Exploring avenues: Pakistan seeks to attract General Motors

Published: July 14, 2012
is the value of the
GM-Chevrolet manufacturing
project in Pakistan. PHOTO: REUTERS

INVESTMENT: $15m is the value of the GM-Chevrolet manufacturing project in Pakistan. PHOTO: REUTERS


The Adviser to Prime Minister on Industries Muhammad Basharat Raja said that talks were held with delegations of Korean Company and General Motors (GM) to motivate them to invest in Pakistan and he hopes for positive results.

Raja told the National Assembly that the government is considering giving more incentives for investment in car manufacturing in the country. He added that presently one hundred and fifty thousand cars are being manufactured in the country and fifty thousand are being imported annually which are not sufficient to meet requirements.

General Motors, the world’s largest automaker based on sales has brands like of Cadillac, Chevrolet, GMC, Opel and Vauxhall under its belt. In Pakistan, General Motors markets its products through Nexus Automotive Limited, the exclusive importer and progressive manufacturer of the automaker’s products in the country. Nexus started manufacturing Chevrolet Joy in Pakistan in December 2005 whereas other GM products sourced from the global GM network are also planned for introduction to the local market. Nexus uses idle capacity at the Ghandhara Nissan Limited plant at Port Qasim to assemble Chevrolets, under the GM contract assembly agreement.

The project estimated value is $15 million and GM-Chevrolet has provided full support to ensure that the local components and the car assembled here meet GM quality standards and customer expectations.

Auto sales in fiscal 2012 stood at 157,325 units according to the data released by the Pakistan Automotive Manufacturers Association. In terms of car sales, Pak Suzuki Motor Company is leading with 95,142 units followed by Indus Motor Company and Atlas Honda.

Published in The Express Tribune, July 14th, 2012.

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Reader Comments (7)

  • B
    Jul 14, 2012 - 8:54AM

    our auto industry has been completely dominated by three or four companies for the last 30 35 years they have created monoply and are not letting anybody get in


  • Jul 14, 2012 - 10:39AM

    With rising middle class, the auto sales in Pakistan have been rising at double digit rates after a brief pause in 2009. And demand continues to outstrip supply making it an attractive market opportunity. Auto industry prospects in Pakistan are very good.



  • Faisal Y. Feroz
    Jul 14, 2012 - 12:32PM

    For heaven’s sake.. we need good public transport.. sky-trains, a well managed and economical bus system.. there is not enough space for more cars and motor bikes..
    This is just going to create a sharper rise in accidents, traffic jams, stress and of course the fuel cost..

    We do not need to give cars and bikes to every household.. every one can use these alternate solutions the middle and upper middle class.. its economical, safer and stress free !!

    I just wish our country’s decision makers could have a vision !!


  • Jul 14, 2012 - 7:50PM

    Feroz: “For heaven’s sake.. we need good public transport..”

    I agree. But Pakistan’s per capita car ownership is among the lowest in Asia. So it’s not either or. It’s both.

    And building cars in Pakistan will boost the manufacturing sector which will provide needed jobs and stimulate the economy.



  • antanu g
    Jul 14, 2012 - 8:35PM

    @Faisal Y. Feroz:
    surprising that you oppose setting up of industry. what you suggest is not possible without industrial development.


  • Abdullah
    Jul 14, 2012 - 10:26PM

    Wow 60% of the sales were made by Suzuki… Impressive


  • Iqbal
    Jul 14, 2012 - 10:30PM

    As an economist, the basics of all basics is first to have law and order for foreign companies to invest in Pakistan. Pakistan ranks 13th in the failed countries index and in my lifetime I am not expecting this to change materially. As Bhutto once said “even if we have to eat grass, we will make nuclear bombs” That reality is round the corner. Our obsession to build an army which we could not afford has ruined our economy. As a nation we have failed.Recommend

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