The new auto policy of Pakistan in 2016 has attracted more than one international automaker to make an entry into the automobile industry of Pakistan. With Hyundai-Nishat bringing as many as four new vehicles in the Pakistani market, the French major auto manufacturer ‘Renault’ has also formally announced its entry into the country.
In a press release yesterday, Renault announced that they had signed a definitive agreement with Dubai based Al-Futtaim group to construct exclusive Renault car assembly plants in Pakistan which will manufacture and assemble the vehicles and sell them locally in the country.
Groupe Renault said that it was pleased to have extended its international footprint to Pakistan, a country that has a fast-growing market with 10% annual growth rate.
By partnering with Al-Futtaim, the automaker aims to become one of the biggest automaker players in the automobile industry of Pakistan by introducing their latest and most significant products with cutting-edge technology and advanced safety features.
Through the partnership, Renault will be responsible for the technology while Al-Futtaim will be establishing new assembly and manufacturing plants in Karachi exclusively for Renault through their new subsidiary ‘Al-Futtaim Automotive Pakistan (Private) Limited.
The assembly and manufacturing plants are expected to go under construction by the start of 2018. The two companies plan to start Renault car sales by 2019.
Renault has yet to announce which of its cars it plans to begin to the Pakistani automotive industry. But through the press release yesterday, president of Al-Futtaim Automotive hinted that they are going to target the ‘Vibrant’ middle class of Pakistan.