CPEC opens doors to Chinese auto companies
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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