[🇵🇰] Automobile industries in Pakistan

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1960's Karachi
Double Decker

 

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1982 Karachi ...

Morris Minor
https://en.wikipedia.org/wiki/Morris_Minor
Minor 1000
Morris Minor 1000
1960 Morris Minor 1000 2-door sedan
1960 Morris Minor 1000 2-door saloon
Overview
Production 1956–71; 847,491 produced
Assembly
Oxford, England
Birmingham, England
Victoria Park, Australia[15]
Dublin, Ireland
Body and chassis
Body style
2-door saloon
4-door saloon
2-door convertible
2-door estate
Powertrain
Engine
948 cc A-series I4
1,098 cc A-series I4
Series III

In 1956, the Minor received a major programme of updates intended to keep the car competitive into the 1960s. Where previously the Minor had been offered with a broad range of colours and trim options, the 'Minor 1000' (so named for its 948cc engine) shifted emphasis towards rationalisation of components to access improved economies of scale, and thus enabled increased production volumes to help the Minor retain a significant share of the small car market during a period where car ownership was becoming more commonplace.

The dawn of the motorway era necessitated the fitting of a new 948cc (57.9 cu in) variant of the BMC A-Series engine, elevating top speed from 63 mph to 75 mph, and reducing 0-60 mph acceleration from 52.5 secs to 31.3 secs.[22] Driving was further improved by a substantially revised gearbox, which incorporated taller ratios for more relaxed cruising speeds and a remote selector allowing a shorter gear lever and less ponderous gearchange action. This new engine and gearbox was the product of a broader engine policy at BMC, and had been developed for use in a range of their smaller vehicles, including the Austin A35, A40 Farina, and Austin-Healey Sprite/MG Midget, to maximise parts sharing and thus reduce production costs, servicing costs and consumer costs across the model range.

A series of changes to the body pressings for the roof/scuttle and bonnet panels yielded a large wraparound rear windscreen and one-piece curved front windscreen, which markedly improved visibility and lent a modernised appearance to the car at relatively small outlay.

Many of the 'luxury' items, such as leather trim, were replaced with more durable and cheaper materials, and over the course of the following years the range of available paint and interior colours was dramatically reduced. Various unique Minor trim items and components (such as light units and heaters) were also gradually replaced with ubiquitous items from the BMC range. This programme of changes succeeded in giving access to improved economies of scale to allow production to be ramped up. By the turn of the 1960s, over 100,000 Minors were being produced per year, compared to fewer than 50,000 per year a decade earlier.[23]

In 1961 the semaphore-style trafficators were replaced by flashing direction indicators. These were US-style red at the rear (using the same bulb filament as the brake lamp) and white at the front (using a second brighter filament in the parking lamp bulb) which was legal in the UK and many export markets at the time (such as New Zealand).

An upmarket car based on the Minor floorpan using the larger BMC B-Series engine was sold as the Riley One-Point-Five/Wolseley 1500 beginning in 1957: versions of this Wolseley/Riley variant were also produced by BMC Australia as the Morris Major and the Austin Lancer.

 

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1950's

 

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M-2

 

[Lulldapull]

I remember 7 years ago when I left Australia their entire auto industry got shut down. GM pulled out from making the Holden series and the Japs shut down their Toyota and Mitsubishi production. As a consequence, about 1/2 a million overall jobs got impacted and it was the end of the auto industry down under. These big MNC's determined that it ain't profitable manufacturing cars in Australia. Australia is far behind Iran or Turkey in technology/ manufacturing. They don't got nothing except coal and iron ore for export. All big business is run by a handful of multi-billionaires, total monopoly/ conflict of interest situation. Everything in Australia is very expensive, practically everything of value is imported and you pay a lot in taxes/ medicare/ rents/ housing/ insurance/ services. It's the same as that other total chutiya outfit Canada. Ain't worth living in these countries folks. Thank god I left that stupid place.

 

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[H1]BYD partners with MCPL for EV manufacturing in Pakistan[/H1]
By Tahir Ali | Gwadar Pro

Apr 5, 2024​

​

ISLAMABAD - BYD, a prominent player in the electric vehicle (EV) manufacturing world, has formed a joint venture (JV) with Mega Conglomerate Private Limited (MCPL) to establish showrooms in the initial phase, followed by the commencement of electric vehicles (EV) manufacturing operations in Pakistan.

The Board of Investment (BOI) Pakistan announced the development on Thursday, terming it "exciting news". As per BOI, the JV between BYD with MCPL, the principal shareholder of HUBCO, has been signed during the BYD Asia Pacific Dealer Conference event in Xi'an, China.

 

[Ghazi52]

[H3]Dewan Farooque Motors (DFML) starts EV production after EDB’s approval[/H3]
BR Web Desk
September 10, 2024

Dewan Farooque Motors Limited (DFML) said on Tuesday that it has commenced production of electric vehicle (EVs) at its assembly plant after receiving approval from the Engineering Development Board (EDB).

The listed company shared the development in its notice to the Pakistan Stock Exchange (PSX) on Tuesday.

“In continuation of our earlier letter dated July 23, 2024 regarding the physical verification of manufacturing facilities of Eco-Green Motors Limited (EGML) at the company’s assembly plant by the Engineering Development Board’s (EDB), the approval of which has been received and accordingly the production of electric vehicles has now been started at our assembly plant under the toll manufacturing agreement with our associated company EGML,” read the notice.

Following the development, DFML’s share price jumped to Rs52.3, a gain of Re0.91 or 1.8% at the time of this report.

Incorporated in Pakistan on December 28, 1998 as a public limited company, DFML is engaged in assembling, progressive manufacturing and sale of vehicles in Pakistan.

Back in June, DFML said it entered into a toll manufacturing agreement with ECO-Green Motors Limited (EGML) for manufacturing EGML’s Honri-VE.

The production of the vehicle was expected to commence in August, DFML shared in its notice back then.

“By the grace of Almighty Allah, we hereby announce that DFML has entered into a toll manufacturing agreement with ECO-Green Motors Limited (EGML) for manufacturing of EGML’s Honri-VE (200km and 300km range), thereby becoming the leading manufacturer of electric vehicles in Pakistan,” read the notice.

Under the toll manufacturing agreement between two companies, one company owns a design or idea for a product and supplies materials to the other to manufacture the product or parts of it.

In 2022, DFML said it entered into a Technology License Agreement (TLA) with Korea’s KIA Corporation to produce and assemble its vehicles in Pakistan.

 

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[H3]Auto sales increase 15% YoY in August amid mixed segment performance[/H3]
Bilal Hussain
September 10, 2024

Auto sales in Pakistan increased 15% year-on-year (YoY) in August 2024, as the total number of units sold in the said month stood 8,699, compared to 7,579 units in the same month of the previous year.

On month-on-month (MoM) basis, auto sales (cars, LCVs, vans, jeeps) rose 1% in August against 8,589 units sold in July 2024, according to the latest data released by the Pakistan Automotive Manufacturers Association on Tuesday.

“The YoY jump in overall auto sales can be attributed to a low base effect, as the industry faced significant challenges in the previous year,” Muhammad Abrar Polani, research analyst at AHL Research, said.

“These challenges included restrictions on opening LCs [letters of credit] and subdued auto demand, leading to widespread plant shutdowns,” Polani added.

The 1,300cc and above category recorded a strong MoM growth of 35%, with sales reaching 3,330 units in August.

The 1,000cc segment also performed well, showing a 37% MoM increase with 321 units sold.

However, the below-1,000cc category experienced a 12% decline, with sales dropping to 2,766 units, indicating consumer preference shifting towards higher-capacity vehicles.

Industry experts suggest future growth in the automotive sector will depend on a combination of policy support and macroeconomic stability.

“Potential monetary easing, along with stable car prices bolstered by a strong currency, could enhance auto financing and drive growth in the automotive sector,” said Osama Naeem, auto sector analyst at AKD Research.

However, seasoned analyst Mashood Khan emphasised that a significant recovery would not be possible without interest rates dropping to single digits.

“The auto sector cannot be fully revived unless interest rates drop to single digits, which is challenging under the current economic conditions,” he said.

In July, the central bank’s Monetary Policy Committee (MPC) reduced the key policy rate by 100bps, taking it to 19.5%.

The next MPC meeting is due on September 12 as analysts expect the State Bank to continue with its easing stance as slower inflation and improved macroeconomic indicators boost sentiment of a third-successive reduction.

Khan also pointed to a shift in consumer preference toward two-wheelers as a sign of the industry’s struggle.

“The government needs to support the four-wheeler segment with positive policies. Even if the policy rate drops to 17%, down by two percentage points from 19%, it won’t be enough to boost four-wheeler sales,” he said.

In the two-wheeler segment, sales rose 23% MoM, with Atlas Honda (ATLH) leading the charge, selling 90,483 units—a 29% increase from July.

Among the automakers, Indus Motors Company Ltd (INDU) stood out with a 28% MoM increase in its sales, totaling 2,129 units in August.

This growth was fueled by a 42% MoM increase in sales of its popular models like the Corolla, Yaris, and Corolla Cross. Sales of the Fortuner and Hilux models also rose by 1%.

 

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Sazgar Engineering Works Limited (SAZEW), a Pakistani auto manufacturer, on Monday announced its plans to launch New Energy Vehicles (NEVs) in the country.​

The listed company also plans to roll out the CKD [Completely Knocked Down] models of NEVs before the end of December 31, 2025, it informed in a notice to the Pakistan Stock Exchange (PSX).

“The Board of Directors (BoD) of the company has approved an expansion plan of the company which includes the expansion of existing paint shop, construction of new warehousing facilities, installation of solar system of 4-megawatt and construction, erection, installation of new manufacturing facilities for the local assembly of NEVs subject to the approval of relevant government regulatory authorities,” read the notice.

 

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Goodbye, Suzuki Bolan:
A legacy ends. 1988-2024

Suzuki Pakistan has discontinued the production of Bolan, also known as Carry Dabba, after a 36-year dominance in the Pakistani market. The company is slated to introduce Suzuki Every in the second week of October 2024, targeting the van segment.

 

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Founders of Japanese Auto Companies.

 

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BYD and Hubco Partner to Launch Pakistan’s First Electric Vehicle Assembly Plant​

September 22, 2024




Chinese electric vehicle (EV) giant BYD, backed by Warren Buffett, is set to expand into Pakistan through a partnership with Hub Power’s subsidiary, Mega Motor.

This collaboration aims to establish Pakistan’s first electric vehicle assembly plant by 2026, located near Karachi’s Port Qasim. Hubco CEO Kamran Kamal highlighted ambitions for Pakistan to become a key car exporter, with a focus on markets in Africa and South Asia. This marks BYD’s first foray into South Asia, following investment restrictions in India.

Pakistan’s Finance Minister, Muhammad Aurangzeb, emphasized the government’s push to transform the country into an export hub, targeting automotive exports. The BYD expansion is part of the China-Pakistan Economic Corridor (CPEC) initiative, further solidifying the growing Pak-China economic cooperation.

Chinese electric-car maker BYD’s expected expansion into Pakistan has raised hopes in the country that the Warren Buffett-backed company can help jump-start exports in the automotive manufacturing sector.

Pakistan’s biggest private electricity producer Hub Power (Hubco) said last month that its subsidiary Mega Motor was entering a partnership with the Tesla rival to set up the country’s first electric vehicle assembly plant by 2026.

BYD’s Pakistan plan would mark the company’s first venture into south Asia after being blocked in India by Prime Minister Narendra Modi’s government, which has restricted Chinese investment.

Hubco’s chief executive Kamran Kamal said in an interview with the Financial Times that the ultimate goal was for Pakistan to start exporting vehicles from the plant near Karachi’s Port Qasim.

“We have big ambitions to be the leading carmaker in this country by the end of the decade,” said Kamal. “For any industry in Pakistan to be competitive, they should be focused on the export market.”

Pakistan’s finance minister Muhammad Aurangzeb said the government was encouraging BYD to export to markets in Africa and south Asia, including Bangladesh and Sri Lanka. Trade between India and Pakistan has been reduced since 2019 after a security crisis between the two countries.

“We want that Pakistan becomes an export hub, period,” Aurangzeb said in a separate interview with the FT. “Korean brands are here, the Japanese brands have been here . . . but the reality is we haven’t been exporting.”

BYD said details of its Pakistan plans had yet to be formally announced and declined to comment further.

The company’s expansion into south Asia comes as it is also establishing factories in Turkey, Hungary, Thailand and Brazil. BYD has also been scouting locations for a new factory in Mexico.

The carmaker is expanding its manufacturing footprint beyond China as countries impose increasing tariffs on Chinese exports, including on EVs, solar panels and wind turbines.

Tu Le, founder of consultancy Sino Auto Insights, said the aggressive international expansion plans would help BYD export to fast-growing markets despite tariffs in the US and Europe.

But he warned that BYD should not expect the same “unfettered growth” the company has enjoyed in China as it learns to manage factories in different countries.

“Chinese companies are used to having a lot of control. What they are going to find is that due to labour laws, different work ethics, different cultures, they’re going to have a lot less control than they normally would,” he said.

Hubco is a joint venture partner for a number of Chinese power projects established under the China-Pakistan Economic Corridor, a $60bn infrastructure network that is part of Beijing’s Belt and Road Initiative.

The company has no prior experience manufacturing vehicles but it aims to use its extensive power generation network to set up EV charging infrastructure throughout the country of 240mn people, Kamal said.

The exact size of the investment and the types of models that will be assembled in the Karachi plant “are being discussed”, he said.

Hubco said it expected to sell 100,000 BYD plug-in hybrid and fully electric cars in Pakistan a year by 2030, representing about a quarter of total cars sold in Pakistan, according to the company’s estimates.

 

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Assemblers plan rolling out EVs, plug-in hybrids​

Aamir Shafaat Khan
October 13, 2024

KARACHI: In contrast to the introduction of the eagerly awaited locally assembled petrol-driven 660cc Suzuki Every Saturday after the discontinuation of the iconic Bolan, several new and existing players gear up to launch locally assembled plug-in hybrid and pure electric vehicles, including motorcycles.

MG Pakistan is all set to launch MG HS Plug-in Hybrid Vehicle (PHEV) in Q42024. This vehicle runs on a pure electric motor and a petrol engine. The battery can be charged on idle as well, unlike conventional hybrid vehicles where no external charging is required.

MG has been leading the introduction of innovation and specification in the otherwise conservative Pakistani market.

“MG HS PHEV will be the first completely knocked down (CKD) PHEV in Pakistan and its unveiling is planned in Pakistan Auto Parts Show 2024 to be held in Lahore in the last week of this month,” MG Pakistan General Manager Marketing Asif Ahmed told Dawn.

Suzuki launches much-anticipated successor of Bolan

He said that the MG HS, with 50 kilometres per litre mileage, is further expected to increase the market share of New Energy Vehicle (NEV), which currently stands at approximately 50 per cent in the Mid SUV segment.

MG HS has taken Pakistan by storm in 2021. The iconic British brand started producing CKD from its plant in Lahore in December 2022. MG claims to be the second-highest EV brand on Pakistani roads. The most battery-powered electric vehicle (BEV) in Pakistan is the Audi eTron.

Chief Executive Officer of eTurbo Motors, Sheikh Osama Nadeem, said the company is launching an electric motorcycle next week in Karachi.

“Our total investment in the project is Rs500 million at a six-acre land purchased for future plant expansion,” he said.

He said the company has strategically partnered with a foreign joint venture to bring advanced technology and expertise to our project without mentioning any details on foreign partners.

“We will share details shortly.”

The plant in the Site area is rolling out 300-400 e-motorcycles per month, and it can be expanded to 1,500-2,000 units per month by next year, he said, adding that more models in the production line have also been planned this year.

The new electric bike project carries 20-30pc localisation and “we plan to fully localise the product in coming years,” he said.

He claimed to have obtained a licence from the Engineering Development Board (EDB) for the local assembly and the operation meets all regulatory standard requirements for assembling electric bikes.

“Currently, we have over 50 employees working in our plant, and our production is increasing. We are also opening new positions, with plans to create over 150 jobs in the coming year,” Osama said.

On EV bike market saturation in the next one to three years, as around 30 companies are marketing e-bikes, he believed that the E-turbo EV motorcycle market still has significant growth potential despite the number of new entrants. “We focus on innovation, quality, and customer satisfaction, which we think will set us apart and sustain demand even as the market evolves,” he added.

He said charging infrastructure and public awareness are critical factors for EV adoption. “We are seeing progress with more stations being developed and increased awareness campaigns. With continued investment and government support, these barriers will significantly reduce in the next couple of years, accelerating EV motorcycle sales,” he added.

Dewan Farooque Motors Ltd (DFML) informed the Pakistan Stock Exchange on Friday that it has successfully assembled Honri EV under toll manufacturing. The first lot of EVs has been dispatched to Eco Green Motors Ltd.

Regal Automobiles will soon start assembling the country’s first electric SUV (Seres vehicles) at its Lahore plant after recently getting a license from the EDB. The formal production launch is expected by the end of this month.

Every’s launch

Pak Suzuki Motor Company Ltd (PSMCL) has launched locally assembled Every 660cc. The price of VX and VXR models is Rs2.749m and Rs2.799m, respectively, an official of PSMCL said.

A display of Every along with a test drive will be available on Sunday at authorised showrooms across the country.

It is not clear whether the company has introduced the latest version available in the world or an old model has been launched. However, as per an old practice, local assemblers usually roll out old models.

Published in Dawn, October 13th, 2024