We told our readers that Proton is making an entry in the Pakistani market. Back in August 2018, the automaker entered into an agreement with Al-Haj Group of Pakistan.
The aim is to develop a manufacturing plant in Karachi. A ceremony was held for the exchange of Licensing and Technical Assistance Agreement of Proton Assembly Project.
Read also: Pakistan and Malaysia Sign 5 ‘Big Projects’
The press release of the event disclosed that the senior executives represented their companies. Dr. Li Chunrong, the CEO of Proton Holdings and Mr. Bilal Khan Afridi the Al-Haj Group Managing Director took part in the event.
The aim of this collaborative effort is to build a manufacturing facility for Proton vehicles based in Karachi. The ground-breaking ceremony was by Prime Minister of Malaysia Dr. Mahathir Mohamad and Prime Minister of Pakistan Imran Khan on 22nd March 2019.
The manufacturing plant will be established on a 55-acre site in Karachi. The initial investment in its construction will be worth $30 million. By June 2020 the facility will begin the production of vehicles. It will have an annual capacity of 25,000 units. The company will provide job opportunities for 2000 people directly and 20,000 indirectly.
Proton Holdings is basically a collaborative effort of DRB Hicom and the Zhejiang Geely Group. As for Al-Haj Automotive Private Limited, it is Al-Haj Group’s subsidiary. It is a conglomerate that has diverse business interests like automotive, oil and gas, logistics and estate businesses.
After the Auto Development Policy (ADP) 2016-21, different auto companies have entered into the automotive industry of Pakistan. Also, incentive-based Greenfield Status was granted by the government to 15 new automobile companies. These companies are
- ADP: Al-Futtaim Automotive Pakistan (Pvt) Ltd
- Sazgar Engineering Works Ltd
- Kia Lucky Motors Pakistan Ltd
- JW Auto Park (Pvt) Ltd
- Regal Auto Mobile Industries (Pvt)
- United Motors (Pvt) Ltd
- Master Motors Ltd
- Pak China Motors (Pvt) Limited
- Hyundai Nishat Motors (Pvt) Ltd
- Khalid Mushtaq Motors (Pvt) Ltd
- Topsun Motors and Engineering Services (Pvt) Ltd
- Khalid and Khalid Holdings (Ptv) Ltd
- Hanteng Motors Company (Pvt) Ltd