Hyundai plans to set up assembly plant in Pakistan

[RajaRawal111]

LAHORE:

Hyundai Motor Company (HMC) plans to set up a car assembly plant in Pakistan in a joint venture with Pakistani textile giant Nishat Mills, a Nishat Mills official said on Friday.

Hyundai, South Koreas largest automaker, has been seeking a local partner to set up an assembly line in Pakistan, Nishat Mills company secretary Khalid Chauhan told Reuters


Today we have signed a memorandum of understanding between the two companies and we will set up a project for the assembly and sales of both passenger and commercial vehicles, said Chauhan.

The project will be subject to statutory and regulatory approval, he added.

In a notice sent to the PSX today, Nishat Mills conveyed that it has entered into a MoU with HMC South Korea and Sojitz Corporation, Japan for negotiating and establishing a framework for setting up a green field project for assembly and sales of HMC passenger and 1 ton commercial vehicles in Pakistan

Source link: http://www.reuters.com/article/pakistan-hyundai-motor-idUSL4N1FO2GH

 

[RajaRawal111]

Personally I am not a fan of cars in abundance. I always back the mass transit projects like Metros and Trains as it takes load of from the roads and city management. But this is also and indicator of how people look at the future of Pakistan.

 

[P4kistani]

Hyundai ki gaaria buht achi aur paidaar hain.. Magr Pakistan inhay anay koi nhi dy ga.. isi tarah 3 saal pehle volkswagen ki bhi khabrien thie.. magr ise tu koi b kam karnay se pehle commission system hai..

in har-am khooro nay tu Uber aur Careem ko bhi nhi bakhsha

 

[ninetykman]

We need local manufacturing, not just assembly. Car assembled in Pakistan are junk. They do not meet any safety standards. Car industry is another Cartel which is looting people.

 

[Raaz]

مبارک ہو

ورنہ تو پاکستان کی سٹیل مل بھی بند ہو رہی تھی
ہمارے لوگ کچھ نہی بنا سکتے - کمشن کے سوا

 

[Mr Justice]

More & more cars and no adequate laws, drivers training / screening procedures are generating pathetic drivers in the tons.

 

[jyvaskyla1]

good news.....

 

[uturninqlab]

(bigsmile)شکریہ راحیل شریف

 

[devoid feast]

when will we make our own???? why let others cash this opportunity. then i realized if the people in power invest their money outside why would some one else.

 

[Citizen X]

Hyundai ki gaaria buht achi aur paidaar hain.. Magr Pakistan inhay anay koi nhi dy ga.. isi tarah 3 saal pehle volkswagen ki bhi khabrien thie.. magr ise tu koi b kam karnay se pehle commission system hai..

in har-am khooro nay tu Uber aur Careem ko bhi nhi bakhsha

Exactly when these companies realize that until they line the pockets of officials it is impossible to get anything done, they leave at 10 times the speed they came at.

 

[Lord Commander John Snow]

Hyundai to set up assembling plant in Pakistan

KARACHI: Nishat Mills Limited (NML), one of the largest integrated textiles mills in the country, on Friday announced that it has resolved to enter into a Memorandum of Understanding (MoU) with Hyundai Motor Corporation (HMC), Korea and Sojitz Corporation, Japan to set up a green field plant to assemble Hyundai vehicles in Pakistan.


The joint venture will produce HMC passenger cars and 1-ton range commercial vehicles in Pakistan, according to a notice sent to the Pakistan Stock Exchange (PSX).


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However, the notice added, the project is subject to applicable statutory and regulatory approvals. NML share price closed at Rs169.52, up 2% on a day when the KSE-index declined by 110 points or 0.22% to close at 49,555.


After the announcement of the new auto policy in March 2016, a number of foreign automobile companies have announced to set up their plants in Pakistan.


Just two months ago, Lucky Cement, one of the largest cement makers in Pakistan, announced that it will set up a car plant in collaboration with Kia Motor Co with an investment of Rs12 billion.


Both leading Korean automobile companies, Hyundai and Kia, used to assemble cars in Pakistan but left the market mainly due to the liberal used car import policy in the Musharraf regime.


In November 2016, French carmaker Renault also agreed to invest in a new factory in Pakistan and the production phase is expected to start in 2018.


The re-entry of Korean brands is a big success of the PML-N government, which took over two years in announcing the new auto policy to give attractive incentives to new entrants and those who left Pakistan earlier. The government wants to encourage new players to invest in the local market, which is currently dominated by only three Japanese players.


Loads Limited CEO more than just bullish on Pakistans auto sector


Analysts say the trust in foreign companies on Pakistan is growing while the lucrative automobile market is attracting them to the country.


Pakistans car penetration of 13 vehicles per 1,000 persons is significantly lower than the regional average of 162, which shows there is a strong potential for automobile growth due to growing disposable income and low interest rate in the country.

Source