Pakistan’s famous Automotive Company for trucks Ghandhara Nissan Limited (GHNL) has recently announced that the company has inked an import deal with France’s Renault Trucks SAS. The company has informed that it has imported few vehicles from Renault on trial basis in Pakistan, an initiative to test the market and product’s demand.

According to a notification sent to Pakistan Stock Exchange (PSX), Ghandhara Nissan has imported Complete Built Units (CBUs) on trial basis to measure the response in Pakistan, its viability, and demand. Renault Trucks SAS is a subsidiary of AB Volvo, it manufactures and distributes commercial vehicles and tools in Europe.

Ghandhara Nissan has also started manufacturing local JAC X200 Pickup it was announced earlier this month. The pickup mainly used for transportation of goods was previously imported as (CBUs) from China, due to the increased demand and market conditions Ghandhara has decided to produce it locally which will bring in more benefits for the company economically as well as operationally.

JAC Motors is a Chinese company leading in its capacity of manufacturing light commercial vehicles. The production plant set up by Ghandhara Nissan has the capacity of producing 5000 units per annum of JAX X200 pickups on a single shift.

Ghandhara Nissan has already announced that it has collaborated with Japanese Nissan Motor Company in order to assemble Datsun cars locally. The company is expecting to roll out Datsun cars by the next year in Pakistan. The production capacity of locally assembled Datsun cars is 30,000 units per year.

Since the government of Pakistan has announced the Automobiles policy in March 2016 which accommodated many players in the market, Pakistan’s auto industry has seen several changes amid this policy. The Ministry of Industry and Production (MIP) has allowed automakers to set up assembly plants in Pakistan in June last year.

Eight new market entrants were given permission to set up Auto Production Plants (APP) in Pakistan including Kia, Renault, Hyundai, United Motors, Sazgar and Volkswagen, these manufacturers have already announced their intention to set up assembly plants in Pakistan. Dewan Motors has collaborated with Daehan in order to introduce commercial vehicles in Pakistan as well.

The current development works in Pakistan under CPEC, higher disposable income, the tax cut on salaries, population, and lower fuel prices, increased traveling, increased logistics has played a critical role in the growth of country’s auto industry.