Published in The Express Tribune, August 12th, 2022.

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COMMENTS (1)

test | 2 years ago | Reply Glad to here this that chinese want to manufacture cars in Pakistan. But let me make it clear again. There is no room for assembling in Pakistan because we will not do any assembling any more. All we will do is manufacturing. The problem is assembly is directly proportional to imports bill which means more the assembly the more is imports. We should go for manufacturing. An all in all locally made cars are better for the needs of 220 million people otherwise our economy doesn t need anything to be described. Long Live China Pakistan friendship i am looking forward the completion of CPEC. I just want to say our govt must complete CPEC ASAP. I just want to the point where Pakistan will be receiving profits from China. We must stand with China and Russia as far as Russia is concerned it must cut its ties with india otherwise india will push him towards wrong gate of the world. So Russia must stand with Pakistan rest if russian choice of going with Pakistan or not because if you want to go with Pakistan then you must cut ties with india at all. We can help russians in many ways many.
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