Hyundai plans to setup Assembly Plant in Pakistan
The new strategy regarding foreign investment has started giving positive result as many foreign companies have expressed great interest in investment. Therefore Hyundai put forward its plan to set up assembly plants in Pakistan.
Hyundai have signed agreement with Nishat Mills regarding the establishment of assembly plant in Pakistan.
Nishat Mills act as a jumbo in Pakistan banks, energy, textiles and cement sector.
Nishat Mills Company Secretary Khalid Chauhan told that “Today we have signed a letter regarding the understanding among Hyundai and Nishat and we will shape a project for the assembly and sales of vehicles and passenger”
He quoted “The project will be given for the approval under the rules and regulations”
Nishat has sent a notice to the Pakistan Stock Exchange (PSX). In notice it has been stated that project has been entered to the Memorandum of Understanding (MOU) with the South Korean company Hyundai Motor Company (HMC) and Sojitz Corporation.
It is not clear yet that how much HMC would invest in Pakistani venture.
Government believes that after high competition the high prices of vehicles will fall in Pakistan.
Pakistan is the country with 200 Million residents and is potentially a huge market where in 2014/2015 180,000 cars were sold.