17
The Auto Parts Manufacturing Industry of Pakistan Presented by; Waqas Alam Trade & Investment Counsellor Embassy of Pakistan, Sao Paulo
The Auto Parts Manufacturing Industry
of Pakistan
Presented by; Waqas Alam
Trade & Investment Counsellor
Embassy of Pakistan, Sao Paulo
Auto Sector | Trend Analysis
The sector is geared for further growth with entry of new players under the automotive development
policy.
• The current market is largely dominated by Japanese players: Toyota, Suzuki and Honda. The three
players have deep rooted presence in Pakistan. Kia, Hyundai & United are new additions to the sector.
Renault is also planning to invest.
AUTOMOBILE PLAYERS IN PAKISTAN
Trade and Investment Opportunities in PakistanMINISTRY OF COMMERCE
PAKISTAN’s Auto Parts INDUSTRY OVERVIEW
• More than 1100 manufacturers provide direct employment to around 500,000 personnel
with an indirect employment of 2.4 million.
• Different categories of work; forging, machining, sheet metal work, plastics, chemicals,
electronics and electrical work.
• Industry’s total revenue amounts to PKR 370bln; has an import substitution of $3.3bln.
• Exports are about $18.4 million and are made to the US, Europe and a number of
African countries.
• Vendors phenomenon began back in 1976 which was started by Millat Tractors.
• Advantage of small scale manufacturing. Can cater for specialised parts in small quantities
and parts for the old models or models for which large scale commercial production is
non feasible.
INDUSTRY DIVISION
Divisions
OEMsReplacement
Market
• There are two segments in the automotive parts sector: sales to OEMs for assembly into new cars, and
the replacement market.
• The OEMs provide a blueprint that is manufactured to the exact specifications required by the local firm.
• Replacement markets comprise various accessories suppliers and component replacement suppliers.,
repairing services.
Manufacturing Technologies
Forging
Casting
Sheet Metal
Rubber & Plastics
Electronics
90
80
70
60
50
40
30
20
10
0
100
Tractors Motorcycle & 3 Wheeler Cars & LCV's Truck & Buses
Localization Levels of Skin, Body & Cosmetics
Skin, Body & Cosmetics
100
90
80
70
60
50
40
30
20
10
0Tractors Motorcycle & 3 Wheeler Cars & LCV's (Est.) Truck & Buses (Est.)
Localization levels of Engine, Transmission & Suspension
Engine, Transmission & Suspension
Top 8 High-tech Parts in Tractors
Transmission Crank Shaft Crown Wheel & PinionStarter Motor
PistonConnecting rods
Engine Valves Engine Block
High-tech Parts in Cars/ LCV’s
Steering KnuckleBrakes
Seat Recliner
Steering
MechanismSuspension Shock
Absorbers
Light Spring Leaf Radiator
Top 8 High-tech Parts in Truck & Buses
Exhaust/Inlet Manifold Front Cabin
Wiring Sets Radiator
Heavy Spring Leaf Silencer Cross MembersFloor Assembly
Top 8 High-tech Parts in Motorcycle
Crank Case Magneto Crank ShaftSuspension
Piston & Rings Transmission Engine Head & BlockWiring Harness
Green Field & Brown Field Investments Incentives
❑ Greenfield Investment
❑ Duty free import of plant and machinery
for setting up assembly and/or
manufacturing facility on one-time basis
❑ Import of 100 vehicle of variant in CBUform at 50% of the prevailing duty for test
marketing
❑ Concessional rate of custom duty @ 10%
on non- localized parts and @ 25% on
localized parts for a period of 05 years
for manufacturing of Cars & LCVs
❑ Brownfield Investment
❑ Import of non-localized parts at 10%
customs duty and localized parts at 25%
duty for a period of 3 years for
manufacturing of Passenger Cars and LCVs.
❑ Import of all parts (both localized & non-
localized) at prevailing custom duty
applicable to non-localized parts for a
period of 3 years for manufacturing of Buses, Trucks and Prime Movers
Some Major Autoparts Manufacturers
Yousaf Auto Industries(Pvt)
Limited
BrakeAssemblies
Axle
Fuel Tanks
AlsonsAutoparts
Speedometer
Window Front
SwitchAssembly
Loads Limited
RadiatorAssembly
SilencerAssembly
Protector FuelTank
Agri Auto Stamping Company
(Pvt)Ltd
Press Low Tensils Parts
Press High Tensils Parts
Weld Sub AssemblyParts
Razi Sons (Pvt.) Ltd
Leather Seats
Moulded Carpets
DoorTrims
Thal Engineering
Condenser
Compressor
Reserve Tank
Some of the market players are given below.
Detail list of manufacturers and parts being manufactures is available a
Contact Details for Auto Parts Manufacturers;
www.paapam.comChairman: [email protected]
Head Office: [email protected]
Islamabad Office: [email protected]
Karachi Office: [email protected] Paapam: [email protected]
Secretary: [email protected]
Web Admin: [email protected]
Pakistan Embassy Email; [email protected]
CONTACT US
Trade and Investment Opportunities in PakistanMINISTRY OF COMMERCE
MINISTRY OF COMMERCE AND TEXTILE Block-A,
Pak Secretariat, Islamabad
Email: [email protected]
Tel: +92.51. 9205745
BOARD OF INVESTMENT
Ataturk Avenue, G-5/1,
Islamabad 44000, Pakistan
Email: [email protected]
TRADE DEVELOPMENT AUTHORITY OF PAKISTAN
3rd Floor, Block A, Finance & Trade Centre
P,O. Box No, 1293, Shahrah-e-Faisal,
Karachi 75200, Pakistan
Email: [email protected]
UAN: +92-21-111-444-111
Fax: +92-21-99206461
THANK YOU
![NAMIG [Northern Advanced Manufacturing Industry Group] Inc C2C Auto Projects](https://static.documents.pub/doc/80x56/568135f2550346895d9d6374/namig-northern-advanced-manufacturing-industry-group-inc-c2c-auto-projects.jpg)
