General Tyre and Rubber Company of Pakistan (GTR)—the biggest manufacturers of tyres of the country have got the plans of investing $300million to establish its new unit in the Special Economic Zone (SEZ) in Faisalabad.
GTR was set up in Pakistan in the year 1963 and is currently providing 20percent of the tyre demand in the country. The company would be establishing its new unit in Punjab as part of its expansion plan.
While conversing with a group of Islamabad-based journalist, the Chief Executive Officer and the Managing Director of GTR—Hussain Kuli Khan said that the board of the company has given approval for the investment in the SEZ which is being set up under the China Pakistan Economic Corridor (CPEC). He informed that land has already been bought for this.
Besides the new investment plant, the firm has set up for meeting the local demands of tyres, it has also upgraded its capacity for investing a good amount in the form of the latest equipment.
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The present production capacity of GTR is 2.5million tyres and 1million motorcycle tyres production is also in talks with the new entrants which includes, Renault, Kia Motors and Hyundai for meeting their future demands.
It is important to mention that out of the complete 13million automotive and 17million motorcycle markets, 45percent of the demand is met via the smuggled tyres.
The CEO of the company informed that major problems are being faced by the tyre industry which needs to be resolved as soon as they could be for protecting the capital-intensive sector, which is not just opening thousands of job opportunities, however, is also assisting the other industries to bring in the foreign direct investment in the country.
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