Javed Afridi is teaming up with MG motors to manufacture cars in Pakistan. This can prove to be beneficial for Pakistan. Read on to find out more about it.
Javed Afridi is the CEO of Haier. He is also CEO/Founder of cricket team Peshawar Zalmi in Pakistan Super League (PSL). He was conferred with Sitara-E-Imtiaz. Javed Afridi is also the owner of MG JW Automobile Pakistan. MG JW Automobile Pakistan is a subsidiary of JW Auto Park. MG Motors is one of the car companies that came to Pakistan after the government announced its Auto Development Policy (2016-21). They will introduce electric vehicles to Pakistan. Shanghai Automotive Industry Corporation owns Morris Garages Motor UK Limited. It has signed a Memorandum of Understanding (MoU) with JW Automobile Pakistan. Also it intends to construct an electric vehicle manufacturing facility. MG Motors has launched 2 models in Pakistan (The MG HS and MG ZS EV) in 2020.
Let’s date back to history of MG Motors. It is an iconic British motoring brand manufactured its first car in 1924. MG had started life as a British company but then a Chinese firm bought it. This brand produces speedy and exciting automobiles that are always enjoyable to drive. With a well-established global reputation, MGs have arrived in Pakistan. This happened through a joint venture between SAIC and JW SEZ Pvt Ltd.
Javed Afridi is a key stakeholder of MG Motors in Pakistan. He said in a previous interview that they had a good experience in Pakistan’s auto industry. This happened after they launched commercial vehicles. This includes trucks under the banner of JW-Forland. MG Motors intends to develop a second EV assembly plant in Karachi, Pakistan. Javed Afridi said this in a recent interview with international media. According to him, they will concentrate on the demand of right-handed electric vehicles. Over the years, Pakistani market got low quality cars in expensive prices. Customers faced delay in delivery of the automobile as well.
If we scrutinize the competition of MG in the Pakistani market lots of other brands have now moved. They are ready to launch their cars in Pakistan. Changan Company released its Changan Alsvin car with a very fair price in Pakistan last year. This is a very well known sub-compact sedan car. Proton also intends to offer the Proton Saga in Pakistan, which is also a sub-compact sedan. Now, MG Motor is planning to rule in the market. They want to introduce the MG5, a sub-compact sedan car, in Pakistan. As a result, we will see a lot of competition in sub-compact sedan automobiles in the future. This is great news for Pakistanis. Javed Afridi, the owner of MG automobiles in Pakistan, tweeted about the MG5.
Recently there has been a lot of discussion about the operational behavior of MG. People were skeptical and many were raising doubts. MG found itself between a rock and a hard place. This happened as a large number of its upset customers congregated outside its dealership franchises. Things seemed bleak for MG Pakistan. This happened with the Federal Bureau of Revenue’s (FBR) investigation for them. Yet, the company is attempting to re-build its camaraderie with the government. The same problem occurred a few months ago. MG announced that the reason for delay was the steep increase in shipping costs and a shortage of cargo containers. But, the cause for the current delay in deliveries is still unknown.
In a recent post on MG Pakistan’s Facebook page, the company showed their local assembly plant. Currently it is being constructed under the ‘greenfield status,’ and is almost ready. The manufacturing of CKD means that the company can now begin delivering these units. This should result in a smooth delivery to its customers. This is a big stride forward for the company, as it was before selling CBU HS units. Due to pandemic restrictions, this caused delays in the delivery of these vehicles. Javed Afridi announced a significant expansion of MG vehicles. Afridi claimed in a tweet, “Alhamdulillah, first locally produced MG automobile is on the wheels.” “A great step forward, not only for us but for the whole Automotive Industry in Pakistan,” he added.
Considering the economy of Pakistan, local manufacturing of cars will add great value. Also it is difficult to separate fact from rhetoric on this matter. Pakistani citizens are worried due to the consecutive increase in prices of petrol and cars. Introducing fuel efficient cars into the market will capture more customers. This can lead to an increase in the economy of the automobile industry all across Pakistan. Also, it will also encourage other brands like KIA, Volkswagen, and Cherry to open their operations in Pakistan. This can create more jobs for Automobile Engineers and Workers. Because it will encourage those who prefer to work in other countries. Also car sales will generate revenue for the government. Revenue will come through sales, excise taxes, registration charges, and other taxes.
What is your take on this announcement? Are you excited?