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PAPS 2026: A New Chapter for Pakistan’s Automotive Industry

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PAPS 2026: A New Chapter for Pakistan’s Automotive Industry

What I saw at Lahore Expo Centre was more than a three-day automobile exhibition. It was a glimpse of how fundamentally Pakistan’s automotive industry is beginning to change.

Having spent more than three decades in Pakistan’s automotive industry, I have seen the market move through very different phases, from a relatively protected market dominated by a few Japanese manufacturers, to increasing localization, changing consumer expectations, the arrival of Korean brands, and now a rapidly expanding wave of Chinese automotive technology and electrification.

The Pakistan International Auto Show (PAPS) 2026, held at Lahore Expo Centre from September 18–20, brought many of these changes together under one roof.

And for me, the most important takeaway was not any particular vehicle. It was the direction of the industry.

PAPS 2026 Was About Much More Than Cars

The theme of this year’s show, “Industrial Pakistan,” was particularly appropriate.

PAPS brought together vehicle manufacturers, automotive parts producers, suppliers, technology companies, international exhibitors, dealers and consumers. Four halls

displayed passenger vehicles, motorcycles, EVs, mobility solutions, components, equipment and technologies across the automotive value chain.

This is important because a country’s automotive industry cannot be measured simply by the number of vehicles rolling out of assembly plants.

The real strength of an automotive ecosystem is found behind the vehicle, in its components, suppliers, tooling, engineering, manufacturing processes, quality systems, logistics, technology and human capital.

PAPS 2026 gave that ecosystem considerable visibility. The participation of local vendors alongside international manufacturers also created an environment for supplier development, technology exchange and potential business partnerships. The involvement of SMEDA as a strategic partner further underlined the importance of integrating SMEs into the industrial value chain. That, in my view, is one of the most encouraging aspects of this year’s show.

The Consumer Is Changing Quickly

Perhaps the most striking difference from the auto shows of the past was the sheer diversity of technology on display.

Visitors could see conventional petrol vehicles alongside hybrids, plug-in hybrids, battery electric vehicles, range-extender technology, electric two-wheelers, ADAS, connected features and increasingly sophisticated infotainment and safety systems.

The consumer is no longer asking only:

“What car should I buy?”

The questions are becoming: What technology am I getting? What will it cost me to operate it? How safe is it? What will the resale value be? Where can I service it? What happens to the battery after five or eight years?

These are fundamentally different purchasing considerations, and they will increasingly influence how manufacturers design, price, market and support their products.

Chinese Automotive Technology Has Changed the Competitive Equation

One could not walk through PAPS 2026 without noticing the growing presence of Chinese automotive brands and technology.

BYD, Chery, Haval, JAC, iCAUR, OMODA/JAECOO and other emerging brands presented products covering mainstream, premium, electric, hybrid and plug-in hybrid segments.

This development deserves careful consideration. The Chinese automotive industry is no longer competing simply through lower pricing. It is increasingly competing through technology, speed of product development, feature content, electrification and design. That changes the competitive equation for every established manufacturer operating in Pakistan. For consumers, greater competition brings more choice. For manufacturers, it raises the bar. Brand heritage remains valuable, but it is increasingly being tested against product technology, customer experience, safety, fuel economy, design and value.

The New Launches Tell an Interesting Story

Several launches and major product introductions at PAPS 2026 provided a useful picture of where the market is heading.

The Chery Q, an all-electric hatchback priced at Rs5.554 million, brought EV technology into a more accessible vehicle format, with features including Level 2 ADAS and automated parking.

The Haval H6 GT PHEV, priced at Rs12.949 million, demonstrated the growing role of plug-in hybrid technology in the SUV segment.

Suzuki Fronx ADAS, priced at approximately Rs6.8 million, was another interesting development. Its addition of driver-assistance and safety features reflects something bigger than a single model upgrade: competition is forcing established players to increase technology content in mainstream vehicles.

Hyundai’s display was equally revealing, combining the Tucson N-Line and Sonata N-Line with Palisade Hybrid, Santa Fe Hybrid and Elantra Hybrid. The combination shows that electrification is gradually extending across multiple segments rather than remaining confined to a small EV niche.

But perhaps the most strategically significant development was the BYD Sealion 6. BYD’s presentation of the Sealion 6, together with its plans for local assembly, represents a potentially important transition from an imported new-energy product to local manufacturing. The vehicle is expected to enter local assembly later in 2026. This is where the conversation becomes much bigger than product launches.

From “Launching EVs” to “Building EVs”

Pakistan’s automotive industry has been discussing electrification for several years. PAPS 2026 suggested that the conversation is now entering its next stage.

The question is no longer simple:

Can Pakistan sell EVs? It is: Can Pakistan manufacture them competitively?


That distinction is critical. An imported EV can demonstrate consumer demand.

Local assembly can create industrial activity. But meaningful localization requires something much deeper. It requires batteries and battery-related systems, electric motors, power electronics, controllers, wiring systems, thermal management, electronics, software, sensors and other technologies to progressively become part of the local industrial ecosystem. This will require a different kind of supplier development from the one Pakistan experienced during the traditional internal-combustion-engine era. The next phase of localization will therefore have to be technology-led rather than simply percentage-led.

Localization: The Conversation Must Now Move to Competitiveness

For many years, our automotive localization discussion has revolved around one question:

How much of the vehicle is locally made? I believe the more important question now is: How competitively is it being made? There is a fundamental difference. A locally produced component that costs substantially more than its international equivalent may satisfy a localization target, but it does not necessarily create a globally competitive industry. True localization should deliver:

Quality + Cost Competitiveness + Technology + Scale + Reliability + Export Capability.

That is the next challenge for Pakistan. And here, the country’s existing vendor industry is an important asset. PAPS demonstrated that Pakistan has a significant base of component manufacturers and industrial capabilities. The challenge is to upgrade that base so that Pakistani suppliers can move beyond supplying only the domestic market and become part of regional and global supply chains.

The government’s current policy is also moving in this direction. At the opening of PAPS, the government indicated that a new auto policy was being prepared with incentives for stakeholders including auto-parts manufacturers, while emphasizing export development.

At the PAAPAM symposium, the discussion centred on competitiveness, localization and electric mobility, with the government emphasizing competitive localization and technological advancement. The direction is encouraging. Execution will determine the outcome.

Perhaps the Most Encouraging Development: Exports

One of the most important developments surrounding PAPS 2026 was not a new vehicle launch at all. It was the growing evidence that Pakistan can move from local assembly towards export-oriented manufacturing.

Honda showcased a cut model of City showing 74% of locally manufactured parts.

Pak Suzuki’s export of Pakistan-manufactured Alto and Every vehicles to Brunei is an important example. Reports indicate that more than 65% of the Alto’s components are locally produced.

EV, Hybrid, PHEV or REEV? Pakistan May Need All of Them

Another message from PAPS 2026 is that the future may not belong to a single technology. For Pakistan, the transition is likely to be more complex.

HEVs can reduce fuel consumption without requiring charging infrastructure.

PHEVs can provide meaningful electric driving while retaining the flexibility of a conventional engine.

BEVs offer zero tailpipe emissions and potentially lower running costs but require dependable charging infrastructure and appropriate electricity economics.

REEVs offer another possible bridge between electric driving and long-distance flexibility.

This makes Pakistan different from countries that have abundant charging infrastructure or highly developed electricity networks. Our transition will need to reflect our own economics, infrastructure, consumer behavior and industrial capabilities.

The winning technology for Pakistan will ultimately be determined not by marketing slogans but by total ownership economics and customer experience.

The Public Response Was Perhaps the Strongest Signal. More than 300,000 visitors reportedly attended PAPS 2026 over the three days. That number deserves attention.

At a time when the automotive industry has faced affordability challenges, taxation concerns, fluctuating volumes and uncertainty around future policy, such a strong public response demonstrates that the Pakistani consumer still has a deep interest in mobility and automotive products.

More importantly, people were not visiting simply to see familiar products.

They were looking at new brands. They were examining EVs and hybrids. They were comparing technologies. They were experiencing features that were previously associated with much more expensive vehicles. That tells us something important about the future customer. The Pakistani consumer is becoming more informed, more demanding and more willing to compare. The industry will have to respond accordingly.

What Happens After PAPS Is More Important Than What Happened at PAPS

An auto show can create excitement for three days.

Industrial transformation takes years. The real test of PAPS 2026 will therefore come after the exhibition closes. Will local vendors invest in new technologies? Will OEMs deepen localization? Will new entrants create sustainable manufacturing footprints? Will Pakistan develop export-oriented supplier capabilities? Will EV and hybrid infrastructure grow alongside vehicle sales? Will customers receive dependable after-sales support? Will policy remain consistent long enough for investors to make long-term commitments? These questions matter more than the number of vehicles displayed.

My Takeaway After Three Decades in the Industry

Having spent more than 30 years working across sales, marketing, dealer development, commercial planning, procurement and automotive operations, I came away from PAPS 2026 with a sense that Pakistan’s automotive industry is entering a new competitive cycle. The old industry was largely defined by a few established manufacturers, conventional powertrains and progressively increasing localization. The emerging industry will be defined by multiple technologies, new global players, faster product cycles, stronger consumer expectations, digitalization, electrification and much tougher competition.

That transition will not be easy. But it can be enormously positive for Pakistan if we approach it as an industrial opportunity rather than simply a vehicle-import or vehicle-sales opportunity. We have an established automotive ecosystem, experienced human capital, a significant vendor base, manufacturing experience and a large domestic market. And, importantly, we now have increasing exposure to global automotive technology. The next step is to connect these strengths.

The Real Opportunity

PAPS 2026 did not tell us exactly what Pakistan’s automotive industry will look like five years from now. But it gave us some strong clues. The industry is becoming more competitive. The product portfolio is becoming more technologically sophisticated. Electrification is moving from discussion towards manufacturing. Localization is moving towards a new phase. Consumers are demanding more. And global automotive companies are increasingly looking at Pakistan not merely as a market for vehicles, but potentially as

The most positive message from PAPS 2026: Pakistan’s automotive future should not be about protecting what we have. It should be about building what we need next.

A globally competitive automotive industry will require more than assembling vehicles in Pakistan. It will require developing Pakistani suppliers, transferring technology, investing in people, improving quality, achieving cost competitiveness, embracing new-energy technologies and ultimately exporting vehicles and components to the world.

That is the real opportunity. And perhaps that is the real meaning of “Industrial Pakistan.”

#PAPS2026 #PakistanAutomotiveIndustry #AutomotiveIndustry #Localization #AutomotiveManufacturing #EV #Hybrid #PHEV #AutoParts #MadeInPakistan #PAAPAM #FutureOfMobility #Pakistan

This exclusive article has been written by Mawiz Akhtar and published in Automark’s October-2026 printed/digital edition.

The Evolution of Chinese Automotive Brands in Pakistan: The Next Challenge Goes Beyond Sales

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The Evolution of Chinese Automotive Brands in Pakistan: The Next Challenge Goes Beyond Sales

The growth of Chinese automotive brands in Pakistan has been significant, driven by competitive pricing, modern design, advanced technology and an increasingly attractive product portfolio.

However, the next challenge for Chinese automotive brands is no longer simply selling more vehicles. The real opportunity is to build long-term customer trust, loyalty and confidence throughout the entire ownership journey.

At the center of this challenge is After-Sales Service.

After-Sales: The Foundation of Long-Term Customer Confidence

As the population of Chinese vehicles on Pakistani roads continues to grow, customers will increasingly judge brands not only by the vehicle they purchase, but by the quality and reliability of the support they receive after the sale.

Spare-parts availability, competitive pricing, service quality, technical support and response time will become critical differentiators.

Manufacturers and dealers therefore need to establish robust after-sales capabilities focused on:

– High spare-parts availability and supply fill rates
– Competitive spare-parts pricing and an attractive total cost of ownership
– Short, predictable and reliable shipping lead times
– Accurate demand forecasting
– Efficient ordering and replenishment processes
– Strong technical support and service capabilities
– Effective customer communication and issue resolution

After-sales performance must become an integral part of the brand proposition rather than being treated simply as a dealer operational responsibility.

Spare Parts Availability: A Joint Responsibility

Parts availability is not merely a matter of maintaining sufficient inventory at dealerships.

It is the result of an integrated ecosystem involving the vehicle manufacturer, local distributor, dealer network, logistics providers, information systems and operational processes.

A breakdown in any one of these areas can ultimately affect the customer.

For example, a part may be physically available at the manufacturer but unavailable to the customer because of delays in ordering, documentation, logistics, customs clearance, system integration or dealer processes.

This makes supply-chain integration critical to delivering a consistent customer experience.

Building a Professional After-Sales Infrastructure

To support sustainable growth in Pakistan, Chinese automotive manufacturers should establish professional and scalable after-sales infrastructure covering the complete parts and service value chain.

Key capabilities should include:

1. Accurate Electronic Parts Catalogues
Professional electronic parts catalogues should provide accurate part numbers, VIN/application information and clear identification of applicable vehicle variants.

2. Efficient Dealer Parts Ordering Systems
Dealers should have simple, reliable and transparent systems for placing, tracking and managing parts orders.

3. Clear and Reliable Shipping Lead Times
Dealers and customers should have realistic delivery expectations supported by reliable logistics processes.

4. Strong Supply Fill Rates and Order Fulfilment
The objective should be to maximize first-time fulfilment and minimize customer waiting time.

5. Effective Urgent and Back-Order Processes
Clearly defined procedures should exist for critical, urgent and back-ordered parts, with appropriate escalation mechanisms.

6. Manufacturer–Dealer System Integration
Integration between the manufacturer’s systems and the dealer’s Dealer Management System (DMS) can improve visibility, forecasting, ordering, inventory management and customer communication.

The Customer Sees Only One Brand

From the customer’s perspective, responsibility is straightforward.

If a required part is unavailable or a repair is delayed, the customer generally does not distinguish whether the problem originated with the dealer, manufacturer, logistics provider, ordering system or supply chain.

The customer simply experiences it as a brand problem.

This is why after-sales performance should be managed as a joint manufacturer–dealer responsibility, supported by clearly defined processes, ownership and measurable performance indicators.

Important KPIs should include:

– Parts availability
– Supply fill rate
– Order accuracy
– Order fulfilment
– Delivery lead time
– Back-order ageing
– Emergency parts response time
– Customer repair turnaround time
– Warranty claim turnaround time
– Customer satisfaction

What gets measured, reviewed and improved consistently is far more likely to become a sustainable competitive capability.

The Benchmark Already Exists in Pakistan

Pakistani customers have experienced established after-sales standards from Japanese and Korean automotive brands. As a result, customer expectations have been shaped not only by vehicle quality, but also by parts availability, service quality, technical expertise, pricing, reliability and customer care.

Chinese automotive brands therefore enter the Pakistani market with an important opportunity—and a clear benchmark.

They have already demonstrated their ability to compete strongly in areas such as vehicle design, technology, features and pricing.

The next step is to demonstrate the same level of excellence in after-sales operations, spare-parts availability and supply-chain reliability.

From Selling Vehicles to Managing the Ownership Journey

The automotive business is not completed when a vehicle is delivered to the customer.

In many respects, that is where the customer relationship truly begins.

Every service visit, spare-parts requirement, warranty claim and technical interaction becomes another opportunity for the brand to either strengthen or weaken customer confidence.

Chinese automotive brands that develop a strong after-sales ecosystem from the beginning can convert vehicle sales into long-term customer relationships.

This requires close alignment between the manufacturer and dealer network, investment in systems and processes, strong parts planning, professional technical support and a customer-centric service culture.

The Strategic Imperative

The future success of Chinese automotive brands in Pakistan will depend not only on how many vehicles they sell, but on how effectively they support those vehicles throughout their ownership lifecycle.

Selling the car is only the beginning. Supporting the customer throughout the ownership journey is what builds the brand.

The next competitive advantage in Pakistan’s automotive industry may therefore not be found only in the showroom.

It may be found in the parts warehouse, the supply chain, the workshop, the technical support center and every customer interaction after the sale.

Reflections from PAPS Auto Show 2026 and the Road Ahead for Pakistan’s Automotive Industry

Muhammad Rafique
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Reflections from PAPS Auto Show 2026 and the Road Ahead for Pakistan’s Automotive Industry

Dear Readers, For the current month’s theme for Automark magazine is PAPS 2026 Auto Show. Pakistan’s Automotive Potential and Future Direction has been chosen as the main theme of the month because a Pakistan Auto Show is about more than just cars, parts, and technology. This event offers us a chance to examine the entire automotive industry and see where Pakistan stands in terms of its position, what has been achieved throughout the years, the existing challenges, and the upcoming opportunities. The future cannot be judged merely on the grounds of the volume of production and the number of companies in attendance at a show. The future of an industry depends upon the creation of local value, technology advancement, competitiveness of the products, supply chain reliability, and success in international market penetration.

Pakistan Auto Show (PAPS) 2026, held every year by Pakistan Association of Automotive Parts & Accessories Manufacturers (PAAPAM), yet again proved the increasing power, variety, and future possibilities of Pakistan’s automotive industry. Over time, PAPS has developed into the largest automotive expo in the country, where automakers, manufacturers of automotive parts, technology firms, investors, policymakers, and others in the industry gather in one place. It once again gathered the whole automotive industry in one place. The expo has emerged as an important venue for Pakistan’s automotive industry where automakers, automotive part makers, engineering firms, technology firms, investors, and many more gather.

The 2026 edition, held at the International Expo Centre Lahore, witnessed a strong response from the industry and visitors. The official exhibitors’ platform indicates representation in various sectors, such as automakers, auto component makers, engineering firms, companies specializing in electric mobility, battery and energy companies, and steelmakers. This year’s expo registered an outstanding level of participation, with all exhibition spaces being utilized fully and representation from domestic and foreign participants equally high. Over 15 OEMs exhibited their most recent models and technologies along with their manufacturing capabilities, while many auto parts makers exhibited their locally developed parts and engineering process.

PAPS 2026 was unique because of its significance not just in terms of numbers of cars and other products that were displayed there. The exhibition offered a much larger picture of the future direction of the automotive industry of Pakistan. Not only the exhibition aims at showing different types of products, but it also serves as an opportunity for business cooperation, technology exchange, localization, and industry development. PAPS showcased the impressive achievements of the Pakistani automotive industry in the development of passenger vehicles, commercial vehicles, electric mobility, motorcycles, tractors, and auto components.

From Assembly to Localization: Among the key lessons coming out of PAPS 2026 was the significance of localization. The automotive industry in Pakistan has created a fairly extensive supply chain over the years, including companies specializing in such items as sheet metal, plastics, rubber, forgings, castings, bearings, electrical parts, filters, batteries, machining services and engineering parts among others. The diversity of the components suppliers present at PAPS 2026 made it clear that there was a lot more in the local industrial infrastructure than vehicle assembly. However, the next step is about more than just growing the list of locally supplied components. Localization must increasingly have to emphasize the technological aspect along with quality, productivity, and cost effectiveness. Domestic suppliers have to be competent in producing their parts consistently according to international standards whereas the OEMs have to supply the required volumes, technical expertise, and long-term plans for localization. Localization must thus be judged by how well a part from Pakistan is able to compete not just with an imported part within the domestic market but also with suppliers operating in international markets.

Evolution to the Era of EVs: It is evident that one of the major attractions at PAPS 2026 was the rising popularity of electric vehicles (EVs) and sustainable mobility solutions. There were a number of companies showcasing their electric cars, electric buses, electric commercial vehicles, two wheelers, and related technologies as a part of the industry’s transformation into sustainable transportation systems. Such transformation to electrified transportation system fits with global trends and the longer-term vision of energy efficiency and sustainability for Pakistan. Yet another evident trend at PAPS 2026 was that of electric mobility. Several of the companies on the exhibitors’ list offered electric vehicles and new energy mobility, in addition to firms that offer batteries, energy systems and related technologies. This evolution to the era of EVs poses a dual challenge and an opportunity to Pakistan. The use of traditional powertrain components like engines, transmissions and exhaust systems is being increasingly substituted by battery packs, electric motors, power electronics, controllers, charging systems, thermal management and electronic controls. This allows Pakistan to create new competencies instead of replicating the existing automotive supply chains. The key issue in this regard is therefore not just the number of EVs which can be assembled in Pakistan but the extent to which the value chain for EVs can be created locally. Batteries, wiring harnesses, electrical components, lightweight structures, charging infrastructure, software, power electronics and other EV components offer new possibilities for industrial development. PAPS 2026 has demonstrated that this shift is already underway.

Resilience in the Supply Chain: Transition from Dependency to Capability: Recent disruptions seen in global industries have shown how essential supply chain resilience is. Automotive manufacturing is highly dependent on supply chains since one missing part will be enough to halt the whole assembly line. As far as Pakistan is concerned, supply chain resilience is an important aspect of localization and PAPS has provided an important platform for the same.

From Domestic Market to Export Market: One of the major opportunities that could be seen with the advent of PAPS 2026 is the shift of industry from being domestic market-oriented to being export-oriented in nature. Pakistan has many components of success like automotive manufacturing capability, vendor base, engineering resources, and infrastructure.

Potential to Become a Regional Automotive Manufacturing Center: The potential is far more extensive over the long term. Pakistan enjoys both the geographic location and industrial capacity that can possibly make it serve markets outside its own borders. With a competitive automotive ecosystem, it may be possible for the country to export its products to Central Asia, Middle East, Africa and other regional markets depending on trade agreements, logistics, competitiveness of products and other market considerations. In order to become a regional automotive manufacturing center, however, a concerted effort would be needed in the ecosystem as a whole. OEMs would need to build competitive products and localization strategy. Vendors would need to invest in technology and quality. Furthermore, the exhibition offered a chance to the local suppliers and parts manufacturers to showcase their skills in precision engineering, sheet metal fabrication, plastic components, and electrical wiring systems, casting, forging, machining, and manufacturing techniques. The involvement of local suppliers made it evident that localization was not just a process but one which was continuously improving itself and had the ability to compete with international standards.

In the last, let me summarize and mentioning that this is a proud moment for the Pakistani automotive industry and an honor for those who keep shaping, promoting, and developing the industry. It was definitely an honor to acknowledged that Mr. Hanif Memon, Chief Editor of Automark Magazine, and his whole professional team from the renowned Automark, who made a special trip to Lahore to cover the PAPS Auto Show, showing their commitment and dedication to Pakistan’s automotive industry. It was definitely a valuable addition to the show, as it provided more coverage of the industry’s innovations, technologies, investments, and potential. I want to thank Mr. Hanif Memon and the whole Automark team for making a special effort to participate in this industry event and for their continuous contribution to the development of Pakistan’s automotive industry. Their professionalism and dedication are truly remarkable, and I am deeply grateful for that. It is a great pleasure for me to part, host and work with such a reputable team.

Take way from this article:

PAPS 2026 proved to be a great platform for business to business (B2B) interaction for the exploration of new relationships and potential projects among manufacturers, suppliers, and investors. The discussions were all about increasing local content, improving supply chain robustness, drawing foreign investments, and increasing the chances of exporting in Pakistan’s auto industry. The presence and response to PAPS 2026 shows the confidence of industry professionals in the bright future of Pakistan’s auto industry. The collaboration of OEMs, vendors, technology providers, and policymakers is still the key to create a competitive and innovative auto industry in the country. Platforms like PAPS will prove to be very useful for Pakistan’s auto industry in the coming years as far as networking, technological innovation, and industrial development is concerned.

This exclusive article has been published in Automark’s October-2026 printed and digital edition. Written by @muhammad-rafique

Future of Wheels in Pakistan

Muhammed Hanif Memon
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Electric Mobility, Competitiveness & Localization

This year a symposium was held at PAPS Show 2026 in Lahore organized by Iftikhar Ahmed Former Chairman PAAPAM. The Symposium brought together government representative, economists, technology experts, OEM representatives and engineering SMEs to discuss the future direction of Pakistan automotive industry.

Pakistan’s automotive industry is entering a new phase – From ICE vehicles toward hybrids, plug-in hybrids and new-energy vehicles is presenting an opportunity but also a strategic choice in Pakistan.

This question shaped the discussion at the PAAPAM symposium, “Future of Wheels in Pakistan: Electric Mobility, Competitiveness, Localization & Electric Mobility,”

The discussion covered a broad range of issues from tariffs and EVs to technology, vendor development, exports, energy costs and policy stability. Together, the presentations highlighted a central requirement: Pakistan must use the automotive transition to strengthen its manufacturing capabilities rather than simply expand assembly.

Rana Ihsaan Afzal Khan: Tariffs Are an Instrument, Competitiveness Is the Goal

Rana Ihsaan Afzal Khan, Coordinator to the Prime Minister, emphasized the importance of the automotive ecosystem beyond vehicle assembly.

The industry supports a much wider network involving steel, plastics, rubber, software, logistics, designing, tooling and engineering services. The figures discussed at the symposium indicated around 2,200 component manufacturers and approximately 3,500 engineering SMEs connected with this broader industrial base.

He stressed that tariffs should not be viewed as the final objective of industrial policy.

“Tariff is an instrument; the destination is competitiveness.”

This becomes particularly important as Pakistan moves toward new-energy mobility. The question is whether the country will become primarily an importer of EV components, an assembler, or a manufacturer.

The government is also considering increased production of L6 and L7 vehicles, while EV adoption could contribute to reduced oil imports and lower emissions.

But these benefits will be greater if the transition also creates domestic manufacturing capability.

Rana Ihsaan emphasized the need to identify productivity gaps, close them and continuously monitor improvements. The same discipline, he suggested, should apply to the broader concept of Made in Pakistan.

Mr. Asif Saeed Khan Lughmani, Additional Secretary, Ministry of Industries & Production, addressed the policy environment in which the industry must operate.

Pakistan is moving toward greater liberalization and must also fulfil international commitments. The challenge, therefore, is not simply whether the country should liberalize or protect domestic industry.

The more important question is:

How can liberalization lead to greater competitiveness and domestic value addition?

The transition to EVs and other new-energy technologies provides an opportunity to establish new domestic capabilities but only if policy encourages investment, technology development and local production.

Economist Mr. Ashfaq Tola focused on the importance of long-term policy stability.

He therefore emphasized the importance of sustainable, predictable policies capable of giving investors confidence.

Tola also highlighted the need to improve productivity, address energy costs and attract FDI linked to export-oriented production.

Foreign investment should contribute not only capital but also technology, production capability and access to international markets.

From the OEM perspective, Mr. Faisal highlighted the rapid transformation taking place in Pakistan’s automotive market.

The market now includes a much wider range of brands, models and technologies, including HEVs, PHEVs and new-energy vehicles.

The consumer is becoming an increasingly important driver of change. Buyers are comparing technologies, prices, features and operating costs across a much broader range of vehicles.

Battery costs were also discussed as an important factor in EV affordability. The battery component of vehicle cost has declined significantly from historical levels, improving the potential economics of electric mobility.

However, taxation and incentives remain important in determining how quickly consumers adopt new technologies.

The message from the OEM perspective was that Pakistan needs a stable policy framework that allows manufacturers and consumers to plan for the technological transition.

Mashood Khan: Pakistan Must Build the Supply Chain, Not Replace It

Representing engineering SMEs, Mashood Khan focused on supply chains, partnerships and indigenization.

Pakistan has already developed a significant base of automotive and engineering manufacturers. The challenge is to connect these companies more effectively with OEMs, international technology providers and global customers.

His central proposition was that localization, technology and partnerships must develop together.

Pakistan’s domestic automotive supply chain has faced growing competition from imported components, including CBU, CKD and SKD-related imports. If imports increase without corresponding localization, domestic manufacturing capability can weaken.

Mashood Khan posed the fundamental question:

“Are we aiming at industrialization or an assembly-based economy?”

Industry figures discussed at the symposium indicated existing localization levels of approximately:

• Cars – 65% • Tractors – 90% • Two-wheelers – 90% • Trucks and buses – 40% • NEVs – currently almost zero

Against this background, he questioned whether future targets for some categories should be below levels, already achieved by local manufacturers.

The objective, he argued, should be to build on existing industrial capability and move toward higher localization and stronger exports.

The Global Aftermarket Opportunity

Mashood Khan also highlighted the international automotive aftermarket as a major opportunity for Pakistani manufacturers.

The global aftermarket was discussed as a market of approximately USD 2.4 trillion, while Pakistan’s current share remains very small.

This creates considerable room for growth, particularly in Europe, the United States and Africa.

Pakistan should not focus only on large vehicle components. Smaller accessories and niche products can also provide practical entry points for SMEs.

However, international buyers demand quality, reliability, certification and consistent delivery.

For this reason, Pakistan needs stronger testing, validation and certification infrastructure.

The objective should be to create manufacturers capable of meeting international standards and developing long-term relationships with global distributors.

As Mashood Khan put it, Pakistan needs more “Export Entrepreneurs” companies that build their business around international markets rather than treating exports as an occasional activity.

Two areas discussed as examples of potential export growth were aluminium automotive parts and forged components.

The combined global aftermarket opportunity for these areas was cited at approximately USD 180 billion.

Pakistan does not need to capture the entire market. Even a small share could generate meaningful export revenues if domestic manufacturers have access to appropriate technology, raw materials, financing, testing and international buyers.

The challenge is to create the ecosystem that allows SMEs to make the required investments.

A Five-Point Roadmap for Export Growth

Mashood Khan proposed five practical areas for government and industry cooperation:

1. SME Engineering Clusters

Develop specialized automotive and SME engineering clusters in Karachi and Lahore, providing shared infrastructure and access to technology, testing, training and supply-chain services.

2. Technology Upgradation

Facilitate affordable long-term financing for modern machinery, automation and production technology, with financing structures suitable for SMEs.

3. Technical Partnerships and Joint Ventures

Government institutions can help Pakistani manufacturers identify international technology partners and establish technical agreements and joint ventures.

4. Domestic Raw Materials

Domestic raw materials are most essential for exporter to compete globally to enhance export from Pakistan. Initially Import data can be used to identify strategically important engineering materials that Pakistan imports in significant quantities. International suppliers can then be encouraged to establish manufacturing partnerships with Pakistani companies.

5. Industrial Land and Infrastructure

Once viable projects are identified, government can facilitate appropriate industrial land and infrastructure for manufacturing and joint-venture projects.

These measures would help connect technology, manufacturing capacity and international markets.

“30 Countries, 30 Distributors and 30 Deals”

One practical proposal was the concept of:

30 Countries – 30 Global Distributors – 30 Deals

Pakistan Auto Show can become a platform for bringing international aftermarket distributors and Pakistani manufacturers together.

TDAP, commercial counsellors and Pakistani diplomatic missions can play an important role in identifying potential buyers.

The objective should be measurable: bring serious buyers to Pakistan, connect them with manufacturers and convert business meetings into commercial relationships.

Technology expert Prof. Dr. Azam Amjad emphasized localization, job creation and technology upgrading.

Pakistan needs a stable industrial policy that allows manufacturers to improve gradually while preparing for greater international competition.

Technology transfer should therefore become an integral part of automotive development.

The EV transition creates opportunities in new areas, but Pakistan must develop the ability to absorb and use those technologies rather than remaining dependent on imported systems.

The objective should be to move progressively from technology adoption toward technology capability and eventually technology-based exports.

Aamir: Competitiveness Begins With the Industrial Environment

Auto-parts manufacturer Mr. Aamir highlighted several structural barriers facing Pakistani manufacturers.

These include:

• Lack of trust between government and the private sector;

• High electricity costs;

• Limited availability of raw materials;

• Safety and security concerns;

• Trade and FTA challenges; and

• Broader constraints on industrial competitiveness.

Conclusion

This symposium proved to be a platform where most meaningful discussions were held. The symposium gave a thought that automotive policy must look beyond vehicles assembly. It also demonstrated that Pakistan Automotive Industry future cannot be separated from the future of its engineering SMEs.

Published in Automark’s October-2026 printed and digital edition.

Pakistan’s auto industry at the IMF crossroads: what was promised, what was delivered

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Beyond the Showroom: Can New Auto Brands Win Pakistan’s Customers?

Aqeel Bashir
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Beyond the Showroom: Can New Auto Brands Win Pakistan’s Customers?

Dear Readers Pakistan’s automotive market is seeing an influx of new brands and models. For local distributors, however, launching a vehicle is only the beginning. The bigger challenge is building the after-sales infrastructure and customer confidence needed to sustain long-term growth.

Pakistan’s automotive market is entering a new phase

A growing number of local distributors are introducing new international brands and vehicle models, giving consumers access to products that were previously unavailable in the country. Chinese automotive brands, hybrid vehicles, electric cars, SUVs and feature-rich models are increasingly finding space in local showrooms.

For customers, the development offers greater choice. For distributors, it represents a potentially significant business opportunity.

But there is another side to this expansion.

The success of a new automotive brand in Pakistan will not be determined by its launch event, showroom presence or specification sheet alone. Increasingly, customers are asking a more practical question: What happens after I buy the car?

That question brings delivery timelines, spare-parts availability, warranty claims, service quality and technical support into sharp focus.

For new entrants, these areas could ultimately prove just as important as pricing and product features.

A Market With More Choices

For decades, Pakistan’s automobile market was dominated by a limited number of established manufacturers. Customers generally knew where to go for a new vehicle, where to have it serviced and where to find spare parts.

The emergence of new distributors is changing that equation.

Today, customers can consider a much wider range of vehicles, from compact cars and crossovers to larger SUVs, hybrids and electric vehicles. Many of these models come with technology and features that are designed to compete strongly in international markets.

This is creating a more competitive environment.

For consumers, competition can mean greater choice and pressure on manufacturers and distributors to offer better products, pricing and customer service.

For distributors, however, entering the market involves much more than importing vehicles and establishing dealerships.

A successful automotive operation requires an ecosystem.

That ecosystem includes inventory management, logistics, workshops, trained technicians, diagnostic equipment, spare-parts warehouses, warranty systems, customer-care operations and a network capable of supporting customers after the sale.

Building all of this takes time and investment.

The Real Business Begins After the Sale

The initial vehicle sale generates revenue, but the long-term relationship with the customer can determine the future of the brand.

Every vehicle sold creates a potential stream of future business through scheduled maintenance, replacement parts, warranty support and eventual vehicle upgrades or replacement.

This makes after-sales service more than simply a cost centre. It is an important part of customer retention and brand building.

For a new distributor, the challenge is particularly significant.

An established automotive company may already have years of experience, trained staff, supplier relationships and a developed service network. A new entrant has to build many of these capabilities from the ground up.

This is where early “teething issues” can emerge.

Customers may experience delays in vehicle deliveries, limited availability of certain parts or longer-than-expected waiting periods at service facilities.

Such challenges are not necessarily unusual for a new operation. What matters is how the distributor responds.

Delivery Delays Can Damage Early Confidence

Vehicle delivery is one of the first major tests of a distributor’s relationship with its customers.

When a customer books a vehicle, the delivery date becomes part of the purchase decision. Buyers may arrange financing, sell their existing vehicle or make other personal commitments based on the expected delivery schedule.

A delay can therefore have consequences beyond simple inconvenience.

Supply-chain challenges can arise for many reasons. Imported vehicles may be affected by shipping schedules, customs procedures, production planning, foreign-exchange constraints or other logistical factors.

The commercial challenge for distributors is to manage these uncertainties without losing customer confidence.

Communication is critical.

If a delivery is delayed, customers generally want an honest explanation and a realistic revised timeline. Repeatedly providing dates that cannot be met can be more damaging than acknowledging a delay from the beginning.

For a new brand trying to establish its reputation, transparency can be an important competitive asset.

After-Sales Support Will Separate the Brands

The growing number of brands in Pakistan means that customers will increasingly compare not only vehicles but also ownership experiences.

A vehicle can have an attractive price and an impressive list of features, but if the customer struggles to get it serviced or cannot obtain a required spare part, the initial attraction can quickly fade.

This makes after-sales support one of the most important areas for distributors to address.

A capable after-sales operation requires trained technicians, appropriate diagnostic equipment, genuine parts and clear procedures for warranty and technical complaints.

It also requires management attention.

When a customer reports a problem, there needs to be a process for registering the complaint, identifying its cause, determining responsibility and providing a solution within a reasonable timeframe.

For new brands, these systems are especially important because early customer experiences can shape the perception of the entire brand.

Spare Parts: A Critical Piece of the Puzzle

Spare-parts availability remains one of the most closely watched issues for customers considering relatively new automotive brands.

The concern is straightforward: if something goes wrong, how long will the vehicle remain off the road?

For routine maintenance items, distributors should ideally maintain adequate local inventory. For less common components, there needs to be an efficient ordering and logistics system.

This is not merely a customer-service issue. It is also a business-planning issue.

A distributor that sells thousands of vehicles without adequately planning its parts inventory could find itself dealing with growing customer dissatisfaction later.

On the other hand, investment in parts availability can strengthen customer confidence and support workshop revenue.

The objective should be to create a system in which customers know that the distributor has both the resources and the commitment to keep their vehicles running.

Warranty Is a Test of Trust

Warranty support can have an even greater impact on customer confidence.

When buying a new vehicle, customers expect the distributor to stand behind the product. If a genuine manufacturing or technical issue emerges, the customer wants a clear and fair process for resolving it.

For distributors, warranty management can also provide valuable information.

If several customers report the same problem, the distributor can identify a pattern and communicate the issue to the manufacturer. This can lead to technical guidance, software updates, improved components or other corrective measures.

In this sense, warranty data should not be viewed simply as a financial liability.

It can become an important feedback mechanism between customers, distributors and manufacturers.

The strongest distributors will likely be those that use this information to improve the ownership experience rather than simply treating each complaint as an individual case.

New Technology, New Training Requirements

The arrival of hybrid and electric vehicles adds another dimension to the after-sales challenge.

These vehicles require technicians with specialized training and appropriate diagnostic equipment. High-voltage systems, battery management and electronic control systems require a different level of technical understanding from traditional internal-combustion vehicles.

This means distributors entering these segments need to invest in people as well as infrastructure.

A modern showroom can create interest, but a well-trained technician can determine whether that customer remains satisfied years after the purchase.

Training therefore needs to be treated as a long-term investment rather than a one-time launch requirement.

Customers Are Becoming More Demanding — and More Informed

The Pakistani automotive customer has also changed.

The internet and social media have made international product information readily accessible. A potential buyer can watch overseas reviews, compare specifications, read owner experiences and investigate common problems before making a purchase.

This has reduced the information gap between manufacturers and consumers.

Customer experiences can also spread quickly.

A positive experience with a dealership or workshop can strengthen a brand’s reputation. Conversely, unresolved complaints can become visible to a much wider audience through social-media platforms and online automotive communities.

This creates both a challenge and an opportunity for distributors.

Good customer service is no longer something that remains inside the dealership. It can become part of the public reputation of the brand.

Building the Network Is as Important as Building the Brand

For a new automotive distributor, the temptation may be to focus heavily on showroom expansion.

But the service network deserves equal attention.

Customers outside major urban centres also need access to qualified service facilities. While it may not be commercially practical for every new brand to immediately establish full-scale dealerships across the country, distributors can explore satellite service facilities, authorized workshops and other support arrangements.

The key is accessibility.

Customers need to know where they can take their vehicle when routine maintenance is due or an unexpected problem occurs.

The quality of the network is also important. A large number of workshops does not necessarily guarantee a good customer experience if technicians are inadequately trained or diagnostic equipment is unavailable.

Communication Could Be the Simplest Solution

Interestingly, not every customer complaint requires a major investment to address.

Sometimes, better communication can make a significant difference.

A customer waiting for a spare part may be frustrated, but regular updates can reduce uncertainty. A warranty case that requires additional investigation may be acceptable if the customer understands what is happening and when the next update can be expected.

This is where customer-care systems become important.

Distributors can introduce dedicated complaint channels, service-booking platforms, digital warranty tracking and automated maintenance reminders.

These systems can improve efficiency while also giving management better visibility into recurring customer issues.

For a growing distributor, that information can be extremely valuable.

Teething Problems Should Become Lessons

Every new automotive operation will face challenges.

The important question is whether those challenges are treated as temporary problems or as opportunities to improve the business.

If a distributor receives repeated complaints about a particular spare part, it can increase inventory.

If customers complain about service delays, workshop capacity can be reviewed.

If technicians repeatedly encounter the same technical problem, additional training or manufacturer support can be arranged.

In this way, customer complaints can become a source of business intelligence.

The first few years of a new brand’s operation can therefore be particularly important. The distributor is not simply selling vehicles; it is learning what the Pakistani customer expects and adapting its operations accordingly.

Price and Features Will Not Be Enough

The automotive market is becoming increasingly competitive, and customers are likely to compare vehicles on several dimensions.

Price will remain important. Features will remain important. Design, fuel economy, technology and resale value will also influence purchasing decisions.

But ownership experience can become an equally important consideration.

A customer may accept a slightly higher purchase price if they have confidence in the distributor’s service network. Similarly, an attractive specification may lose some of its appeal if the customer believes spare parts will be difficult to obtain.

This is why the long-term success of new brands will depend on more than the product itself.

The distributor is effectively selling a promise of continued support.

The Long-Term Test

Pakistan’s automotive market has room for new products and new business models. The growing presence of international brands can bring new technology, greater competition and more choice for consumers.

But the market will eventually separate short-term launches from sustainable businesses.

A successful distributor needs to think beyond the first sale.

It needs to plan for the customer’s second service visit, the first warranty claim, the replacement of a damaged component and the day when a customer recommends — or does not recommend — the brand to a friend or family member.

That requires investment in infrastructure, people, technology and communication.

Most importantly, it requires treating after-sales service as part of the product rather than an activity that begins only when something goes wrong.

From New Entrant to Established Brand

The influx of new automotive brands is a positive development for Pakistan’s consumers because it expands choice and introduces greater competition.

But launching a new model is relatively easy compared with establishing a trusted automotive brand.

That trust is built gradually — through vehicles being delivered when promised, spare parts being available when required, warranty claims being addressed professionally and service issues being resolved without unnecessary delays.

Customers understand that new distributors may face teething issues as they build their operations.

What they increasingly expect, however, is a visible commitment to resolving those issues on priority.

For distributors, this is more than a customer-service responsibility. It is a business imperative.

In a market where several new brands are competing for the same customer, the showroom may win the first sale. The service centre, the parts department and the customer-care team may determine whether there is a second one.

That is likely to be the real test facing Pakistan’s emerging automotive brands in the years ahead.

This exclusive article has been published in Automark’s October-2026 printed and digital edition. Written by Aqeel Bashir

Tax Changes Reset Pakistan’s Hybrid SUV Pricing as Chery Pushes Aggressive Value Play

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Tax Changes Reset Pakistan’s Hybrid SUV Pricing as Chery Pushes Aggressive Value Play

Pakistan’s hybrid and plug-in hybrid vehicle market is entering a sharper phase of price competition after the latest sales tax changes pushed automakers to revise ex-factory prices, with Chery Master Pakistan emerging with one of the more aggressive customer-retention strategies through partial tax absorption and limited-stock pricing.

Recent price notifications issued by Chery Master Pakistan, Lucky Motor Corporation and Hyundai Nishat Motor show that automakers are increasingly using tax absorption, promotional discounts and price-lock mechanisms to soften the impact of the revised taxation structure on buyers.

Chery Master Pakistan has extended its limited-stock price absorption offer across its locally assembled Chery Super Hybrid Tiggo range, keeping the Tiggo 7 PHEV at Rs9.999 million, Tiggo 8 PHEV at Rs11.499 million and Tiggo 9 PHEV at Rs14.299 million.

According to the company’s dealer communication, these prices translate into estimated customer savings of Rs950,000 on the Tiggo 7, Rs1.5 million on the Tiggo 8 and Rs1.45 million on the Tiggo 9.

The move is significant because it places Chery’s plug-in hybrid SUVs at price points that now overlap — and in some cases undercut — conventional hybrid competitors following their latest price revisions.

Lucky Motor Corporation has announced the new Kia Sportage L 1.6T FWD HEV at Rs12.199 million and AWD HEV at Rs13.299 million, while the newly introduced Sorento 1.6T AWD PHEV has been priced at Rs18.999 million.

This leaves the Chery Tiggo 8 PHEV at around Rs700,000 below the Sportage FWD HEV and Rs1.8 million below the Sportage AWD HEV, despite the Tiggo offering plug-in hybrid capability.

The price difference becomes considerably wider in the upper segment. The Tiggo 9 PHEV at Rs14.299 million is Rs4.7 million cheaper than the Kia Sorento AWD PHEV, based on the latest announced ex-factory prices.

Hyundai Nishat Motor has also revised prices following the federal tax changes, while introducing a limited-time Independence Day promotional offer valid until August 31.

Under the promotion, the Tucson Hybrid Smart FWD is available at Rs12.202 million and Tucson Hybrid Signature AWD at Rs13.300 million, while the Santa Fe Hybrid Smart FWD and Signature AWD have been offered at Rs13.258 million and Rs14.720 million, respectively.

The comparison indicates that Chery is attempting to position its PHEV technology within — rather than above — the price band traditionally occupied by locally assembled hybrid SUVs.

For example, the Tiggo 7 PHEV remains below Rs10 million, putting it more than Rs2 million below the promotional price of the Tucson Hybrid Smart FWD. The Tiggo 8 PHEV, meanwhile, remains below the revised pricing of both the Sportage L and Tucson hybrid ranges.

The latest price actions also illustrate how the government’s revised tax treatment is reshaping competition in Pakistan’s still-developing new-energy vehicle market.

Instead of simply passing the entire additional tax burden to consumers, manufacturers are increasingly absorbing part of the impact to protect volumes in a price-sensitive market.

Chery’s strategy appears particularly aggressive because the company is combining tax absorption with PHEV positioning at prices increasingly comparable with conventional hybrids.

While direct comparisons remain subject to differences in vehicle size, equipment, performance and specifications, pricing is likely to become an increasingly important factor as Pakistani buyers evaluate hybrids and PHEVs not only on upfront cost but also on electric driving range, fuel consumption and longer-term running expenses.

With Kia and Hyundai also using price absorption and promotional offers to defend market share, the latest adjustments suggest that competition in Pakistan’s electrified SUV segment is shifting from product launches toward a broader battle over technology, pricing and overall customer value.

As received this comparison

SAIC-GM’s 20-year renewal highlights China’s key role in auto innovation and global growth

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SAIC-GM’s 20-year renewal highlights China’s key role in auto innovation and global growth

Chinese auto giant SAIC Motor and the US automaker General Motors (GM) have signed an agreement to extend their joint venture (JV) partnership by 20 years to 2047.

Building on nearly three decades of cooperation, the renewed agreement aims to accelerate SAIC-GM’s transition toward intelligent electric vehicles (EVs) and advance its global expansion.

The extension of the JV reflects both sides’ confidence in the long-term potential of China’s auto market and their future cooperation, a Chinese industry expert said, noting that China has long been one of GM’s most important overseas markets and a key growth engine. As the auto industry shifts toward electrification and intelligent mobility, China has become a leading hub for NEV innovation and competition. 

Despite US relentless attempts to hype “China security risks” and impose restrictions, American companies are voting with their feet, showing that China remains an irreplaceable strategic market for global automakers, the expert said, noting that the two countries still have substantial potential for cooperation in advanced manufacturing, green transition and cutting-edge innovation.

Strong messages

The renewed partnership ushers in a new stage for SAIC-GM, a major player in China’s auto industry since the late 1990s, with the JV set to accelerate innovation, expand growth opportunities and strengthen long-term profitability.

Speaking at the signing ceremony on Wednesday, GM Senior Vice President and President of GM China John Roth said that the agreement “reflects our shared confidence in SAIC-GM and its long-term growth potential,” stressing the company’s “commitment to strong performance in the China market.”

“It is not only about continuing what we have built together. More importantly, it is about building a more competitive, resilient, and sustainable business for the future,” he said.

On a further note, Roth said that “China’s automotive market moves fast. Customer expectations are rising, technology is advancing quickly, and competition grows more intense every day. To succeed, we need to move with speed, stay focused on customers, and execute with discipline.”

Having manufactured and delivered more than 20 million vehicles and established end-to-end vehicle development capabilities early on, SAIC-GM is building on its momentum with a growing portfolio of products defined and developed locally, according to the press release that the company shared with the Global Times on Thursday.

From ‘China-made’ to ‘China-innovated’

SAIC-GM’s JV, launched in 1997, is approaching 30 years. In 2025, the two sides accelerated cooperation, launching the “Xiaoyao” super integration architecture developed under the leadership of the Chinese team, as well as Buick’s premium new energy sub-brand – Electra. According to the plan, the Buick Electra E7 will enter overseas markets in October this year, becoming SAIC-GM’s first premium new-energy vehicle (NEV) to be exported globally.

From its early manufacturing roots in Shanghai to exporting globally competitive NEVs, SAIC-GM’s growth reflects both the transformation of China’s auto industry and the expanding cooperation between Chinese and US companies, experts said.

“Extending SAIC-GM’s JV term by 20 years, among the longest in China’s auto sector, signals the US carmaker’s long-term commitment to the Chinese market. It shows that for global automakers, China is not just a source of short-term profits, but a key hub for innovation, competitiveness and future growth,” Cui Dongshu, secretary-general of the China Passenger Car Association, told the Global Times on Thursday.

China’s EV has been the leading development drive in the world. From January to June 2026, China accounted for 31 percent of global auto sales, while the country’s share of the global NEV market reached around 60 percent, highlighting the strong global competitiveness and growing popularity of Chinese NEVs.

This cooperation also mirrors the bigger trend of the great transformation of China’s car industry.

Over the past three decades, China’s auto JV model has focused on “introducing technology, developing the industry and expanding the market,” with global automakers providing brands, technologies and management expertise, while Chinese partners contributed market access, manufacturing capabilities and supply chain strengths.

Cui said that as China’s NEV and smart connectivity technologies have advanced rapidly, the model is shifting from one-way technology transfer to two-way empowerment. Backed by a world-leading EV supply chain and innovation capabilities, China has become a key force driving the transformation of the global auto industry.

As China’s auto market accelerates toward electrified intelligent vehicles, SAIC-GM will launch at least 30 NEVs by 2030 and deploy more technology solutions developed in China for the Chinese market. It will further expand the EV product portfolios of Buick and Cadillac.

“To stay competitive in the evolving global auto industry, foreign auto companies including the US companies need to continue treating China as a strategic long-term market,” Cui said.

The partnership extension also reflects the fact that GM places great importance on the stability of the Chinese market. For the manufacturing sector, a 20-year cooperation period is a realistic and reasonable arrangement, Zhou Mi, a researcher at the Chinese Academy of International Trade and Economic Cooperation, told the Global Times on Thursday.

Given its position in the automotive industry, GM’s decision to further deepen its JV cooperation reflects its confidence in the long-term growth potential of the Chinese market, said Zhou.

From localization to globalization

While deepening their presence in China’s vast market, another key purpose behind the extension goes beyond China itself.

Roth said that they see meaningful opportunities to grow beyond China. “SAIC-GM has strong local capabilities across engineering, manufacturing, and quality, and we can apply those strengths in select international markets, including the Middle East, Africa, South America, Mexico, and Asia-Pacific,” he noted.

Going forward, the JV is expected to move beyond the traditional model of “foreign partners providing technology and Chinese partners handling manufacturing” toward a new stage of complementary strengths, joint innovation and shared global markets.

At the signing ceremony, SAIC Chairman Wang Xiaoqiu outlined a new direction for SAIC-GM’s development: Moving from “technology introduction and local production” 30 years ago to “local innovation and global sharing” today, JV automakers are entering a new stage of globalization, with Chinese-developed technologies and products expanding into global markets.

“China is no longer just a major market for global automakers, but also an increasingly important source of automotive innovation, product development and industrial capabilities for companies eager to go global,” Cui said.

The industry analyst’s words did not come out of the blue. In addition to GM, other US automakers such as Ford are also strengthening cooperation with Chinese automaker Geely by producing electric SUVs at Ford’s factory in Spain as part of their global expansion strategy.

Under a JV that will be 66 percent owned by Ford and 34 percent by Geely, the first Geely-brand electric SUVs will roll off the production line at the Valencia plant in 2028.

In the past, foreign automakers such as GM and Ford mainly brought their technological advantages to China and leveraged the country’s manufacturing workforce to expand their operations. Today, they are increasingly tapping into China’s innovation ecosystem and comprehensive industrial supply chains to support their global strategies, Zhou said, noting that GM’s latest cooperation agreement also reflects a broader market demand – the need to establish long-term and stable industrial partnerships.

For multinational automakers, increasing investment in China and deepening local partnerships not only serves the interests of the Chinese market, but is also crucial to strengthening their own global competitiveness, the expert said.

“As the auto industry evolves beyond the energy transition toward intelligent vehicles, China’s vast user base, data resources and application scenarios provide unique advantages. Deepening cooperation in China can create greater industrial value and deliver win-win outcomes for all stakeholders,” said Zhou.

The Real Test of Chinese Electric Bikes in Pakistan Will Be in the Workshop—Not the Showroom

Asif Mehmood
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The Real Test of Chinese Electric Bikes in Pakistan Will Be in the Workshop—Not the Showroom

Pakistan’s electric two-wheeler market is entering an exciting phase. Chinese manufacturers have introduced a wide range of electric bikes equipped with Lithium-ion, Lithium Iron Phosphate (LFP), and Graphene battery technologies, offering attractive designs, competitive pricing, and modern features. While lithium-based batteries have generally proven to be more durable, reliable, and consistent in performance, graphene battery technology continues to present greater challenges in Pakistan’s operating environment, particularly in battery life, charging behavior, performance consistency, diagnostics, and warranty-related concerns.

These challenges make one thing abundantly clear: the long-term success of Chinese electric bike brands in Pakistan will not be determined by how many motorcycles leave the showroom. It will be determined by how effectively manufacturers support customers after the sale—especially when battery-related issues arise.

The real test of every electric bike brand begins when the customer enters the workshop—not when they leave the showroom.

Sales Win Customers; Aftersales Keeps Them

In the automotive industry, selling a vehicle is only the beginning of the customer’s journey. The real relationship starts after delivery.

Unlike conventional motorcycles, electric bikes depend heavily on sophisticated electrical and electronic systems, including lithium battery packs, Battery Management Systems (BMS), motor controllers, onboard chargers, sensors, wiring harnesses, and software. These components require specialized diagnostic equipment, trained technicians, genuine spare parts, and structured warranty procedures.

Whether the vehicle uses a Lithium-ion, LFP, or Graphene battery, the quality of aftersales support ultimately determines customer satisfaction. A battery problem that is diagnosed quickly, repaired professionally, and resolved under a transparent warranty process strengthens customer confidence. Conversely, delayed diagnostics, unavailable spare parts, or poor technical expertise can damage a brand’s reputation regardless of how attractive the product appeared in the showroom.

As the saying goes:

“The first bike is sold by the showroom. The second bike is sold by the workshop.”

Pakistan’s Biggest Challenge Is Not Technology

Chinese manufacturers have already demonstrated that they can build innovative and affordable electric motorcycles.

Pakistan’s biggest challenge is not importing electric bikes—it is building the service ecosystem that supports them throughout their lifecycle.

Many customers ask the following questions before purchasing an EV:

  • Where will I get my bike repaired?
  • Are spare parts readily available?
  • Is there a trained technician in my city?
  • What happens if my battery fails?
  • How long will a warranty claim take?

These questions often influence purchasing decisions more than acceleration, top speed, or riding range.

Industry observations and consumer discussions consistently show that concerns about aftersales support, spare parts availability, warranty handling, battery reliability, and skilled technicians remain among the biggest barriers to EV adoption in Pakistan.

Every Workshop Represents the Brand

A customer rarely judges a brand solely by product quality.

They remember:

  • How quickly the complaint was resolved.
  • Whether spare parts were available.
  • Whether technicians understood the problem.
  • Whether warranty commitments were honored.
  • Whether they were treated with professionalism and respect.

Every service advisor, technician, workshop manager, and customer service representative becomes the face of the company.

Poor workshop experiences damage brand reputation much faster than poor advertising.

Building Trust Beyond the Sale

For Chinese electric bike manufacturers to establish long-term success in Pakistan, investment must extend far beyond product imports.

The priorities should include:

  • Nationwide service and dealer networks.
  • Continuous EV technical training.
  • Advanced diagnostic equipment.
  • Genuine spare parts availability.
  • Efficient warranty management systems.
  • Digital service records and customer support.
  • Battery testing and health monitoring facilities.
  • Continuous feedback to improve product quality.

The companies that recognize aftersales service as a strategic investment—not merely an operational expense—will be the ones that earn customer trust and sustain long-term growth.

Lessons from My Previous Articles

Over the past several months, I have written extensively on Pakistan’s evolving electric mobility ecosystem. Those articles emphasized several key themes that remain highly relevant today:

  • Battery Technology: Understanding Lithium-ion, LFP, and Graphene batteries, their characteristics, advantages, limitations, and operating conditions.
  • Battery Intelligence: The critical role of Battery Management Systems (BMS), intelligent charging, and battery protection in maximizing safety and performance.
  • Customer Education: Teaching riders proper charging practices, storage procedures, and preventive maintenance to extend battery life.
  • EV Aftersales Readiness: The importance of trained technicians, diagnostic tools, standardized service procedures, and technical competence.
  • Warranty & Reliability: Why transparent warranty systems and readily available spare parts are essential for building customer confidence.
  • Future of Electric Mobility in Pakistan: Sustainable growth depends not only on innovative products but also on a dependable ownership experience.

These topics are interconnected because customer confidence is built through the complete ownership journey—not merely the purchase decision.

The Road Ahead

Pakistan has tremendous potential to become one of the fastest-growing electric two-wheeler markets in South Asia.

Chinese manufacturers possess the technology.

Dealers possess the ambition.

Customers are increasingly willing to embrace electric mobility.

Now the industry must strengthen the missing link—aftersales service.

Companies that invest today in technician development, spare-parts logistics, warranty excellence, diagnostic capability, and workshop infrastructure will not only sell more motorcycles but also build lasting customer loyalty.

In the end, every electric bike will eventually visit a workshop.

That is where brands earn—or lose—the trust of their customers.

Conclusion

The future of Chinese electric bikes in Pakistan will not be written by showroom sales alone.

It will be written in the workshops, where battery technology is tested, technical expertise is demonstrated, warranty commitments are fulfilled, and customer trust is either strengthened or lost.

Strong workshops create confident customers, and confident customers build successful brands.

This exclusive article has been published in Automark’s August-2026 printed edition. Written by @asif-mehmood

From Supply Chain Resilience to Manufacturing Excellence: The Next Chapter of Pakistan’s Automotive Industry

Muhammad Rafique
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From Supply Chain Resilience to Manufacturing Excellence: The Next Chapter of Pakistan’s Automotive Industry

DEAR READERS !!!

In the July edition of Automark Magazine, we explored “Supply Chain Challenges and Opportunities in the Automotive Industry. Creating Resilience for the Future of Mobility.” The article emphasized how Pakistan’s automotive industry was able to overcome the challenges of unforeseen global disruptions through robust supplier relationships, better inventories, collaborations, and developing resilient supply chains that could withstand any uncertainties. As the industry begins to move out of the recovery stage, there is a different and equally relevant question that arises: what next after resilience?

Resilience in the supply chain is not the end goal, but rather the starting point to build manufacturing excellence. As supply chains become more resilient and reliable, the attention should turn to optimizing manufacturing efficiency, localizing the process faster, adopting intelligent manufacturing systems, and building world-class manufacturing skills. For the future of the automotive sector in Pakistan, it will depend not just on acquiring components and materials, but on producing quality output using world-class manufacturing standards.

In this month’s edition, we continue that journey by exploring how Pakistan’s automotive sector can transition from Supply Chain Resilience to Manufacturing Excellence, creating a sustainable pathway towards productivity, innovation, operational excellence, and regional competitiveness. The journey from supply chain resilience to manufacturing excellence represents the natural evolution of Pakistan’s automotive industry. As Supply Chains ensure business resilience, manufacturing excellence ensures competitiveness. The companies of the future would be those that have both resilience in sourcing as well as lean processes and continuous improvement mindsets.

There are numerous reasons why Pakistan has the capacity to become a notable manufacturing center in the region. However, this would be possible only if the efforts are exerted by all stakeholders of the manufacturing process: suppliers, manufactures, policymakers, as well as academia to create a system where value is created through quality, innovations, sustainability, and performance excellence. As we move further in this series in Automark Magazine, it is important to keep in mind that resilience was the key factor that allowed us to overcome the obstacles in the past; manufacturing excellence will ensure our future success. The next chapter in the development of Pakistan’s automobile sector is not just about creating more cars; it is about making them better, smarter, and with the ability to compete in the global environment. In recent years, the automobile industry in Pakistan has faced some of the toughest challenges in its history. Disruptions in the global supply chain, the increase in freight costs, foreign exchange issues, inflation, and irregular supply of raw materials pushed manufacturers to reassess the core principles of production process.

Now that supply chains are slowly stabilizing, the discussion needs to shift from recovery mode to something else. Resilience is not enough anymore. The next step for the Pakistani automotive sector is to develop resilience into world-class manufacturing companies with the capacity to compete through quality, productivity, innovation, and sustainability. Manufacturing goes beyond putting cars together. Manufacturing is about instilling confidence. Each and every car coming out of an assembly line comes as a result of thousands of decision-making processes, many engineering hours, rigorous quality assurance checks, and the hard work of people whose faces go unseen. Behind each and every product is a group of suppliers, engineers, technicians, planners, logisticians, and production teams that work with a common goal.

Pakistan has immense potential in the manufacturing sector. We have a young, competent and hungry workforce. Pakistani engineers have been consistently showing tremendous flexibility even though they work with limited resources. The local suppliers have become increasingly competent and started adopting high standards of quality along with modern manufacturing techniques. All this needs to be appreciated because it shows that competitiveness does not lie in the economic size of a country; rather it lies in the dedication of its people. Nevertheless, the competition has changed a lot since then. Automotive manufacturing cannot be judged merely on the basis of production volume any more. Now, it is being judged on the basis of efficiency of operations, reliability, speed, digitalization, environment-friendliness and continuous improvement. The ones that succeed are those who can produce excellent cars efficiently and adapt themselves to the ever-changing demands of customers. And this is the place where the concept of lean manufacturing is not merely a management approach but a culture. The idea of lean manufacturing goes beyond just removing wastes or reducing cost. At the end of the day, lean manufacturing is about respect for people. Small improvements implemented consistently often create greater long-term value than occasional large-scale transformations. When every employee feels responsible for quality, safety, productivity, and customer satisfaction, continuous improvement becomes part of the organization’s identity rather than a scheduled initiative.

Many of the Pakistani automotive companies have already embarked upon this path. Automated production planning, ERP integration, real-time inventory visibility, and formalized quality management practices have slowly but steadily taken the place of inefficient manual practices. Information has become as important an asset as equipment itself. Decision-making based on reliable information helps organizations minimize downtime, increase the accuracy of planning, improve traceability, and tackle production issues proactively. The shift from experience-based approach to data-driven manufacturing is undoubtedly one of the biggest potentials of the industry. Future manufacturing facilities will not be characterized only by automation or robotics. They will be characterized by intelligence. Smart manufacturing involves the connection of people, machinery, processes, and information into one single ecosystem, which makes decision-making quicker and allows to detect potential problems even before they arise. Technologies like IIoT, predictive maintenance, artificial intelligence, digital dashboards, and automated quality control are no longer futuristic concepts of developed countries. They are becoming practical tools that improve productivity, enhance reliability, and strengthen competitiveness.

But even technology alone will not revolutionize the sector. It all comes down to people. Any effective manufacturing process requires visionary leadership, innovative engineering, skilled technicians, and dedicated operators in every single job that they do. Development of skills will have to go hand-in-hand with investments in technology. Skill development, technical education, training for leadership, and a learning culture will decide whether Pakistan is going to be just another country practicing the latest manufacturing techniques or actually excelling in them. One more area of opportunity is that of localization. Reduction in reliance on imported components is not just an economic goal any more – it is an absolute requirement. With each component developed domestically comes greater capacity of the country’s industries, creation of job opportunities, shortened supply lines, improved responsiveness, and foreign exchange savings. But above all, localization will drive innovation. The more developed domestic suppliers get, the more involved in the actual product development process they will be.

The development of electric mobility technology is another interesting aspect of this change. The impact of the development of electric vehicle production is being felt all over the world, and Pakistan is capable of participating in one of the most interesting stages of this revolution. In order to establish expertise in the assembly, batteries, charging equipment, and components of electric vehicles, a long-term approach and coordinated investments will be needed. Those companies who invest in this change today will have an advantage when competing tomorrow. Sustainability should be also an essential part of excellence in manufacturing. Customers, investors, and international partners are considering the performance of the company not only in terms of profitability but also in environmental terms. Energy efficient processes, responsible waste disposal, resource preservation, and internationally certified management systems cannot be considered additional but essential in the modern automotive business.

Probably, the biggest opportunity that lies ahead for the automobile industry in Pakistan is that of becoming a manufacturing center in the region. Being strategically located, with an increasing capacity of our industries and engineers, we are well placed to capitalize on such an opportunity. This would demand maintaining good quality, cost competitiveness, performance delivery, and cooperation between the government, industry, education sector, and suppliers.

Take way from this article:

Each era of turbulence always provides useful lessons to learn. The problems with the supply chains in the past few years have taught manufacturers about resilience, collaboration, and flexibility. These lessons need to be transformed into a more comprehensive change which will see manufacturing excellence take precedence over everything else in the future of industrial Pakistan. The way forward does not involve rebuilding what has been lost but creating something better than ever. The automotive industry of Pakistan is at a very important junction where the shift from supply chain resilience to manufacturing excellence needs to be embraced for national benefit. Through lean philosophy, digital transformation, localization, human capital, and sustainable manufacturing, the industry can achieve global competitiveness.  The next chapter has already started. It won’t be written solely by technology or solely by policy. It will be written everyday in factories, design offices, supply chains, and every individual who is convinced that Pakistan is able to build cars and an auto industry that is capable of standing proud amongst the best in the region.

This exclusive article has been written by @muhammad-rafique and published in Automark’s August-2026 printed edition

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