Pakistan auto monopoly kept car prices high, claims APMDA chairman
Key takeaways
- However, he claimed the industry remains dependent on imported CKD and SKD kits, with genuine local manufacturing yet to materialise.
- Shahzad alleged that successive governments and the Engineering Development Board (EDB) had protected major assemblers instead of promoting competition and localisation.
- According to Shahzad, customs authorities can verify the authenticity of those certificates through barcode technology, making a second inspection unnecessary.
Why this matters: local context for readers following news across Pakistan and the region.
Add ARY News on Google AAResize KARACHI: The chairman of the All Pakistan Motor Dealers Association (APMDA) has accused Pakistan’s local auto assemblers of maintaining a decades-long monopoly, alleging that protectionist policies have failed to deliver affordable locally manufactured vehicles while keeping consumers dependent on expensive imports.
Speaking in ARY News program The Story Behind,, APMDA Chairman HM Shahzad said the objective behind establishing Pakistan’s local automobile industry more than 40 years ago was to transfer technology, achieve localisation, manufacture affordable vehicles and eventually export them. However, he claimed the industry remains dependent on imported CKD and SKD kits, with genuine local manufacturing yet to materialise.
Shahzad alleged that successive governments and the Engineering Development Board (EDB) had protected major assemblers instead of promoting competition and localisation. He claimed consumers had paid the price through vehicle prices that are significantly higher than those in neighbouring countries.