Pakistan’s federal government has stated that French automaker Renault is preparing to invest in a regional assembly plant with production due to begin by 2018.
Finance Minister Ishaq Dar consulted with Renault executives in France in September as a part of broader efforts to bring in more foreign automakers to its car sector, a declaration from Prime Minister Nawaz Sharif’s workplace stated.
“As a result of the Finance Minister’s efforts and persuasion, Renault has chosen to invest in Pakistan,” the declaration stated.
“They will start assembling automobiles in Pakistan by 2018.”
A Renault spokesperson in Paris verified the strategies, stating the automaker “has participated in special negotiations with Ghandhara and Al Futtaim Groups to establish the Renault brand name in Pakistan, consisting of a factory on the Ghandara site located in Karachi”.
Neither side provided a figure for the scheduled financial investment.
Pakistan has been looking to bring in a number of foreign automakers with generous deals on import tasks however has dealt with difficulties given worries about the nation’s long-lasting political stability and security, knowing attacks by the terrorist groups.
Apart from Renault, Dar and other Pakistani authorities have met executives from Volkswagen, PSA Peugeot, Fiat and Nissan.
Pakistan has a possible market of almost 200 million individuals, however only 180,000 vehicles were sold in the 2014/2015 . That compares to more than 2 million guest cars a year in neighboring India.
