Suzuki Motor plans to invest around USD460 million into Pakistan
Pakistan: Japan based
company Suzuki Motor plans to invest USD460 million into Pakistan if the
government provides the correct incentives and amendments in its auto policy,
the company said on Friday, 6th May 2016.
In the month of March’16 Pakistan government announced a new automobile
policy that favours potential new players to enter in Pakistan automobile
market, over prevailing manufacturers by offering them lower duties.
The Pakistan
Suzuki Motor Company, which assembles Suzuki cars for the domestic market, said
it had concerns that the new auto policy may "damage the incredible
investment potential in the Pakistan automobile sector by existing players such
as Pak Suzuki Motor Co".
Suzuki motor, investment would include establishment of a new passenger
car manufacture plant on an "urgent basis" and from this plant Suzuki
would introduce four new models within five years, including two new models by
2018.
According to a recent report published by TechSci Research, “Pakistan Tyre Market Forecast and
Opportunities, 2020” Pakistan is a developing nation in Asia-Pacific,
accounting for a population of over 185 million in 2015. As a result of
increasing vehicle ownership, coupled with the growing road infrastructure in
the country, tire market in Pakistan is expected to witness modest growth over
the next five years. Tire market in the country is dominated by two-wheeler
tire segment, followed by passenger car tire segment.
As
per TechSci Research, Suzuki Motor planned
investment in Pakistan automobile market, would help Company to expand its
product portfolio in the country automobile market and will also simultaneously
boost the OEM tire demand in the country.