KARACHI: Indus Motor Company (IMC) announced the milestone achievement of exporting vehicles manufactured in Pakistan during a ceremony held at the company’s manufacturing facility at Port Qasim Authority on Wednesday.
The company revealed plans to export the Toyota Fortuner, Hilux and Corolla Cross models to Oceanian countries.
In a notice to the stock exchange, IMC tempered expectations by noting that the “financial benefits from this export activity are minimal” and that “the impact on our overall business remains insignificant and immaterial”.
Commenting on the achievement, Indus Motor Company CEO Ali Asghar Jamali attributed this success to the vision of former chairman Ali Suleman Habib. “Once, Toyota had asked its partners in all the countries it was operating in about their dreams. Ali Habib said it was his dream for Pakistan to become an exporter of vehicles. That dream has now become a reality,” he stated.
Mr Jamali underscored the need for long-term policies and the development of local input sources to bolster the auto sector. He humorously added that the “carrot approach” is far more effective than the “stick approach” when it comes to incentivising the industry.
Federal Minister for Industries and Production Rana Tanveer Hussain emphasised, “We are proud to see Indus Motor, one of Pakistan’s renowned companies, contributing towards exports. The government’s Automotive Industry Development and Export Policy 2021-26 policy aims to boost the automotive sector by encouraging the export of localised parts and vehicles.
“IMC’s proactive approach to leading from the front sets a benchmark for others in the industry. We are committed to supporting the auto industry in every possible way.”
UN regulations
Meanwhile, during a visit to Pak Suzuki Motor Company Ltd (PSMCL) on Wednesday, the minister assured the management that the compliance issue of United Nations regulations would be resolved shortly.
Mr Rana highlighted the government’s commitment to supporting Pakistan’s automotive industry through policy alignment, export promotion, and addressing industry challenges to foster sustainable growth and competitiveness.
PSMCL management informed the minister that the majority of Suzuki models and versions are already in compliance with the UN regulations, marking the company’s commitment to safety, environmental responsibility, and adherence to global standards.
The remaining models and versions are still undergoing modifications or replacements to ensure full compliance by the end of June 2025, PSMCL said.
Chief Executive Hiroshi Kawamura pointed out three significant milestones: the commencement of Suzuki vehicle exports from Pakistan to Bangladesh and Afghanistan, the production of its 2.5 millionth vehicle in Pakistan, and the inauguration of the new Suzuki Vendor Cluster Area to expand its network of local suppliers.
Strategic land allocation to new vendors aims to enhance efficiency and reduce costs through localised supply chain management.
Published in Dawn, August 1st, 2024
