Monthly Automark Magazine - February

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AUTOMARK MAGAZINE

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MONTHLY

Editorial

The Magazine for Pakistan Automotive Sector

February 2011 Vol 4, Issue 02 Editor : M. Hanif Memon Sub Editor : Dr. Raja Irfan Sabir Contribution Writers : Syed Mansoor Ali Sabir Shaikh IHT Farooqui Asif Masood Shahzad Tabish Ali Hassan Mohammad Owais Khan Omar Rashdi Muneeb Jawed

Environmental Concerns Industrialists suppose to change in prevailing environment laws so that they should be incorporated in laws making them more practical. The biggest issue is to tackle with environment issues and make the country pollution free. The present environment law has a clause that every industry which generating waste waters it must have effluent treatment plant. Industries are developed in a way that they have no place to install effluent treatment plant. Industrialists to go for combined effluent treatment plant where they do not have enough place to install independent effluent treatment plants.

Advisor : Imtiaz Rastgar Abdul Majeed Sheikh IHT Farooqui J. Pereira Circulation Manager : Abdul Khaliq Designed By : Mustafa Hanif

Postal Address Active Communications D-68, Block-9, Clifton,Karachi Visit us: www.automark.pk E-mail: magazine@automark.pk automarkpk@gmail.com Tel/Fax : 021-32218526 Mobile: 0321-2203815

Industrialists also to look at poisonous smoke being emitted from chimneys of the industries and make efforts overcome its issue, a few water treatment plants by the government are in the pipeline and hoped that they would be executed and commissioned soon. The discharging untreated water has already destroyed coastal life and advised industrialists that they should comply with the rules and regulations and ensure not to release untreated water into the sea. Industries could double their exports by turning their manufacturing units as environment friendly. People in Pakistan are more concern about their day to day issues due to rising cost of living and they are paying no heed to env iro nme nt protection and environment issues. The transport sector is the biggest polluter in this country as it is creating noise as well as environmental pollution government should not be black-mailed in the hands of transporters and carry out a major and effective campaign against them.


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CONTENTS The Mo nthly Magazine for Pakistan Automotive Sector

e-magazine Issue at our website

Your trust is our success

Confusion over actual bike production figures in 2010 Exclusive Article on Motorcycle Sector by Ali Hassan

09-10

Is Tractorization synonymous with Mechanization? Cover Story - by Syed Mansoor Ali

11-12

Brokers, dealers,commission agents play havoc with used car prices Exclusive Review by M. Owais Khan

13-14

Distributorless Ignition System Exclusive Article by Omar Rashdi

15

Cooling System of a Car Exclusive Article by Danish

17-35-36

Pioneering the Student Formula Racing From Pakistan Exclusive Article by Shahzad Tabish from NED-Karachi

20-22

Ten years history of local bike making in Pakistan 2001-2010 Exclusive Review by Sabir Shaikh - Chairman APMA

23-25

Motorcycle Production Figuers

26-27

Suzuki cars are the ideal choice for salaried Individuals 28 Composed by Muneeb Jawed from NED -Karachi

visit: www.automark.pk

Local assembled car price list - Updated Feb-2011

43

First Motor Vehicle Fitness Certification Centre Exclusive by Asif Masood from Islamabad

46-47

Master Motor - Launched Fuso in Pakistan - Events

46-47

Dynasty Electric Car - by IHT Farooqui

48-49

Motorcycle price list - Uptated Jan-2011

50-51

The only ONLINE automotive magazine in Pakistan


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Exclusive Report on Bike Production

by Ali Hassan

Confusion over actual bike production figures in 2010 Some assemblers contest that 1.5 million were produced in 2010 instead of 1.8 million

Conflicting claims have emerged regarding actual production of two wheelers in Pakistan as the boss of Engineering Development Board (EDB) on local vendors’ feed back believes that production has touched 1.8 million in 2010 while the industry say that bike production is around 1.5 million units last year. The EDB chief executive Aitazaz Niazi has pointed out in a print media that as per PAAPAM estimates a record 1.8 million bikes were assembled in 2010 in which Chinese bike’s share was 55 per cent while Japanese bikes held 45 per cent share. Chinese bike makers believe that the government should check the vendors’ wild estimate and how they could quote exaggerated figures when 2009-2010 production was only 1.3 million units. Except for Honda and Suzuki bikes, many assemblers felt turbulence in their

sales from July to October 2010 period due to floods and its impact on various crops and lands. Chinese bike makers had been saying that 2010-2011 bike sales may remain more or less same as of the last fiscal or improved slightly and may not exceed 1.5 million units due to economic and political situation. Only few assemblers like Honda and Pak Suzuki had been enjoying improvement in sales since July 2010 onwards while sale of Yamaha bike which was 10,659 units in July 2010 had been plunging till November 2010 but regained to above 10,000 units from December 2010. A Chinese bike maker said that the government should initiate an enquiry as to how many units were involved in producing extra units that created a difference of 300,000 units between PAAPAM and EDB chief estimates and Ch i nese b ike m ake rs’ fi g u re s. The government must have lost revenue in shape of various taxes and duties on undocumented production of extra 300,000 units. As far as the production data recovered by Chinese bike assemblers’ body -Association of Pakistan Motorcycle Assemblers (APMA) -- from the EDB sources is concerned, from January to Decem ber 2 010 all m otor cycl e

assemblers including Japanese and Chinese affiliated produced 1.5 million units. The largest motorcycle producer Atlas Honda produced 518,477 units which is 33 per cent of total Pakistani motorcycle production. The group B is four top assemblers other than Honda who produced more than 100,000 units during the year. The total production of these four assemblers is 442,300 units which is less than Honda and near about 25 per cent of total Pak is tani Mo torcycle production. The group C comprises of 16 third category assemblers who produced more than 10,000 units in a year which is less than a Honda’s one month production. Despite low production, these units are also enjoying good business reputation in the motorcycle industry. The total pro duction of these assembl ers is 414,713 units which is also 25 per cent of cou ntry ’s total tw o wh eeler production. Around 30 units fall in the Group D who are often dubbed as forth category of assemblers as per their production which is less than 300 units in a month and less than 3,600 units in the year. These units are in trouble and facing tough competition in the motorcycle market. They need help for survival from Engineering Development Board (EDB) and the government. The Group E comprises of 10 assemblers who have suspended there production by themselves due to very tough competition and very high production cost of running a motorcycle unit. Meanwhile figures prepared by Pakistan Automotive Manufacturers Association (PAMA) revealed that January 2011 started with a good note as most of the prod ucers enjoyed good sales as

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Exclusive Report on Bike Production If a Chinese bike completes a period of three to four years without giving any big engine trouble then the buyer will be happy enough that his investment of Rs 40,000 has finally paid off. To some extent many Chinese bike assemblers are offering price stability despite losing strength of the rupee against the dollar, making imported parts costlier and rising raw material price and also quality. compared to Decembe r 2010. The improvement in sales in January 2011 can be attributed to deferred sales of December 2010 as many people always waited to buy new bike in January for change of registration and model year. Honda continues to post strong growth in sal es during Jan uary 2011 with 48,023 units as compared to 44,229 units while its July-January 2010-2011 sales also peaked to 310,966 units as compared to 267,882 units in the corresponding period of last fiscal. A total of 1,910 bikes of Suzuki were sold in January 2011 as against 1,560 units in December 2010 while its sales in the last seven months of current fiscal stood at 11,038 units as compared to 8,996 units in the same period of last fiscal. Yamaha turned out to be a loser on month-on-month sales basis and also in last seven months’ sales. The company sold 10,018 units in January 2011 as compared to 10,589 units in December 2010 while its sales in July-January 2010-2011 declined to 65,924 units as compared to 71,169 units in the same period of last fiscal. The maker of Sohrab bikes also suffered in the last seven months by selling only 1,579 units as compared to 4,369 units in the previous fiscal period. Qingqi bikes sales showed growth to 1,696 units in the last seven months as compared to 1,020 units. Hero and Ravi bikes also posted growth in sales to 23,079 and 15,988 units as compared to 19,673 and 13,443 units. Sale of Habib bikes rose to 2,130 units in January 2011 from 1,616 units in December 2010 but its last seven months sales fell to 10,959 units from 11,638 units. Backed by good crops of cotton, rice, wheat and other minor crops, cash rich growers had gone wild for Honda bikes despite being the country’s highest priced two wheelers. Even the Japanese bike is equally popular in Punjab’s cities where Chinese bikes are struggling to compete with the leading Japanese bike maker. Irrespective of the fact that

Chinese bike makers had also raised the prices but its difference with the Honda 70cc is still over Rs 20,000 owing to persistent increase in prices made by Honda bike maker. This big price gap is enough to lure the middle class buyers. If a Chinese bike completes a period of three to four years without giving any big engine trouble then the buyer will be happy enough that his investment of Rs 40,000 h as finally paid off. To some extent many Chinese bike assemblers are offering price stability despite losing strength of the rupee against the dollar, making imported parts costlier and rising raw material price and also quality. The entry of Chinese bikes has given a tremendous boost to the vending industry besides strong localization otherwise the prices of Chinese made bikes would hav e crossed over Rs 50,000 per unit. The release of amount to the flood affected people by the government few months back also boosted sales as the flood victims lifted bikes to mobilize their movement rather than taking other things. In contrast, Chin ese bik e mainly dominate in Karachi where working and

middle class having limited resources are their main buyers. In Karachi buyers especially working class now prefer to have a Chinese bike after realizing that going offices through public transport in heavy traffic jams result in sheer waste of time while bikes usually find the way in the traffic mess. Many people think that increase in public transport fares costs more than going to offices on bikes. In Karachi thousands of people are offering bike on monthly installment basis by taking Rs 15,000-20,000 in advance and then setting a monthly installment from the buyers. Many buyers default on payment while others succe ssfully pay th e installment. Due to increasing prices of fruits and vegetables, many growers have shifted towards their focus in growing these items this year. This may create new demand for two wheelers in case prices of fruits and vegetables remain high this year. In 2010 at the time floods the price of vegetables mainly had su rge d phenomenally. Growers who had hold the greens might had fully cashed the situation but wholesalers, middle man and retailers played havoc with the price at consumers’ end. Coming to taxation structure, a Chinese bike maker said that the government had introduced the Tariff Based System (TBS) in 2005-2006 without consulting the main stakeholders which hit the localization process and resulted in import of p arts and accessories. If an assembler does not have an input output ratio certificate (IORC) then he has to pay 47.5 per cent on import of bike parts. If the assembler has the IORC then he can import raw material at zero per cent, sub component at five per cent, component at 10 per cent and sub assembly at 20 per cent. He said that that there should be one tariff as many vested interest in the industry are misusing this facility thus inflicting losses to the national kitty. ...

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Cover Story on Agriculture Sector

by Syed Mansoor Ali

Is Tractorization synonymous with Mechanization?

Syed Mansoor Ali

In absolute reality, we have to take the agriculture sector seriously as it provides employment, directly or indirectly, to almost 70% of the total population, accommodates nearly 47% of employed labor-force and contributes almost 21% to the GDP per annum. According to the un-published report of ENERCON -90-170, July 1990

There is a speculation that Zarai Taraqiati Bank Ltd. of Pakistan is in process of signing a contract with YTO International of China through a private entrepreneur in order to supply 1000 tractors to their customers in Pakistan. Is Tractorization synonymous with Mechanization? No, we need to understand that tractorization is not mechanization. A Tractor itself can not improve or enhance yield. It is simply a source of power at a farm. The benefits in terms of improved yield come from its effective and efficient utilization. This is possible by using properly designed farm equipments, introduction of mechanised irrigation practices, review of agronomic practices, the use of high yielding variety seeds, and correct utilisation of fertilizer and chemicals. It is praiseworthy to note that this cur rent decade h as witnessed a significant improvement in the tractor population. We are currently selling an average of 70,000 tractors in the countr y. Th e demand is furth er increasing due to better crop pricing, resulting i n a n i ncr ea se in th e purchasing power of the farmer. This

situation has encouraged the farmers, using primitive methods of farming that amount to 20% of the total cultivated area (24.50 million hectares), to start buying tractors and equipments to mechanize their lands. However, we are still at relatively low farm mechanization levels. We are operating at 0.6hp/acre against the world re quirement of 1.5hp/acre. Our government is putting in an effort to in vite foreign investors to start producing tractors in Pakistan in order to meet the shortage. Th ere is a speculation that Zarai Taraqiati Bank Ltd. of Pakistan is in process of signing a contract with YTO International of China through a private entrepreneur in order to supply 1000 tractors to their

customers in Pakistan. This is indeed good news, but at the same time it demands a serious review t o m on it or a nd ev a lu a t e t h e performance of these tractors in the field. Are we making right use of these tractors? In absolute reality, we have to take the agriculture sector seriously as it provides employment, directly or indirectly, to almost 70% of the total population, accommodates nearly 47% of employed labor-force and contributes almost 21% to the GDP per annum. According to the un-published report of ENERCON -90 -170 , Ju ly 19 90" Pakistani farmers treat tractors more or less in the same way as the bullocks i.e. light loads and frequent rest. They generally lack in knowledge regarding operatin g characteris tics and full capabilities of their tractors. Lightly loaded engines operated at high speeds, poor selection of gears, under ballasting, and high tire inflation pressure are considered to be the main causes of low efficiency. The ineffective use of tractors was further confirmed by reviewing the agricultural Machinery Census, 2004. It indicates that the percent share of the jobs done by our tractors: Cultivators 38%, Moldboard plow 4%, Disk Harrow 2%, Disk Plow 3%, Seed Drill/Planter 7%, Ridger 7%, Trolley 25% and Thresher 14%. If we take out the haulage work which amounts to 25% (Trolley) then 50% of the shares of all the agricultural jobs go to the cultivator. The scientific analysis of the extensive use of cultivators in the country not only provide us with the

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Cover Story on Agriculture Sector

It is praiseworthy to note that this current decade has witnessed a significant improvement in the tractor population. We are currently selling an average of 70,000 tractors in the country. The demand is further increasing due to better crop pricing, resulting in an increase in the purchasing power of the farmer. This situation has encouraged the farmers, using primitive methods of farming that amount to 20% of the total cultivated area (24.50 million hectares), to start buying tractors and equipments to mechanize their lands. However, we are still at relatively low farm mechanization levels. We are operating at 0.6hp/acre against the world requirement of 1.5hp/acre. reasons a s to wh y th er e is no improvement in the yield but also has been identified as the main culprit of soil deteriorati on. Cultivator is considered as the secondary tillage implement, it should be used to prepare soil for seed bed. Its job is to stir the soil; to make the surface soft for good germination of the seed. The maximum depth this implement can penetrate into the soil is not more than six inches. Our farmers are using this implement as a panacea, totally ignoring the importance of primary tillage equipments, whose primary job is to pulverize the soil (cut

prepare the soil for seedbed causing compaction and consolidation due to effects of traffic on the soil.

The implements / equipments required in the country should be standardized in terms of their design, assembly and materials. Currently there are more than 1000 manufacturers of agricultural implements. They are mostly blacksmiths operating from small workshops. They have low skill level workers with no education and training on modern manufacturing practices. and invert) for which Mould board plows and Disc plows are recommended. As a result of the extensive use of the cultivator a hard layer know as the “mechanical pan" has been developed six inches down the surface making it almost impossible for roots to penetrate any deeper, thereby impeding the root development and nutrient uptake of the plant, with a consequent reduction in yield. Anyone can physically examine the situation by digging the soil to a depth of one meter. The top 6 inches of the soil will confirm the presence of minimal organic matter, while the subsoil would be found completely devoid of all organic material with no traces of root growth. The Cultivator is one of the causes of loosing soil fertility in the long run, because the tractor has to make several passes (minimum 7 or 8) to

There is a dire need to structure and organize the implement manufacturing industry to make the best use of tractors, improve soil structure, enhance fertility and improve yield. The implements / equipments required in the country should be standardized in terms of their design, assembly and mater ials. Currently there are more than 1000 m a nu fa c t u r er s of ag r i c u lt u r a l

i m p lem e nt s. Th ey ar e m ost l y blacksmith s operating from smal l workshops. They have low skill level workers with no education and training on modern manufacturing practices. The technology being used by these manufacturers are obsolete and ineffici ent. Th ese m anufactur ers sometimes design and /or alter the design of existing implements without having any knowledge of designing and mechanical engineering. For instance, some twenty years back a new plow that has a resemblance of the M B Plow was designed by these peop le called "punjhali". The design and configuration of this implement is impractical, creating huge draft on the tractor and making it difficult for the boards to penetrate the soil to any depth. In order to make the productive use of tractors, replacement of traditional and inefficient implements with improved ones are required immediately. Custom hiring of implements for deep ploughing (should be done every three years), rotavators/ rotary tillers, combine harvesters, drilling and boring machines, bull dozers and other specialised equipments should be given to the farmers on subsidized hire charges. Wi th al l th ese step s ta ken t o improve/strengthen mechanisation to boost agricultural production and productivity, we should not forget that mechanisation is not the only factor contributing towards high crop yield. We have to cut down the sustained use of flood irrigation, should start application of fertilizer on the basis of soil te sting, keep a check on over application of pesticides, stop using spurious seeds, promote use of seed drills and planters and last but not the least timely sowing and harvesting. .....

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Automotive - Exclusive Article

by Owais Khan

Brokers, dealers, commission agents play havoc with used car prices Increase in locally assembled cars makes used cars more costly Consumers are literally facing problems in buying used cars (20-25 years old) at a reasonable and affordable price due to their persistent risin g prices. The frequent increase in new locally assembl ed cars can be blamed for making a trickle down effect on used cars. Many low and medium income group people, who cannot afford to have a zero meter locally assembled new car, are bound to take the costly ride in buying used cars. A number of people who feel that they cannot ever buy a new car or even used car finally feel satisfied by riding a new Chinese assembled twowheeler. When ever the price of locally produced car goes up genuine buyers throng the used car markets in larger numbers but there they also have to make extra effort to get a better bargain from the used car dealers. Used cars are mainly sold through Sunday’s print media advertisements, while in Karachi a used car bazaar is being run under the umbrella of a political party at North Karachi. Besides a number of showrooms at the main roads offer a variety of used car models. Some people, while doing regular jobs, are also involved in used car business as a part time job to get some commission on every deal and to run their daily family ex t r a ex p en se s. per normal practice,

when a pers on is a seller then he sometimes feels as a sheer loser of not getting the demanded price in case he is selling his car on his own. When the same person tries to purchase a used car then he finds really hard to get it as per his pocket earning and saving. If a person is looking for used car of 20-25 years old at a price on which he has sold his car then it will really be a most daunting task for him unless he adds some money in the current amount in hand. Buying a 20-25 year old car is really a tough exercise as hardly any car meets your total requirement like a perfect engine room and engine, origin al

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frames, less accident marks and scr atc hes, orig inal col or, g ood repayment, perfect and all matching tyres, full tax paid, immaculate interior, clear windscreen and door mirrors etc. This problem is probably common in all locally produced old Suzuki models in which rusting of the body is a common phenomenon and usually rust is dubbed as the cancer of all Suzuki vehicles. One may not find this so called cancer in other cars like locally produced Toyota and Honda. Thanks to the impo rted Daihatsu Charade of 1984 to 1988 models (Made in Japan) that are largely available in recondition form (registered in 1992 to 1996 or landed in Pakistan in these years). These vehicles are true example of a good quality owing to very low speed of body rusting. Toyota Corolla from 1974 to 1986 is still running on the roads because of their durabil ity, quality body and high performance engine. There are many famil ies who had developed gre at affection to 1974 to 1986 models and are still not ready to change these sedans. In Suzuki, except for 1989 Japan assembled Mehran 800cc, its all models from 1990 to 1997 are in pathetic conditions. However, a lot depends on car owners’ driving skills, maintenance and service. In rare cases


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Automotive - Exclusive Article

To avoid paying extra amount to the showroom owners or brokers, many customers in their media advertisement clearly warn the brokers to stay away from the deal and let the sale/purchase to settle between the genuine parties but somehow the brokers trap the genuine sellers through their strong links. one can find well maintained Mehran of over 10 years old. Due to increase in prices of locally produced cars, showroom dealers are demanding Rs 230,000-260,000 for Charade 1986 CNG/AC registered in 1992-1994 depending on the quality. Two years back, consumers were paying Rs 185,000-220,000. Two years back, Mehran 1990 model with CNG was selling at Rs 135,000140,000 in good condition but now its price hovers between Rs 150,000160,000.

Mehran CNG AC 2005 model now sells at Rs 350,000 as compared to Rs 310,000315,000 two years back. Cultus 2005 VXR CNG/AC is now available at Rs 550,000 as against Rs 510,000-520,000 two years back. Alto VXR CNG/AC 2005 model are available at Rs 480,000-500,000 as compared to Rs 450,000-460,000 two years back. To some extent the increase in used car prices is beneficial as the seller does not suffer a big loss as he either sells the used car at the same price, or slightly higher than the purchased price of one or two years back or with a very thin loss depending on car conditio ns. Persons having limited income and the first time buyer of used car usually under go a nerve wrecking experience in buying a 20-25 years old car. It means that he has to keep extra Rs 5,000 to Rs 10,000 in hand to make instant changes like denting/painting, tyres, engine problems, parts and accessories, etc and above all dealers’ commission or any other third person. In case of purchasing a car from used car showrooms involving another person then it means he has to pay to the showroom person and the person for taking to the showroom guy. The showroom people while grabbing commission also plainly take out extra money of showroom rent from the innocent buyers. A used car parked at the showroom of a party carries an extra

amount of Rs 10,000 to Rs 50,000 (based on make of the cars and engine power) from the original price as it involves commission from the sellers, showroom rent, car maintenance by the showroom owners, utility expenses etc. Many times the money limit relating to demanding price exceeds over Rs 50,000. For example, a buyer rang up a p e r so n w h o h a d g i v en a n advertisement in a print media for 1998 Toyota Cor olla GL fully loaded demanding Rs 665,000. Next day a broker had emerged seeking Rs 750,000 for the same car saying that the party (which had sought Rs 665,000) had now quoted new price. Another showroom owner having good links with the other broker had emerged pointing out same car at a price of Rs 760,000. One can see the original price demanded by the seller to the buyer through print media ad and involvement of three persons in the car which pushes up Corolla rate artificially to alarming peak. Either the seller should sell the car on their own involving no broker but the seller usually tries to seek the help of brokers for money security and quick sal e off. A showroom owner said that he pays Rs 40,000 per month as showroom rent besides employing other helpers for car washing and maintenance. Every time, he says, showroom owners have to keep the used car neat and clean to lure customers. This is the reason that some times car buying from showroom costs the customers very dearly. Many people think that as a safe side the dealing and trading of cars and other immovable and movable items need to involve few persons owing to hefty amount to minimize the chances of fraud and cheating. To avoid paying extra amount to the showroom owners or brokers, many customers in their media advertisement clearly warn the brokers to stay away from the deal and let the sale/purchase to settle between the genuine parties but somehow the brokers trap the genuine sellers through their strong links. However, when it comes to car verif ication, registration, transfer, payment of taxes etc they need help of

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brokers and car dealers who have a solid network of managing these necessities. If the customers go directly to the taxation department for meeting pre and post purchasing requirements then he will have to pay less as compared to broker or used car dealers. However majority of the customers try to avoid these hassles and happily pay extra money other than original document charges to the brokers. At used car showrooms one hardly satisfies with the demanding and deal price but consumers sometimes get a quality car as most of the showroom owners try to park four wheelers having minor problems. Coming to North Karachi Market, many genuine persons in urgent need of money under some compulsion are seen looking for the buyer. A number of showroom owners are also seen hunting cars. They smell the customers’ interest of selling car under any circumstances and after lifting that they bring it to their showrooms and demand Rs 15,00030,00 0 m or e from th e visiting customers. Many cheaters also park their car at the Bazar with duplicate number plates showing as original, modifying chasis and engine numbers by engraving it as original and even change in engine especially in Charade. A b u y er mu st a c c om p a ny a n experienced mechanic while visiting such place so that he could guide about the engine situation and identify other problems. Buyers have very limited choice. They are more dependent on few locally produced cars. Perhaps Pakistan is the only country where consumers are bound to buy eight to over 20 years old models which were discontinued in their own country. The liberalization of used cars import few years back provided some relief to the customers but increase in duty and taxes coupled with devaluation of the rupee against the dollar had made the used cars dearer. As a result, local car makers fully cashed the situation in view of rising demand from the rich class and growers of various crops....


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Automotive Inside - Exclusive Article

by Omar Rashdi from St. Patrick’s Technical Institute

Distributorless Ignition System This technology is one of the most advance technologies which are being used in nowadays. There are many plus points and benefits of using it. We can understand by name that in distributorless timing system. In modern systems, the distributor is omitted and ignition i s instead electronically controlled. Much smaller coils are used with one coil for each spark plug or one coil serving two spark plugs (for example two coils in a fourcylinder engine, or three coils in a sixcylinder engine). A large ignition coil puts out about 20 kV, and a small one such as from a lawn mower puts out about 15 kV. This technology is one of the most advance technologies which are being used in nowadays. There are many plus points and benefits of using it. We can u n d er s t an d b y n am e th a t i n distributorless timing system, there is no distributor but ignition timing is operated by Electronic Control Unit, above each spark plug has its own coil which generates high voltage spark at the time of combustion in cylinder in order to burn air-fuel completely. Manufacturers want to make everything less complicated that is why they are making operate of every device by ECU (Electronic Control Unit). The ECU receives signals from different sensors (the device which converts the physical signals into electrical signals) like cam shaft and crank shaft sensors, these two sensors are the most important in DIS (distributorless ignition system) and EFI (electronic fuel injection), these two sensors clarify the positions of cam shaft and crank shaft so that ECU can get the position and can spark at correct time of combustion. A bad coil pack may cause a slight or not so slight misfire, bad fuel economy, loss in power, and in some rare cases loss of braking performance and power steering problems. We can see that after using distributor less timing system, the work seems less complicated; you do not need tune-up and engine often. Before it CV point (contact braking point) and CDI were being used.

through three stages: conventional, elec tr oni c, a nd di str ibu tor less.

Conventional Ignition System The conventional ignition system was common in vehicles from about 1920 to the mid 1970s. This system is sometimes considered a mechanical type ignition system. Tune-ups during this age were frequent – sometimes every 5,000 to 10,000 miles. Common components in the conventional ignition include the battery, ignition coil, condenser, contact points, distributor cap, distributor rotor, spark plug wires, and spark plugs.

Electronic Ignition System The electronic ignition system was common in vehicles from about 1975 to the early 1990s. Tune-ups during this age were required about every 25,000 miles. Common components in the electronic ignition system include the battery, ignition coil, ignition module, distributor cap, distributor rotor, spark plug wires, and spark plugs. The main advantage over the conventional ignition is the elimination of the contact points that physically rub on the distributor shaft. This elimination decreased the number of components that needed servicin g. The ignition module in electronic ignition systems controls the spark.

Distributorless Ignition System The distributorless ignition system was actually introduced in the mid 1980s, but really became popular in the early 1990s. Some manufacturers call this a direct ignition system. Tune-up intervals on the distributorless ignition systems vary, but some manufacturer’s boast up

Kinds of Ignition System The ignition system is designed to ignite the air-fuel mixture in the combustion chamber. Ignition systems have gone

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to 100,000 mil es. C o m m o n components in the d is t r i b u t or le s s i g n it i o n s ys t em include the battery, individual ignition c oi ls, elec t ro nic c ont r ol m od u l e, spark plug wires, spark plugs, crankshaft sensor, and camshaft sensor. The advantages over the electronic ignition are the elimination of a mechanical distributor, increased voltage at the spark plug, better timed spark, and a m ore efficient r u nni ng engine.

Spark Plugs in DIS The spark plug, used in all generations of ignition systems, completes the high voltage circuit. Voltage at the spark plug needs to be great enough to arc across a gap thus creating a spark. This spark is what ignites the air-fuel mixture. The center electrode on the spark plug is commonly made of copper or platinum. The gap between the center electrode and the grounded electrode is usually 0.020 to 0.080 of an inch. Most engines have one spark plug per cy linder.

Crankshaft and Camshaft Sensors used in DIS The crankshaft and camshaft sensors are used on distributorless ignition systems. They keep track of piston and valve positions in the engine to efficiently time the spark.

T he a dva nt age s f o r us i ng a distributorless type ignition system include: No timing adjustments No distributor cap and rotor No moving parts to wear out No distributor to accumulate moisture and cause starting problems No distributor to drive thus providing less engine drag ECU or Electronic Contr ol Unit ICU or Ignition Control Unit Coil Packs Magnetic Triggering Device such as the Crankshaft Position Sensor and the Camshaft Position Sensor.


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Oil & Gas - Update

Pakistan State Oil posts record half-yearly profit Pakistan State Oil, th e largest distributor of oil products in the country, posted a record net profit in the first half of fiscal 2011, primarily boosted by a tax refund. The company received a one-time tax reversal during the period under review as the government reduced the turnover tax from one per cent announced in fiscal 2011 budget to 0.5 per cent in October, said IGI Securities analyst Umair Siddique. From the earnings per share of Rs41.58 during July to December, Rs21 per share was contributed by the turnover tax reversal, added Siddique The net profit surged 40 per cent to Rs7.13 billion in the first half of fiscal 2011 compared with Rs5.08 billion posted in the same period last year, according to a notice sent to the Karachi Stock Exch ange on Wednesd ay. The company also announced an interim dividend of Rs5 per ordinary Rs10 share. The bottom line is higher than market expectation as most analysts expected it to be around Rs6 billion, more than Rs1 billion short of the actual net profit. The country’s overall fuel consumption during the period under review declined by 2.7 per cent compared with the

corresponding period last year on account of the massive devastation as well as the temporary closure of a few power generation companies caused by the recent floods, the company quoted in a press release. However, PSO maintained its position as the market leader with an overall market share of 66.3 per cent, the release further said. Ne t sales increas ed marginally by 3.4 per cent to Rs427 billion compared with Rs414 billion posted in the same period last year. The revenue stayed in the same range as the increase in oil prices was balanced by the fall in furnace oil sales, added Siddique. OMCs to gain from gas shortage On a broader level, oil marketing companies (OMCs) are expected to benefit from the prevailing gas crisis in

the form of increased sales to the power and transport sector as their reliance on oil has increased, said BMA Capital analyst Mu h amm ad Ali T au fi q. Increased demand of motor fuel and furnace oil will directly benefit all listed OMCs of which the prime beneficiary is PSO, added Taufiq. Circular debt issue to remain a concern How ever, board membe rs raised concerns on the ever-rising circular debt wh ich stood at Rs127 billio n on December 31, 2010 but has swelled to Rs150.84 billion w hich severely compromises the company’s liquidity a nd r end er s i t ca sh -st r ap p ed . The PSO management asked the federal government earlier this week to clear Rs46 billion dues before February 10 which wil l help the company avoid default on letters of credit issued to Kuwait Petroleum Corporation and other fuel suppliers. Moreover, the financial costs associated with servicing this debt coupled with consistent non-payment from the power sec tor continue to hu rt overa ll profitability of the company. Finance cost of the company rose 55 per cent to Rs6.04 billion compared with last year’s Rs3.88 billion.

Suzuki halts sale of CNG-fitted cars Pak Suzuki Motor Company has stopped bookings for CNG-fitted vehicles that account for more than two-third of its sales, according to the company. The compressed natural gas (CNG) cylinder inventory has come to an end and supply has been stopped for an indefinite period, said the company’s spokesperson, Shafiq Ahmad Shaikh. The local automobile assembler was hit recently as the Oil and Gas Regulatory Authority (Ogra) barred Suzuki’s sole CNG cylinder supplier Landirenzo following an incident in which a cylinder in a car exploded. The option of converting the car to CNG after purchase may keep buying interest

www.automark.pk | February-2011 16

alive for Suzuki vehicles but lack of company warranty could spook potential buyers, said KASB Securities analyst Muhammad Saqib Sajjad. The supply should normalise in the coming two months but till then sales of the largest auto assembler will shift down a gear, said InvestCap analyst Abdul Azim. Market experts have not ruled out the possibility of the government reversing the decis ion in th e near future. Analysts say that Suzuki has already started testing equipment from other cylinder suppliers for early resumption of supply, however, the company official denied this.


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Exclusive Article

by Muhammed Danish

Cooling System of a Car The cooling system on liquid-cooled cars circulates a fluid through pipes and passageways in the engine. As this liquid passes through the hot engine it absorbs heat, cooling the engine.

Diagram of a cooling system: how the plumbing is connected Alth ou gh gasoline engines h ave improved a lot, they are still not very efficient at turning chemical energy into mechanical power. Most of the energy in the gasolin e (perhaps 70%) is converted into heat, and it is the job of the cooling system to take care of that heat. In fact, the cooling system on a car driving down the freeway dissipates enough heat to heat two average-sized houses! The primary job of the cooling system is to keep the engine from overheating by transferring this heat to the air, but the cooling system also has several other important jobs. The engine in your car runs best at a fairly high temperature. When the engine is cold, components wear out faster, and the engine is less efficient and emits more pollution. So another important job of the cooling system is to allow the engine to heat up as quickly as possible, and then to keep the engine at a constant temperature. In this article, we'll learn about the parts of a car cooling system and how they work. First, let's look at some basics.

from this combustion goes right out the exhaust system, but some of it soaks into the engine, heating it up. The engine runs best when its coolant is about 200 degrees Fahrenheit (93 degrees Celsius). At this temperature: - The combustion chamber is hot enough to completely vap orize the fu el, providin g better combustion and reducing emissions. - The oil used to lubricate the engine has a lower viscosity (it is thinner), so the engine parts move more freely and the engine wastes less power moving its own components around. - Metal parts wear less. There are two types of cooling systems found on cars: liquid-cooled and aircooled.

Liquid Cooling The cooling system on liquid-cooled cars circulates a fluid through pipes and passageways in the engine. As this liquid passes through the hot engine it absorbs heat, cooling the engine. After the fluid leaves the engine, it passes through a heat exchanger, or radiator, which transfers the heat from the fluid to the air blowing through the exchanger.

Air Cooling Some older cars, and very few modern cars, are air-cooled . Instea d of circulating fluid through the engine, the engine block is covered in aluminum fins that conduct the heat away from the cylinder. A powerful fan forces air over these fins, which cools the engine by transferring the heat to the air. Since most cars are liquid-cooled, we will focus on that system in this article.

Plumbing

The Basics Insid e your car's engine, fuel is constantly burning. A lot of the heat

The cooling system in your car has a lot of plumbing. We'll start at the pump and work our way through the system,

an d in t h e nex t sections we'll talk about each part of the system in more detail. The pump sends the fluid into the engine block, where it makes i ts w ay th r o u gh p a ss a ge s i n t h e Danish engin e aro und the cylinders. Then it returns through the cylin der head of th e engine. The thermostat is located where the fluid leaves the engine. The plumbing around the thermostat sends the fluid back to the pump directly if the thermostat is closed. If it is open, the fluid goes through the radiator first and then back to the pump. There is also a separate circuit for the heating system. This circuit takes fluid from the cylinder head and passes it through a heater core and then back to the pump. On cars with automatic transmissions, there is normally also a separate circuit for cooling the transmission fluid built into the radiator. The oil from the transmission is p ump ed by th e transmission through a second heat exc h anger insid e th e r ad ia tor .

Fluid Cars operate in a wide variety of temperatures, from well below freezing to well over 100 F (38 C). So whatever fluid is used to cool the engine has to have a very low freezing point, a high boiling point, and it has to have the capacity to hold a lot of heat. Water is one of the most effective fluids for holding heat, but water freezes at too high a temperature to be used in car engines. The fluid that most cars use is a mixture of water and ethylene glycol

www.automark.pk | February-2011 17

continued on page no. 35


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Automotive Sector - Review

by Shahzad Tabish from NED University

Formula - NED

Pioneering the Student Formula Racing From Pakistan

Automotive engineering department was established in NED University to cater the need of automobile production industries in the country. The course outline was designed to suit the local production oriented scenario. Going fast has been a passion for man ever since his evolution. Since the invention of Automobile man has found a medium that fulfills his desire of going faster & faster. Automobile racing has been around since the evolution of Automobile itself. Initially there were very few or almost no rules associated with automobile racing. Closed street circuits were used as a medium for racing & automobiles from various cate go ries & configu rations were involved in th ese races. As th e automobiles got more powerful & faster with time, rules & regulations were implemented on racing automobiles. Certain agencies such as FIA were made which made responsible to govern & address the rules of racing. The rules that general ly govern the extreme automobile racing are generally termed as Formula & such racing is termed as Formula Racing. Most famous formula racing events include F1, GP2, F3, Formula Renault etc. The cars that race in these formula events are designed & built within certain formula. Due to the immense popularity of these events & massive by the sponsors, the events are telecasted on television & other viewer’s media. We usually see during the race telecasts on television that the individuals working b ehi nd d esi gn in g & fabricating the race vehicles seem ver y sea soned & experienced. A question instantaneously comes into the viewers mind that from where did these individuals come from? & from where they got trained to do such a job?. Of course we know that th e all t he i ndivi du als working in the design process

of the vehicle are engineers, but as we all know engineering studies do not train individuals to design a race machine. Definitely there has to be a source, a method of training by which those individuals undergo during the period of their studies. Many different projects a r e on o ff er t h a t en c o u r a g e undergraduate students to implement their innovative thinking in order to design certain race vehicles under certain rules & regulations & then race against many other competitors al l belonging from diverse nationalities, from all continents of the world. One such event includes FSAE. The motive & aim behind FSAE is very simil ar to what already has be en mentioned earlier, i.e. to encourage

students to design build & finally race their vehicles under certain rules specified by F SAE. The auth ority inspects each & every vehicle t ha t has b een register ed to p a r ti c i p at e & i nst a nt a neo u sl y disqualifies if the teams fail to fulfill their proposed formula basically the event trains the individuals to take on the challenges of professional racing events. FSAE is held in various countries including USA, Australia, Japan, Italy, Germany etc. When we consider our local scenario, in Pakistan there is very little or almost no passion for racing. Unlike the European nations, we do not consider racing a sport of recreation; the reason perhaps remains in the fact that even after 63 years of independence we still find ourselves a developing nation, with a very weak economy, below average literacy & very high unemployment. This is the reason why automobile itself is considered to be a luxury in Pakistan. As far as the R&D in automobile sector is concerned there is no s p e cialize d in d us tr y associated with the design o f a u t om ob i le i ts el f. Pakistan finds itself as a p ro d uc tio n o rie n te d country. These reasons govern the fact behind lack of racing interest locally. Automotive engin eering department was established in NED University to cater the need of automobil e production industries in the country. The course outline was designed to suit the

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Automotive Sector - Review

Very recently the students of current final year of Automotive engineering department have gathered a team of 15 members to participate in FSAE Australia that is scheduled to be held in December 2011.The team has been named Formula NED (FNED). The members of the team include twelve final year & two third year students of the department while one third year student of electronics department has also been chosen as a team member. local production oriented scenario, however the department in it’s short history of 5 years h as produced engineering students that have shown their intention to design & build such vehicles that have participated in international events like Shell Eco Marathon (SE M) & done very well indeed in the competition itself. This actually is quite different to what the course outline suggests, this clearly indicates the motivation & passion the automotive engineering students carry with them that drives them to prove their innovative authority. Very recently the students of current final year of Automotive engineering department have gathered a team of 15 membe rs to participate in FSAE Australia that is scheduled to be held in December 2011.The team has been named Formula NED (FNED). The members of the team include twelve final year & two third year students of the department while one third year student of electronics department has also been chosen as a team member. The team basically takes inspiration from their seniors who participated in SEM last year. The ambition is very straight forward one from the team i.e. to pioneer into the arena of student for mu la r ac ing fr om Pa kist an. The journey be hind this dream of stepping into the international student racing competition has been a long one. It started way back in the year 2008 when the students started their research for this event by contacting international teams on dedicated discussion forums. On the oth er hand students also conducted local survey in order to gain first hand knowledge about what was available locally amongst the desired components of the race machine. With the passage of time, the knowledge of the students enhanced & by the end of 2010 team of 15 students was chosen to participate in the event. The team structure consists of 15 members headed by Team manager & Chief engineer. The team has been sub

divided into 4 sub teams each led by a team leader. The sub division of team consists of Drive train, Body & chassis, Steering & Suspension & Engine teams. This sub division has been done so that each & every individual is focused towards a very specialized component of the vehicle & his research & practical work for that particular component benefits the whole assembly. This has enabled a specific area of work for every individual which enables him to develop his expertise in that particular area so

However gathering funds & monetary sponsors is one major concern haunting the team. As the specifications of the proposed vehicle suggest, it requires massive funding & monetary support from sponsors intending to support the project. The team member themselves do not belong from well to do families, so the probability of self funding this project is flattened from the start. As far as the university is concerned, the state university that is NED does not support this cause as far as financial assistance is concerned. www.automark.pk | February-2011 21

that the whole team benefits from him in that area. Every individual works as a separate entity & then shares his knowledge with all in order to keep all others aware about what progress he has made in his research. Engineering students generally face a lot of criticism w hen it comes to managing stuff. In order to council apart from the technical responsibilities most of the members have been handed over m a n ag e m en t , m ed i a , sp o ns or coordination, finance, newsletter, logistics & publicity responsibilities. This enables proper management of the project itself from each & every dimension. Without the preaching’s, guidance & support of our teachers nothing is possible. The faculty of the automotive engineering department has been very supportive as far as previous projects were concerned. When the concept of participating in this event was proposed, it again received overwhelming support from department’s faculty members. Honorable Mr. Abdul Majeed Sheikh & Mr. Shahrukh have been chosen as team consultant & team faculty advisor respectively. Now let us turn our attention towards the basic specifications of the vehicle that will be developed under the proposed formula, to participate in the event. The maximum displacement of the engine that can be used to propel the vehicle has been restricted to 610cc, so keeping this obligation in view a 600cc Suzuki GSX-R600 motorbike engine has been selected, as it fulfills the power, performance, size & weight requirements of the vehicl e. The proposed plan includes the transmission system of the same motorbike as well in order to transmit the power to wheels to drive the racin g machine. An instantaneous query arises in everyone’s mind that motorbikes are chain driven how could this possibly work for a four wheeler, to tackle this issue a limited slip, custom made, rear chain differential would be used.


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Automotive Sector - Review

Without the preaching’s, guidance & support of our teachers nothing is possible. The faculty of the automotive engineering department has been very supportive as far as previous projects were concerned. When the concept of participating in this event was proposed, it again received overwhelming support from department’s faculty members. Honorable Mr. Abdul Majeed Sheikh & Mr. Shahrukh have been chosen as team consultant & team faculty advisor respectively. As we all know racing is about millisecond precision, usually driving any modern day passenger car we do not take the gear shifting time into conside ration, but in the extreme environment of racing the milliseconds lost during shifting gears can prove decisive in winning or loosing the competition. For this very reason a racing specialty, pedal sifting gearbox design has been proposed to be used. This shifting mechanism enables the diver to shift within milliseconds using electronic aid which definitely isn’t possible in pure mechanical shifting process. A thorough layout has been made for this type of shifting mechanism through the help of team’s electronic expert. Racing demands ultimate levels of road grip, in order to maximize drip levels & ensure ride stability, a race proven independent suspension design has been chosen which consists of double A wishbone assemblies & coil dampers that amalgamate together to optimize the stability of the vehicle even at elevated cornering speeds , preventing the body roll & twitch. The chosen material for the exterior body of the vehicle is carbon fiber, due to the high strength & low weight of the composite. The body itself has been designed to be highly aerodynamic. This ensures low levels of drag at high speeds, maximum levels of aerodynamic grip at variable speeds & obviously giving the vehicle its uncompromised look of a race machine. All the components formerly mentioned have to be mounted on the backbone of the vehicle, in automobile terminology named as chassis. Th e chas sis is specifically designed to be light weight; not compromising the strength & stability characteristics. Aluminium alloy has been chosen as the chassis material. As we al know that proposed plans work out in reality if & only if appropriate circumstances are available for them.

As far as tech nic al matters are concerned, the talented students have successfully encountered & solved each & every technical issue that has risen during the course of the project, either by themselves or with the help of their faculty advisers. However gathering funds & monetary sponsors is one major concern haunting the team. As the specifications of the proposed vehicle suggest, it requires massive funding & monetary support from sponsors intending to support the project. The team member themselves do not belong from well to do families, so the probability of self funding this project is flattened from the start. As far as the university is concerned, the state university that is NED does not support this cause as far as financial assistance is concerned. This is the reason why a dedicated team of sponsorship coordinators has been assigned an additional responsibility a pa r t f orm t h e i r te c h nic a l responsibilities, to influence the individuals & organizations that take interest in sponsoring such projects. A sponsorship proposal has been made that could be readily made available to the interested investors, proposing the benefits that they could get from offering a particular amount. The sponsorship has be en div ided into four bas ic categories that include platinum, gold, silver & partner categories. The sponsors get marketing & publicity benefits in asc end ing ord er of pr eced enc e mentioned. The sponsor of this project not only gets a permanent logo on the vehicle, teams official website, drivers helmet, publicity banners etc, but the prime sponsors even get a chance to utilize this vehicle for their benefits in their own marketing campaign. Once made this vehicle will be one of its kind In Pakistan & the sponsor will surely benefit from the local display shows scheduled after the fabrication of

www.automark.pk | February-2011 22

the veh icle is complete. As it is mentioned earlie r that this is an international event, the multinational sponsor s cou ld get p rofit from international marketing benefits as well. Those sponsors who are interested in sponsoring this project but still have doubts in their minds whether the already mentioned marketing benefits could be availed by them in reality or not, here is a reminder. This article that proposes all this is already on national media via Automark, as the author of this article is a team member of FNED. This article will follow a series of articles that will update the viewers about the progress; the team makes with time. The sponsors will surely get their names highlighted in these articles as well. As a matter of fact if we would have got any financial assistance from any sponsor, the author would have surely highlighted th e name of t he ind ivi du al or organization in this article as well, however sadly this is not the case yet. Concluding here I would like to mention that all the team members of the sub teams have done a good job up till now in order to turn this dream into a reality. The sub teams then unite together as a unit focusing the common goal of success under the name “FNED”. Hard work is the order of the day for all members of the team & devotion is mandatory. The efforts of the youth of Pakistan need to be appreciated & encouraged. The students of automotive engineering department have done very well in the past & the students involved in this team have been following the footsteps of their senior’s benefiting from their past experiences. This effort by the students should be encouraged both morally & monetarily. I personally hope that we find such individuals who step forward to help us in both respects. May we succeed .Best of luck to FNED. Cheers!


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Exclusive Review for Automark Magazine

by Sabir Shaikh - Chariman APMA

TEN YEARS HISTORY OF LOCAL BIKE MAKING IN PAKISTAN FROM 2001 to 2010 Some financially sound companies were throwing their units into the market and conveyed to their dealers to sell their products either on full cash or through leasing. The small-sized motorcycle manufacturers were perplexed over the situation in which big companies were launching new models and designs, while, they (small-sized assemblers) were fighting for their survival.

Irrespective of the business environment prevailing in the Ar my and th e democratic set ups in the country from 2001 to 2010, the two wheeler industry has performed exceptionally well as compared to other engineering sectors. Pakistan had witnessed several political changes. General Pervaiz Musharraf took over country’s control in 1998 by outing respectable Prime Minister Mian M uham m a d Na wa z S ha r if’ s Government, who was elected by the people of Pakistan. Musharraf stayed till 2007. A democratic government of Pakistan Peoples Party (PPP) came into power in 2008. Muhtarma Benazir Bhutto sahiba lost her life in a suicide attack in Rawalpindi in December 2007. From 2001 to 2010, consu mers continued to buy two wheelers especially in rural areas where the share is over 60 per cent in total bike sales depending on good yield in various crops. Because of unsatisfactory public and private transport system in the cities, consumers were more interested in purchasing two wheelers in order to reach the place of work more quickly rather than wasting time in traffic congestion. However, the some officials of Engineering Development Board (EDB) had create d a lot of hurdles on the dictation of a Japanese bike maker but Chinese bike makers sailed smoothly. A tough time had come in the respectable Syed Yousuf Raza Gilani’s government when overall

motorcycle production had plunged to 917,628 units in his first year of the government 2008-2009 as compared to 1,054,102 in 2007-2008 owing to loom ing political and economic uncertainty, rupee devaluation against the dollar, some low production of various crops, increase in bike prices etc. The year 2009-2010 proved highly beneficial for both Chinese and Japanese bike makers of achieving the production of 1,387, 000 units, (accordin g to PAAPAM figures quoted by EDB CEO in the press statement the production of motorcycles is 1.8 million units) it m ea n s so m e i m p r ov e me nt i n government policies and one million people received rupees one lac each from the government on account of there loss in flood areas also thanks to good crop of wheat, cotton, rice and some minor crops besides some political and economic stability in the country. The prices of bikes especially Japanese of

www.automark.pk | February-2011

23

makes had been raised sharply owing to rising Yen against Pak rupee, increase in sales tax and other levies, raw material prices etc in the last three years but it did not make any big impact on sales. If the industry is compared with India bike industry, Pakistani industry lack far from the Indian industry where 70cc two wheelers had been suspended several years ago. In Pakistan 70cc had been dominating for decades and no efforts were made to do away from its production. Consumers are still using 1993 made 70cc bike design introduced by Atlas Honda which was followed by the Chinese bike makers. Those companies having volume are not ready to take the risk of changing the designs as it will cost more and m ay lose h ea vy investments in case the end users do not like it. Some Chinese bike makers having low volumes are venturing to bring new design CD-70cc in order to test the taste of consumers. Even in 100cc and 125cc, a leading Jap an ese player is producing same old design. Only stickers of petrol tank and side covers have been changed rather than making a complete change in design. a ssemb ler s sa id th at th e government should reduce the import duty on CBU bikes so that the assemblers could bring the new design models from their parent companies abroad in ord er to test the m arket.


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Exclusive ReviewSectorfor Automark Magazine Automotive Review

The year 2009-2010 proved highly beneficial for both Chinese and Japanese bike makers of achieving the production of 1,387,000 units, (according to PAAPAM figures quoted by EDB CEO in the press statement the production of motorcycles is 1.8 million units) it means some improvement in government policies and one million people received rupees one lac each from the government on account of there loss in flood areas also thanks to good crop of wheat, cotton, rice and some minor crops besides some political and economic stability in the country. Here is a journey of motorcycle industry from 2001 to 2010 that faced ups and downs during the decade.

2001 - CBU Rate of Duty on Motorcycles 105% This rate is applicable since last 20 years (from 1981) - CKD Rate of Duty on Motorcycle Parts 25% - Government Policy for motorcycle industry Deletion Program - For Implementation of policy EDB is the Ruling Department on Motorcycle Industry. - Number of Assemblers: 3 Japanese and 3 Chinese: Total=6

2002 Finance Minister Shaukat Aziz reduced CBU rate of duty in the budget 20012002 from 105% to 75% after two weeks on the request of Atlas Group and PAMA. Finance Minister increased CBU rate of Duty from 75% to 90%. - CKD Rate of Duty on Motorcycle Parts 25% - Government Policy for motorcycle industry Deletion Programs

- Number of Assemblers: 3 Japanese, Honda, Yamaha and Suzuki. 3 Chinese, Sohrab, Qingqi, and Hero. Many Motorcycle Dealers including Babar Autos, Sitara Auto Impex, Moon Traders from Karachi and Lahore started Importing CBU Motorcycles from China due to duty reduction by the Government from 105% to 90%. - Government introduced PSQCA laws for motorcycle industry. Many motorcycle dealers who also became importer of CBU motorcycles started local assembling of motorcycles such as:1. Rock et Motorcy cl e by National Corporation

2.Guangta Motorcycle by Sitara Auto Impex 3. Star Motorcycle by Dewan Group 4. Jinan Motorcycle by Shafiq Sons 5. Super Star Motorcycle by Memon Brothers These five companies started local assembling of motorcycles but the some officials of EDB stopped them for manufacturing because they told them before starting assembling you must have to approve Deletion Program from EDB. Local Assemblers established their own association namely Sindh Motorcycle Assemblers Association – SMAA and Mr. Muhammad Sabir Shaikh was the First President of local motorcycle assemblers.

2003 - CBU Rate of Duty on Motorcycles reduced from 90% to 75% - CKD rate of duty reduce d from 25% to 20% - Govt. a pp roved 4 motorc ycle assemblers to start local assembling in the same year go vernment again approved 3 motorcycle assembler to start production. - N u mb er of vend or s / p a rt s manufacturer increased from less than 100 to 125 units. - Motorcycle sales increased in Pakistan. - Japanese assemblers reduced Rs. 10 ,0 00 / - on th eir m otor cyc les - The 70cc Motorcycle price comes down from Rs. 70,000/- to Rs. 49,900/- Local assemblers became eight after approval of EDB.

2004 - CBU Rate of Duty on Motorcycles only 75% - CKD Rate of Duty on Motorcycles increased 30% - Govt again approved 10 motorcycle assemblers in this year - N u m b e r of v e n d o r s / p a r t s manufacturer increased from 125 to 200

www.automark.pk | February-2011 24

units. - Near abou t sixteen moto rcycle assemblers started production of 70cc bikes.

2005 - CBU Rate of Duty on Motorcycles only 75% - CKD Rate of Duty on Motorcycles incr eased to 30 % - Number of approved Assemblers closed to about 60 - Very tough competition started and near about 20 motorcycle assembling units came on verge of collapse - Total motorcycle production increased to 375,000 units - Govt started making draft to close chapter of deletion programs and new policy would be issued in next year.

2006 - CBU Rate of Duty on Motorcycles 75% - CKD Rate of Duty on Motorcycles increased 30% - Govt closed the policy for auto sector, deletion programs - Govt introduced Tariff based system (T BS ) t o au t o se ct or t h ro ug h SRO655/2006 and SRO 656/2006 and an other SRO693/2006 - Due to new policy assemblers were very happy and black mailing of some officials of Engineering Development Board upto 2005 was closed. As many as more than twenty small and medium-sized units across the country w er e nea r ing cl osu r e and t h e manufacturers feared that their smallsized units would be in jeopardy by July this year 2006. Vice Chairman Mr. Muhammad Sabir Shaikh of Association of Pakistan Motorcycle Assemblers (APMA) said that some 22 out of 38 units had been compelled to shrink their business volumes in the wake of rising competition, non-implementation of TBS and largely provided credit facility by the big manufacturers to the dealers.


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Japanese assemblers were producing 40% of the market. Local Chinese bike assemblers were producing 60% of the market. Some financially sound companies were throwing their units into the market and conveyed to their dealers to sell their products either on full cash or through leasing. The small-sized motorcycle manufacturers were perplexed over the situation in which big companies were launching new models and designs, while, they (small-sized assemblers) were fighting for their survival. On the one hand, Chinese bike makers were competin g with big companie s by improving their product’s quality and design, while on the other hand, the price s of their products hav e al so declined significantly from Rs. 36,000/to Rs. 32,500/- per unit during the past four to five months du e to stif f competition. In these circumstances TBS was coming thus creating fear that the big companies would slash their products prices more significantly this time resulting in losing the market share. Th e aggregate investment in the motorcycle industry had reached to Rs. 5 billion, while the units which were near to closure at this point in time, got the license and had invested approximately Rs 50 million each some three years back. The very important achievement for local motorcycle industry is the US AID an independent agency through CSF made a progress report on Motorcycle Industry of Pakistan.

2007 - CBU r ate of c ustom d ut y on motorcycles 65% - CKD rate of duty on non localized parts 15% - CKD rate of duty on localized parts 47.5% - Raw material rate of duty 0% - Sub Component (IORC required) 5% - Components (IORC required) 10% - Sub assembly (IORC required) 20% - Through new formula / structure of custom duty in TBS big companies started big fraud with the government through officially tax evasion by using different import formula for localized

was 1.8 million units as informed him by PAAPAM) out of this 3 Japanese assemblers produced 622,000 units and all other Pakistani Assemblers affiliated with Chinese companies produced 778,000 units which was more than 60% of total production. If the figure of PAAPAM is correct then who produced 0.4 million units in the country last year. parts also and importing parts instead of 47.5% by paying only 5%, 10% and 20% using sub-component, component and sub-assembly term it was a big joke in motorcycle parts history because up to 150cc motorcycle it was not a very high technology.

2008 In Pakistan due to many motorcycle assemblers and price reduction the import of CBU mo torcycles w ere stopped because 65% duty was very high and if any importer imported motorcycle paying 65% custom duty cannot survive in the market. The very important point is that if we import small car in Pakistan the CBU rate of duty is 50% and if we import motorcycle the CBU rate of duty is 65% why? In this year due to government’s change in Pak istan th e dollar price was increased from Rs. 62.00 to Rs. 83.00. It was a big shock to all industry including motorcycle sector of Pakistan.

2009 Due to very high rate of US$ the motorcycle industry was in trouble because more than sixty players were in the market and all of them were making 70cc motorcycle and the whole sale price was Rs. 36000/- and the retail price was Rs. 36500/- and no profit to motorcycle assemblers, electricity problem, gas problem, law & order problem etc. Due to very tough competition this year assemblers were in trouble but the good news was that many assemblers started export to Bangladesh, Afghanistan and some other countries of the world.

2010 In the year 2009-10 all motorcycle assemblers produced record around 1.4 million motorcycles (according to press statement by CEO EDB the production

www.automark.pk | February-2011 25

Japanese assemblers were producing 40% of the market. Local Chinese bike assemblers were p rod uc ing 6 0% of th e mar ket.

Some officials of EDB specially GM policy, ADGM tariff, and the managers of Tariff are still same attitude and not inviting local assemblers in the policy m at t ers an d J apa n ese assemblers have influence in the EDB directly and through PAMA and all the policy matters discussed with PAMA members and not local asse mblers through their as sociation APMA. Due to very high rate of CBU duty on motorcycles the imported motorcycle bu siness is closed i n Pakistan. The small cars CBU duty in Pakistan is 50% but on motorcycles CBU duty is 65%. If Government reduced CBU rate of duty on Motorcycles from 65% to 45% it is guaranteed that not more than 2% of total Pakistan production will be import in Pakistan. The government must reduce CBU rate of duty on Motorcycles from 65% to 45% because this is in the favor of Pakistani motorcycle industry to introduce more models/designs after checking / testing through CBU imports. All over the world including China, India, Japan, Thail and an d man y cou ntr ies h ave m ore th an 100 models / designs in motorcycle industry but we have only 3 models / designs in Pakistan motorcycle industry.


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Two Wheeler Production

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Two Wheeler Production

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Exclusive - Review

Composed by: Muneeb Jawed Automotive Engineering from NED University

Suzuki cars are the ideal choice for salaried Individuals looking for a new car on a tight budget Liana emerged as an instantaneous hit with households searching for an low-cost bigger vehicle, and gained a substantial portion of sales from the used sedan industry which was previously mainly controlled by older versions of the Honda City and Civic and Toyota Corolla. The respected Japanese vehicle producer, Suzuki, has had a important presence in Pakistan's automotive business for countless years. The corporation established its local operations in 1984 and presently has one of the most advanced automobile production units in South Asia, with models being sent to locat ions like Nigeria and Maldives. Suzuki deals in both personal and co mmercial vehicles and symbolizes affordability for families with a limited budget. It is one of the most exte nsively purchased brands in Pakistan and caters to every economical, compact segment in the automobile industry. In the coupe class, Suzuki has a dandy vehicle called the Alto. An alternate of the well-liked Mehran, the Alto was more rounded and had a higher quality exterior and interior look. It had a secure feel and dr amatically enh anced handling, with parts more solidly attached, curtailing clattering noises, which were normal in the Mehran. With a 1000cc engine volume, the vehicle came with an air conditioner and turned out to be a huge cash saver both in terms of value and outstanding fuel efficiency. An impressive vehicle for driving on ch ock-fu ll ci ty road s, th e A lto could whiz in an out of constricted spots and fit without problems in the smallest of parking areas. The alto is noticeably cheaper than other vehicle companies trading models in the same cl ass.

The considerably broader Cultus is a hatchback, which is attainable in a range of versions with extra options like power windows available for a moderately higher rate. Offering a different styling to its predecessor, the Khyber or Swift, it had a four-wheel standalone strut suspension and a 1000cc engine size. The inside was also noticeably roomier and can effortlessly fit five individuals. A setback related to Pakistan's streets was its somewhat low lying body, which scours unreasonably h ig h speed breakers while holding large weight. The Cultus is fuel efficient and painless to look after because of inexpensive parts and accessories. Suzuki's sedan automobile, the Liana, also recognized as the Aerio in western countries, was absolutely distinct in shape compared to Suzuki''s earlier sedan, the Margalla, in Pakistan. A more luxurious vehicl e than any earlier models provided in Pakistan by Suzuki, the 1300cc Liana eme rge d as an instantaneous hit with households searching for an low-cost bigger vehicle, and gained a substantial portion of sales

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from the used sedan industry which was previously mainly controlled by older versions of the Honda City and Civic and Toyota Corolla. Families could now manage to acquire a brand new vehicle as opposed to a utilized one in the compact sedan class. In the commercial spectrum, Suzuki caters to the light truck and minivan sectors with its Suzuki Pickup and HiRoof styles. The industry is almost absolutely commanded by Suzuki vehicles and owners usually rent these cars for commercial use. It is very common in Pakistan to observe c o u n t le ss P i c k u p s p a r ke d a t transportation centers in important locations providing their services to short term customers to transfer light construction equipment and other loads. The Hi-Roof is a good way to transport eight to nine individuals for a field day or a weekend excursion. It is no surprise that in spite of the debut of countless other brands, a few of which are price competitive Chinese makes, Suzuki has been the leader of l ow -c ost br and new and u sed automobiles in every one of its industry sectors. Though no where close to the top quality and status provided by other organizations, it is dependable and affor da ble enoug h for w orking individuals eager to buy a established car obtainable in a restricted budget. ...


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by Pervez Ismail

Automotive Sector - Feedback

EDB Developing Policy for next five years for Motorcycles and Auto CNG Rickshaw without consulting with OEMS of Pakistani Brands APMA representative has informed us the General Manager (Tariff) EDB vide their letter No EDB/TBS-II/10 dated December 24, 2010 circulated the proposed policy to only Japanese Brand Assemblers for comments. Assemblers of Pakistani Brands who have more than sixty percent share in local market have not been consulted. APMA representative inform us inspite of the above we have submitted our comments which are reproduced below;

Minimum in house facilities. • Facilities like paint shop and welding are outsourced to other vendor by OEM than vendor should have same facilities as mentioned. • Purchasing of assembled engine should be allowed from Vendor who are registered with PAA PA M and import components under quota given by EDB. This will promote e ngine asse mbling in the country and manufacturing of precision parts which are pre se nt ly not de ve lope d. • Atleast two years time to be given to existing vendors in case of shortfall in the required facilities. • Our technical team is also looking it in, further comments

Industry Development Plan (AIDP) was prepared in which following incentives were given to the investors to make investment in the high precision items and project wh ich require heav y investment;

from them will be submitted at later stage.

Tariff for next five years Background When SR O 693 was issued when country production was less than 300,000 motorcycles and keeping this requirement those components which are locally manufactured and the respective vendors are meeting this d em and b y 65 % of the country production are classified as indigenous thus taken into SRO 693 for providing protection to local vending industry. This exercise was carried out at EDB level. In this exercise those items were also included which are manufactured by OEMs and their associates but not supplying to other OEMs. Now country production is more than 1.5 million motorcycles but instead of increasing the vendor capacity to that extent their capacity has been reduced and they are unable to meet the country demand. On the other hand there was an Auto

www.automark.pk | February-2011 33

•Human Resource Development through Auto Industry Skill Development Company • Proper Statutory Rules and Regulation for qualifying under PAII • Allocation of Funds for TASS • Area allocation for Auto Cluster Development • Statutory backing of Auto Industry Investment Policy. Other side of Plan is that a schedule has been given AIDP to delete the parts specified therein within five years for higher duty under SRO 693 but not developed in the Country as yet. EDB unable to provide the legal backing to the incentives mentioned in the AIDP therefore no investor is ready to make investment therein while EDB is putting the parts in SRO 693. Vendors are also facing the problems due to non availability of some of the components locally which is used in manufacturing of parts. They are forced to import it at high rate of duty. In SRO 693 no distinction has been given for d iffer ent h orse power motorcycles. Development of localized parts of 70cc motorcycl es has been


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Automotive Sector - Feedback applied to all motorcycles which are different from 70cc.As a consequence Motorcycles of horse powers of other than 70cc has not been developed and no improvement in 70cc motorcycles as well.

competition through this illegal means.

Proposal

Our Proposal Rules/criteria needs to be defined for inclusion/deletion in SRO 693 or make SRO 693 as part of CGO 11/2007 with vendor name whe re s uch criteria has already been laid down. • SRO 693 needs to be revisited on the basis of Rules/Criteria laid down as proposed above. • Auto parts which are meeting the 75% of Country demand and have achieved excellence should be ke pt at high duty and remaining parts to be deleted. • Road Map to be developed for localization of remaining parts of Motorcycles to achieve 100% deletion with incentives and security. • Components used in EURO II compliant ve hicle s to be addressed separately in SRO 693 • On the other hand incentives given in AIDP should be made available to investors legally. In the meantime Components which are taken in SRO 693 in

the last thre e years to be reversed and duty under SRO 693 to be reduced to 25%. • Components of motorcycles of 70cc, 100cc & 125cc should be separately identified under SRO 693 which are localized so specific emphasis can be given. The above are our comments on the proposed policy which should be considered in the next AIDC meeting and circulated amongst the members of AIDC. Proposal to combat evasion of sales tax

Background It has been noted some of the OEMs are involved in selling their products without showing in Sales Tax Returns. As result of wh ich OEMs which ar e fully compliant of Tax laws are facing tough

•F e de ral Re gis trat ion Monitoring of Vehicle Cell (FRMV Cell) to be formed. • A software to be developed in whi ch co mpl e te da t a of registration of all vehicles to be obtained by such FRMV Cell from Provinces or Registration Authorities. • OEM should also submit their production and sales with engine and chassis no through electronic filing along with Monthly Sales Tax Return to FBR. • FBR should immediately transfer such data to FRMV Cell which will fed into the above referred software. Software should identify the unreported engine and chassis number which are registered with Registration Authority and takes action against OEM for evasion of Sales Tax.

How can a policy can be representative if it is not consulted with stakeholders of more than 60% in Local market?

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Exclusive Article

Picture of radiator showing side tank with cooler

(C2H6O2), also known as antifreeze. By adding ethylene glycol to water, the boiling and freezing points are improved significantly. The temperature of the coolant can sometimes reach 250 to 275 F (121 to 135 C). Even with ethylene glycol added, these temperatures would boil the coolant, so something additional must be done to raise its bo iling point. The cooling system uses pressure to further raise the boiling point of the coolant. Just as the boiling temperature of water is higher in a pressure cooker, the boiling temperature of coolant is higher if you pressurize the system. Most cars have a pressure limit of 14 to 15 pounds per square inch (psi), which raises the boiling point another 45 F (25 C) so the coolant can withstand the high temperatures. Antifreeze also contains additives to resist corrosion.

Water Pump The water pump is a simple centrifugal pump driven by a belt connected to the crankshaft of the engine. The pump circulates fluid whenever the engine is running. The water pump uses centrifugal force to send fluid to the outside while it spins, causing fluid to be drawn from the center continuously. The inlet to the pump is located near the center so that fluid returning from the radiator hits the pump vanes. The pump vanes fling the fluid to the outside of the pump, where it can enter the engine. The fluid leaving the pump flows first through the engine block and cylinder head, then into the radiator and finally back to the pump.

Engine The engine block and cylinder head have many passageways cast or machined in them to allow for fluid flow. These passageways direct the coolant to the most critical areas of the engin e. Note that the walls of the cylinder are

quite thin, and that the engine block is mostly hollow. Temperatu res in the combustio n chamber of the engine can reach 4,500 F (2,500 C), so cooling the area around the cylinders is critical. Areas around the exhaust valves are especially crucial, and almost all of the space inside the cylinder head around the valves that is not needed for structure is filled with coolant. If the engine goes without cooling for very long, it can seize. When this happens, the metal has actually gotten hot enough for the piston to weld itself to the cylinder. This usually means the complete destruction of the engine.

The head of the engine also has large coolant passageways. One interesting way to reduce the demands on the cooling system is to reduce the amount of heat that is tran sferred from the co mbu stio n chamber to the metal parts of the engine. Some engines do this by coating the inside of the top of the cylinder head with a thin layer of ceramic. Ceramic is a poor conductor of heat, so less heat is conducted through to the metal and more passes out of the exh au st.

Radiator

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A radiator is a type of heat exchanger. It is designed to transfer heat from the hot coolant that flows through it to the air blown through it by th e fan . Most modern cars use aluminum radiators. These radiators are made by brazing thin aluminum fins to flattened aluminum tubes. The coolant flows from the inlet to the outlet through many t u b es m ou n t ed i n a p a r a ll e l arrangement. The fins conduct the heat from the tubes and transfer it to the air fl ow i ng t h r ou gh t h e r ad i at or . The tubes sometimes have a type of fin inserted into them called a turbulator, which increases the turbulence of the fluid flowing through the tubes. If the fluid flowed very smoothly through the tubes, only the fluid actually touching the tubes would be cooled directly. The amount of heat transferred to the tubes from the fluid running through them d ep end s on t h e di ffe re nce i n temperature between the tube and the fluid touching it. So if the fluid that is in contact with the tube cools down quickly, less heat will be transferred. By creating turbulence inside the tube, all of the fluid mixes together, keeping the temperature of the fluid touching the tubes up so that more heat can be extracted, and all of the fluid inside the tube is used effectively. Radiators usually have a tank on each sid e, and insi de th e tank is a transmission cooler. In the picture above, you can see the inlet and outlet where the oil from the transmission enters the cooler. The transmission cooler is like a radiator within a radiator, except instead of exchanging heat with the air, the oil exchanges heat with the coolant in the radiator.


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Pressure Cap The radiator cap actually increases the boiling point of your coolant by about 45 F (25 C). How does this simple cap do this? The same way a pressure cooker increases the boiling temperature of water. The cap is actually a pressure release valve, and on cars it is usually set to 15 psi. The boiling point of water increases when the water is placed under pressure. When the fluid in the cooling system heats up, it expands, causing the pressure to build up. The cap is the only place where this pressure can escape, so the setting of the spring on the cap determines the maximum pressure in the cooling system. When the pressure reaches 15 psi, the pressure pushes the valve open, allowing coolant to escape from the cooling system. This coolant flows through the overflow tube into the bottom of the overflow tank. This arrangement keeps air out of the system. When the radiator cools back down, a vacuum is created in the cooling system that pulls open another spring loaded valve, sucking water back in from the bottom of the overflow tank to replace the water that was expelled.

apparently by magic! If you'd like to try this yourself, go to a car parts store and bu y one for a couple of b ucks. The secret of the thermostat lies in the small cylinder located on the engineside of the device. This cylinder is filled with a wax that begins to melt at around 180 F (different thermostats open at different temperatures, but 180 F is a common one). A rod connected to the valve presses into this wax. When the wax melts, it expands significantly, pushing the rod out of the cylinder and opening the valve.. Th is same tech niqu e is used in automatic openers for greenhouse vents and skylights. In these devices, the wax m elts at a l ower t emp era tu re.

viscous clutch is much like the viscous coupling sometimes found in all-wheel drive cars.

Fan Like the thermostat, the cooling fan has to be controlled so that it allows the eng ine to ma intai n a c onst ant temperature. Front-wheel drive cars have electric fans because the engine is usually mounted transversely, meaning the output of the engine points toward the side of the car.

A heater core looks like a small radiator.

Heating System

Thermostat The thermostat's main job is to allow the engine to heat up quickly, and then to keep the engine at a co nstan t temperature. It does this by regulating the amount of water that goes through the radiator. At low temperatures, the outlet to the radiator is completely blocked -- all of the coolant is recirculated back through the engine. Once the temperature of the coolant rises to between 180 and 195 F (82 - 91 C), the thermostat starts to open, allowing fluid to flow through the radiator. By the time the coolant reaches 200 to 218 F (93 - 103 C), the thermostat is open all the way. If you ever have the chance to test one, a thermostat is an amazing thing to watch because what it does seems impossible. You can put one in a pot of boiling water on the stove. As it heats up, its val ve opens about an inch,

Heater plumbing

Cooling fan The fans are controlled either with a thermostatic switch or by the engine computer, and they turn on when the temperature of the coolant goes above a set point. They turn back off when the temperature drops below that point.

You may have heard the advice that if you car is overheating, open all the windows and run the heater with the fan going at full blast. This is because the heating system is actually a secondary cooling system that mirrors the main cooling system on your car.

Heater plumbing The heater core, which is located in the dashboard of your car, is really a small radiator. The heater fan blows air through the heater core and into the passenger compartment of your car.

Cooling fan Rear-wheel drive cars with longitudinal engines usually have engine-driven cooling fans. These fans have a thermostatically controlled viscous clutch. This clutch is positioned at the hub of the fan, in the airflow coming thro ugh the radiator. This special

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A heater core looks like a small radiator. The heater core draws its hot coolant from the cylinder head and returns it to the pump -- so the heater works regardless of whether the thermostat is open or closed....


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Automotive Sector - Review

Misery of the auto sector of Pakistan The Engineering Development Board has not supported the proposal for import of used cars. It said that a large amount of foreign exchange would outflow from the country to buy used cars. At last the government has allowed import of five-year-old used cars, instead of three-year under the decision taken on December 8, 2010. Manufacturers and auto venders are not happy on this decision and saw vested interests behind the decision. They said this would only benefit elites and importers and not the common buyer. They cited the example and said that about 500 cars have been imported in January 2011, which are above 1,800cc, branded Premio, Axis, Prado and Land Cruiser, which are not used by the common man. Association of Automotive Parts and Accessories Manufacturers Chairman Aamir Allawala commenting on the import of cars said millions of rupees would outflow from the country and actually the government has signed the death warrant for the automobil e industry. He also blamed that the government is not implementing Auto Industry Development Plan (AIDP), which was made several years ago. It is pertinent to mention that the Ministry of Commerce had proposed to enhance age limit of cars to five years, from three years, and the Ministry of Industries supported it. The Commerce Minis try was of the view that age relaxation will not affect the local

industry. In 2004 the government has permitted import of reconditioned cars to meet the demand. The import policy 2006 allowed the import of three-yearold used cars. It was said that in 2006 when the cars’ import was allowed only 36,563 units were imported as against the local production of 163,114 units during that year. However, they did not quote the figures for the next four years in which import of cars was more than 200,000, 500,000, 400,000 and even in 9 months of 2009-10 about 442,755 cars were imported. To decrease prices and fill the gap of demand and supply the government has

The Engineering Development Board has not supported the proposal for import of used cars. It said that a large amount of foreign exchange would outflow from the country to buy used cars. The officials said that expatriates would send such vehicles from their foreign earned money. Venders said auto parts industry would lose business due to import of used cars. Jobs will be reduced, import taxes on CKD kits, local taxes and production of parts would be affected, besides many other possible losses. On the other hand, the Competition Commission of Pakistan said past

APMDA Chairman H M Shahzad further said that vehicles are booked on a 100 percent advance payment and sales tax, income tax and excise duty is included in the booking price. This amount is not deposited immediately in the government exchequer and used by the auto assemblers for about four months to earn interest on it. previously permi tted the import of three-year-old cars under transfer of residence, personal baggage and gift schemes that has now increased to five years.

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experience showed that the advanced countries usually dump their discarded cars in countries like Pakistan. The previous experience was that import of used cars faced the problem of nonavailability of spare parts and within a fe w y ea r s t h es e c a r s b ec a m e unserviceable. Therefore, we can benefit from newer technologies by reducing tariffs on the import of new cars. To improve competition, the CCP suggested that the tariff on import of new cars in all categories must be reduced significan tly to bring the protection available for domestic car man ufacturers down to 5.0 to 10 percent. Th is will br ing in new


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Automotive Sector - Review

PAAPAM Chairman Aamir Allawala commenting on the import of cars said millions of rupees would outflow from the country and actually the government has signed the death warrant for the automobile industry. He also blamed that the government is not implementing AIDP, which was made several years ago. technology, offer more choice to the consumers and make the automobile market more competitiv e thereby reducing prices and improving quality. The details indicated that automobile prices have increased from 33 to 78 percent during the last three years, 2008-10. According to All Pakistan Motors Dealers Association (APMDA), prices have been increased 18, 16 and 13 times by all the assemblers. Recently they decreased prices very nominally. Welcoming this decision he said now the buyers will get cars at reasonable prices, such as, no premium and no waiting period. APMDA Chairman H M Shahzad further said that vehicles are booked on a 100 percent advance payment and sales tax, income tax and excise duty is included

in the booking price. This amount is not d ep os it ed i mm ed i a te ly i n t h e government exchequer and used by the auto assemblers for about four months to earn interest on it. Car price s in Pak is tan are rising continuously. For instance, Pak Suzuki raised its prices twice in the early months of 2008 and again in January 2009. It then lowered prices in April 2009. In October 2009, both Indus Motor and Honda Atlas also increased prices. In February 2010, Indus Motor announced price increases of Rs 10,000 on the basic model of the Corolla and Rs 20,000 on the deluxe models. According to the manufacturers, Corolla prices have remained unchanged since October 2009 while during this period Pakistani rupee depreciated by 5.0

Competition Commission of Pakistan said past experience showed that the advanced countries usually dump their discarded cars in countries like Pakistan. The previous experience was that import of used cars faced the problem of non-availability of spare parts and within a few years these cars became unserviceable.

percent against the yen that has an effect of Rs 30,000 per imported CKD vehicle and over Rs 10,000 in local vendor parts. In addition, there has been an increase in labour wages and utility prices. All these factors have forced the local Original Equipment Manufacturers (OEMs) to increase car prices. They said, however, they have not passed on the full burden to the consumers, therefore, their profit margins are reduced significantly. The activities of automotive industry plays an important role in the economy because it generates revenue of Rs 63 billion annually, pays taxes and provides employment to more than 200,000 people. Auto sector is contributing 16 percent to the manufacturing sector and planned to be increased to 25 percent in th e next fiv e years. The total investment is over $1.5 billion. The industry has contributed $3.6 billion to the gross domestic product (GDP). There are about 82 auto assemblers pr od ucing p assenger cars, light commercial vehicles, trucks, buses, tractors and two and three wheelers. Number of person per car reflects the health of the automobile industry and also per capita income of the population of a country. In Pakistan the ratio was 3,500 persons per car. If we combined the jeeps, station wagons and cars on the road then the ratio comes down to 192 persons per vehicle, 2001, that decreased to 70 people per vehicles in 2009. It was 40 persons per car in Asia, four persons in Europe an d three persons in North America.....

Car prices increased 7pc in last 2 years: IMC An IMC spokesman, while reacting to statements from some analysts and government officials that Indus Motors Company (IMC) has massively increased prices of its vehicles during the past two years, said that facts are being distorted which is causing an irreparable damage to the local industry. In a statement, an IMC spokesman said that IMC has increased its prices by only seven percent during the last two years (Jan 09 till Dec 10). He stated that reasons for an increas e in local ly produced car rates are not hidden from consumers wh o u nderstan d th at Pakistani currency has devalued, in addition to a surge in commodity prices.

He lamented that rates of natural gas, electricity, diesel and petrol have swelled by 13 percent, 34 percent, 34 percent and 20 percent respectively during the same period. In addition, steel prices increased by 27 percent from $586 to $74 6 p er tonne, w hi le r ates of polypropylene, aluminum, copper and lead swelled by 67, 35, 24 and 45 percent r es p ec t i v e l y . T h e m e n t i o n ed commodities are important inputs in car production, while local OEMs absorb most of the increase in cost and pass a small amount to consumers, he added. Moreover, dollar rate has increased by 6.1 percent against the rupee from June 2009 till date, while the rupee has

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depreciated 20 percent against Japanese Yen during the same period. This has increased the cost of imported parts used in locally made vehicles. He said that car makers generally had to adjust prices, keeping in view the increase in cost of production. However, he added th at prod ucers h ave also m ade d ow nwar d adj ustments in rates whenever possible. He negated the impression that previous allowance of five years old cars did not affect local OEMs and said that the year had seen excess demand, in addition to h ea vy invest ments of loca l man uf acture rs to e nh ance productivity....


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Production Figures

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Energy Sector - Update

China keen on coal projects These ties between the governments of Pakistan and China got a boost with continued efforts of President Asif Ali Zardari, he added. China has shown inte re st in coal development in Thar, Badin and Saindak projects , particularly in chemical production plant in Sindh. A Ch in ese delegation, led by Ma Xiaomin and Wu Zongyuan of “China Kingho Group” called on Sindh Chief Minister Syed Qaim Ali Shah at the CM House and discussed investment opportunities with reference to its expertise and its on-going projects in China. The delegation informed the chief minister that the group was committed to exploitation and utilis ation of resources and energy pro ductio n. The group, with 64,000 employees and with total assets of over $ 8.5 billion and $4.5 billion revenues is engaged in business of coal mining, coal chemical, c oa l p ow er , g as ifi c at i on, c oa l transportation, iron ore mining,

chemical metallurgy, salt chemicals, building material and in volved in complete integrated circular projects and industrial parks. The delegation, wh ich arrived in Karachi, also informed the chief minister that following Chinese state policy of ener g y con ser vat i on, e mi ssi on reduction, and green development the group was involved in development strategy of low carbon economy to further promote regional economic development and social stabil ity . Earlier, the chief minister welcoming the Chinese in- vestment private sector group recalled cordial relations between

China cooperating with Pakistan in all sectors A delegation of Chinese Company M/s Shaanxi Xintong Intelligent Company demonstrated the working of solar energy water pump, Sprinkle and Drip Irrigation system at village Mann near Kasur, says a press release. The President of Zarai Taraqiati Bank Limited (ZTBL), Muhammad Zaka Ashraf, Public, Media representatives and a large num ber of far mer s participated in the demonstration. "This is the continuatio n of th e strenuous efforts made by President Asif Ali Zardari and Prime Minister Syed Yousuf Raza Gilani regarding welfare and p r omot ion of th e ignor ed community of farmers," said by Zaka

Ashraf. He fu rther stated that Ch ina is cooperating with Pakistan in all sectors, adding that our economy is based on agriculture and there is a fear that shortage of irrigation water will be at its maxim um in th e coming years. Introduction of such cost sav ing technologies will add a lot to the national economy. The Head of Chinese delegation Yuxinlu said that the solar energy based irrigation can revolutionise the Pakistani agriculture sector and can go a long way in achieving the food-security for the teeming mil lions of Pak is tan.-PR

www.automark.pk | February-2011 40

China and Pakistan, with particular reference of the role of late Zulfikar Ali Bhutto as a foreign minister, president and prime minister. These ties between the governments of Pakistan and China got a boost with continued efforts of President Asif Ali Zardari, he added. Pointing towards vast opportunities of investment in the province, the chief minister said Sindh possess vast reserves of coal and other natural resources together with agricultural productivity. Mr Shah assured the Chinese group of all possible cooperation and invited them to have investment, particularly in coal development, generation of energy an d chemical productiv ity. Those present at the meeting besides the Chin ese delegatio n and other officials were Kamal Majeedullah, Sindh Secretary for Mines and Min eral De ve lo p m ent A i j a z Al i K h an , Ambassador at large Khalil Ahmad, and secretary to the chief minister Ahmed Bux Narejo. The members of the delegation also called on Sindh Governor Dr Ishratul Iba d at t he Gover nor ’s House. The Governor said that Thar coal reserves are sufficient to meet country’s energy needs and the value addition can also help bring investment into Pakistan. He said that Thar coal should be utilised in accordance with the vision and planning. He stated that the first right of the Thar coal is of the Sindh province. The governor said that it was the endeavour of the government that renowned companies be persuaded for investment. He stated that there are some companies which are involved in exploration work and results that have come to the fore are quite encouraging.


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Automotive Sector - Update

PAKISTAN MACHINE TOOL FACTORY (PVT) LTD. A Company of State Engineering Corporation Ministry of Industries & Production Government of Pakistan Karachi ENGINEER WASI UDDIN ASSUMED THE CHARGE AS MANAGING DIRECTOR

Engr. Wasi Uddin, wh o w as Gener al M a n a g e r ( Com me rc ia l & HRM), assumed the charge as Managing Dire ctor, Pakis tan Machine Tool Factory on February 7, 2011. Mr. Wasi Uddin, who is a professional Mechanical Engineer, joined PMTF in 1974 as an Engineer. After joining PMTF he got an extensive practical training for two years in the different sections of PMTF in the fie ld of manufacturing the engineering goods especially the automotive components which contributes about 60% of the total turn over. He served the factory in Production Division in the capacities of Asstt. Manager, Deputy Manager & Manager very effectively, produced extra ordinary results and achieved highest production targets ever. He was also involved in the development activities of engineering goods. In r ec og ni t io n of h i s s ig ni fi c an t performance, he was promoted to the post of Deputy General Manager in 1991 in the record shortest period of service as Manager. Later, taking into consideration his experience and expertise in negotiations and the need of the time to have an

experience d engineer with sound knowledge of factory products to head the Sales & Marketing Division, he was transferred to Commercial Division in 1991. This experience proved to be very successful as during the very next year i.e. 1992-93, PMTF achieved the record highest ever sal es. He not only contributed in increasing the sales in the consecutive years, but also managed to build a real effective sales team who also contributed to build the image of t h e fa c t or y as a c o m m er c i a l organization. Year 2000-2001 again proved to be the milestone year as he managed to surpass the previous sales record and achieved the ever highest sales for which he was awarded by the Higher Authorities. After being promoted as General Manager (Business Development) due to his negotiation skills, convi nc ing qu alities and leadership traits he achieved the highest record sales d uring 20 05-2006. Mr. Wasi Uddin has undergone a variety of Trainings in Pakistan and abroad. Being a versatile and dynamic person with high profile qu al ities, it is sanguinely expected that Mr. Wasi Uddin is the person who can put PMTF on the right track and achieve the required result by mobilizing his team of highly trained engineers and the staff.

Lube base oil prices rise by Rs 6.50 per litre The Attock Refinery Ltd on Thursday increased prices of lube base oil by Rs 6.50 per litre. Chairman All Pakistan Lubricants Manufacturers Association (APLMA) Mian Zahid Husain said refineries have increased prices of lube base oil by 15 percent in the past four months. The new increase would result into Rs 8-10 per litre price hike of all lubricants. He said since December, this is third time that base oil prices have been increased without any justification or taking lu b r i ca nt s ma nu f ac tu r er s i nt o confidence. He pointed out that the prices increase in base oil was being linked with the price fluctuation in the international market but at the time when the prices of POL have gone down to $87 per barrel, the refineries are increasing base oil prices without any justification. He said that as per their formulae, the price of lube base oil should be decreased instead. He said that refineries have created artificial shortage of base oil in the local market, which is causing price increase. He mentioned that total consumption of lube oil in Pakistan is 400,000 tonnes while local refineries manufacture only 200,000 tonnes lubricating oil — out of which automotive industry consumes 173,000 tonnes, which is 86 percent of the total production. He said the government needs to take steps to meet the shortage of the lubricating oil.

Japan can help to enhance technical manpower: Tariq Puri The TDAP is very keen to see Pakistani business expand in all directions. This was said by CEO (TDAP) Tariq Iqbal Puri who spoke to members of the Pakistan Japan business forum (PJBF) last month. The TDAP chief said Japan was an important trading and economic partner for Pakistan and Islamabad attached great importance to the close business and economic relations with Japan. He said what one saw in Pakistan Today in terms of industry was mostly due to Japan and the help it had extended to Pakistan’s businessmen and industry.

The TDAP CEO said that Prime Minister Gilani had declared 2011 as export year and TDAP would encourage Pakistani entrepreneurs to explore new markets and new sectors. The TDAP he added would ensure that it provided all possible assistance and was in the process of setting up a web portal. This web portal he added would a state of the art affair ca t er in g t o t h e n eed s o f th e businessmen. Referring to Japan, the TDAP chief said a Pakistani business delegation was leaving later this week for Japan to explore opportunities.

www.automark.pk | February-2011 41

The TDAP chief suggested that Japanese investors should think of bringing technical and commercial professional tra ining t ha t h as inter na tional accredition, certification and also quality certification. This will help enhance the HR skills of Pakistani labour and help create employment. He concluded by appreciating the services of Pakistan Japan business forum to enhance business relations and said that PJBF could always count on TDAP assistance in resolving any issues that it encountered.......


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International Automotive - Update

Carmakers start 2011 strongly Maruti Suzuki, India's top carmaker, posted a 14.7 percent rise in January car sales its slowest pace of monthly growth since March as rising interest rate and higher fuel costs crimp demand for automobiles in Asia's third-largest economy. Carmakers are making a strong start to 2011, soothing concerns about slower demand growth in Asia and a bumpy recovery in western markets. South Korea's Hyundai Motor, the world No. 5 player, said global sales rose 14 percent in January. Indian vehicle manufacturers reported sales rises of between 14 and 22 percent, and world No. 1 seatbelts-to-airbags group Autoliv predicted a North American recovery would help sales this year. French passenger car sales data out on Tuesday showed a rise of 8.2 percent year-onyear in January to 185,603 units, as the last effects of France's scrapping scheme continued to boost the figures. The scheme ended in December but cars bought with the bonus can be registered until March. Nevertheless the growth in China and India that has sustained carmakers is now seen cooling off, while an uneven recovery in advanced markets such as the United States and Europe remain a concern, analysts say. US auto sales lost momentum in the final weeks of January, auto executives and a leading analyst cautioned on Monday, setting the stage for a softer start to 2011 than expecte d when automakers report January sales later on Tuesday. But Chrysler w as upbeat wh en it published financial results on Monday even though Ford results disappointed last week. Hyundai and its affiliate Kia Motors, which outperformed their overseas rivals during the economic

downturn, are set to report strong sales and earnings this year, driven by improved brand image and quality and new models, analysts said. Hyundai saw its global sales jump 14 percent in January, fueled by robust sales of the Sonata sedan and the Elantra compact, while Kia sales rose by a third. New auto sales in Japan, excluding 660cc minivehicles, fell 21.5 percent in January, declining for the fifth straight month after subsidies to replace older cars expired. But the pace of decline slowed from the previous two months and an industry

www.automark.pk | February-2011 42

official said the drop was relatively tame, noting sales volu me in J anu ary represented a 7.4 percent rise from the same month two years ago. Spain, where incentives ran out in July, and a weak economic outlook and high unemployment are hurting spending power, was another dark spot, with January sales down 23.5 percent yearon-year. Maruti Suzuki, India's top carmaker, posted a 14.7 percent rise in January car sales - its slowest pace of monthly growth since March as rising interest rate and higher fuel costs crimp demand for automobiles in Asia's third-largest economy. Tata Motors, which makes commercial vehicles and cars, including the ultracheap Nano, reported a 15 percent rise in January sales. Utility-vehicles maker Mahindra & Mahindra said sales rose 22 percent last month from a year ago.Reuters


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Car / Light Vehicle Price List

SUZUKI

HONDA

Model MEHRAN VX 800cc MEHRAN VX (CNG) 800cc MEHRAN VXR MEHRAN VXR (CNG) ALTO VX 1000cc ALTO VX (CNG) ALTO VXR ALTO VXR (CNG) SUZUKI SWIFT 1.3L PETROL CULTUS Efi VXRI CULTUS Efi VXRI (CNG) LIANA 1.3L RXI MT PETROL LIANA 1.3L RXI MT (CNG) LIANA 1.3L LE MT PETROL LIANA 1.3L LE (CNG) RAVI PICKUP ST308R VX RAVI PICKUP ST308R VX CNG BOLAN VAN VX Petrol BOLAN VAN VX CNG BOLAN VAN VTR PETROL BOLAN VAN VTR CNG SUZUKI VAN CARGO APV 1.5L GLX MT (CBU) APV 1.5L GLX CNG (CBU)

Price Rs. 464,000 Rs. 510,000 Rs. 516,000 Rs. 560,000 Discontinued Discontinued Rs. 671,000 Rs. 720,000 Rs. 1058,000 Rs. 865,000 Rs. 906,000 Rs. 1,169,000 Rs. 1,239,000 Rs. 1,160,000 Rs. 1,230,000 Rs. 488,000 Rs. 539,000 Rs. 544,000 Rs. 596,000 Rs. 604,000 Rs. 657,000 Rs. 519,000 Rs. 1,824,000 Rs. 1,899,000

CHEVROLET Model CHEVROLET JOY CNG CHEVROLET JOY Petrol

Price Rs. 569,000 Rs. 539,000

NISSAN CARS Model Sunny Ex-Saloon 1.6L M/T Sunny Ex-Saloon 1.6L CNG S. Super Saloon 1.6L M/T S. Super Saloon 1.6L CNG S. Super Saloon 1.6L A/T NISSAN S. S. Saloon 1.6L A/T CNG

Price Rs. 1,225,000 Rs. 1,305,000 Rs. 1,370,000 Rs. 1,450,000 Rs. 1,470,000 Rs. 1,550,000

Model ACCORD ACCORD CR-V CITY I-VETC MT CITY I-VETC AT CIVIC VTI Mt CIVIC VTI Mt Oriel CIVIC VTI Pt CIVIC VTI Pt Oriel

HYUNDAI

Rs. Rs. Rs. Rs. Rs. Rs. Rs. Rs.

Price 5,866,000 5,316,000 1,324,000 1,454,000 1,659,000 1,834,000 1,779,000 1,909,000

TOYOTA COROLLA Model XLi 1.3 VVT-i GLI 1.3 VVT-i 2.OD Std. 2000cc 2.OD SALOON M/T 2.OD SAL SUNROOF ALTIS 1.8 VVTi M/T ALTIS 1.8 VVTi A/T

Rs. Rs. Rs. Rs. Rs. Rs. Rs.

Price 1,337,000 1,462,000 1,385,000 1,734,000 1,824,000 1,705,000 1,790,000

CHERY QQ Model

Price

CHERY QQ Petrol CHERY QQ CNG

Rs. 588,000 Rs. 628,000

LAND ROVER

DAIHATSU

Model

Model Price DEFENDER CUORE CX Rs. 6,85,000 (90 S/WJEEP STD) CX ECO (CNG) Rs. 7,30,000 (110 S/W A/C) CX AUTOMATIC Rs. 7,15,000 (90 Soft Top)

MASTER Price

NISSAN DIESEL TRUCKS Diesel Truck PKB 211 Diesel Truck PKD 411H Diesel Truck PKD 411E Diesel Truck PKD CD 411 Diesel Prime Mover CWM 454

Rs. 3,000,000 Rs. 4,150,000 Rs. 4,260,000 Rs. 4,600,000 Rs. 5,500,000

Price updated February 2011

Price Rs. 2,269,431 Rs. 2,545,000 Rs. 2,150,260


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Automotive Association - Update

APMA MANAGING COMMITTEE FOR THE YEAR - 2011

Mr. M. Sabir Shaikh Chairman

Mr. Sanaullah Chaudhry Vice Chairman

Mr. Pervaiz Ismail Member

Mr. Muhammad Asif Member

Mr. Zubair Ghangra Member

Mr. Imran Lakhani Member

Mr. Tanveer Ahmed Member

Mr. Abdul Akbar Member

Ch. Muhammad Khalid Member

Mr. Maqsood Ahmed Member

Japanese bike makers increase prices Assemblers of Japanese motorcycles have again raised prices to offset the rising cost of production. According to dealers, DYL Motorcycle Limited pushed up rates from the second week of December. The new price of YD-100 Junoon, YD-100 Yama 4 and YB -100 Royale is Rs75,000, Rs71 ,100 and Rs72,000 as compared to Rs73,300, Rs69,900 and Rs70,000. The new price of YD-70 DYL Dhoom is Rs46,400 as compared to 45,664. Dealers said the maker of Honda bikes

had also increased prices from the first week of December. The new price of Honda CD-70, CD-100, CG-125 and CG125 Deluxe is Rs63,000, Rs71,500, Rs86,900 and Rs109,500, respectively. Honda CD-70 and CG-125 Deluxe are the highest price two-wheelers in the country. In September, Honda bike maker also increased prices by Rs6002,000. Pak-Suzuki Motor Company Limited (PSMCL) had also enhanced prices from Sept 29 for its models like GS-150, GS-

125, Sprinter and Sprinter ECO to Rs86,000, Rs79,900, Rs70,000 and Rs67,000, showing a rise of Rs500 to Rs1,500. However, the company has not yet come out with any price rise. Dealers said that major Chinese bike makers had also pushed up the rate by Rs1,000 for 70cc bike in last week of November. Their wholesale price hovers between Rs38,800 to Rs40,500 while retail price ranges between Rs41,00043,000.....

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Focus on Environment

by Asif Masood Chief Technical officer ENERCON / ECF

First Motor Vehicle Fitness Certification Centre Islamabad ENERCON along with Toyota Islamabad Motors (TIM) has established a motor vehicle certification centre in Aabpara Islamabad for vehical fitness certification on voluntarily basis, in order to strengthening the institution of motor vehicles Examiner’s (MVE’s) in Pakistan. The scientific evidence is now clear that the earth’s climate system is warning as a result of green house gases emissions which are still increasing worldwide, and will continue to increase over the comin g decad es u nless th ere are significant changes to current laws, policies and actions. The global economy is expected to be affected by climate change. Sectors such as agriculture, forestry, tour ism and transp or t infrastructure which are critical for d evelop ing count ries a re m ore specifically affected. The Government of Pak is tan has resolved to revitalize national action tow ards ach ieving greater energy efficiency & energy conservation in the country to help meet the challenges of rapid deman d growth, improvin g economic competitiveness and ensuring equitable and affordable energy access across all consumer categories. Pakistan is seriously looking for capturing all possible opportunities for Energy Efficiency and Conservation (EE&EC) enhancement. Power crisis is yet another unremitting issue which has engulfed the entire country. Unpredictable and continuous load shedding is freezing all the activities of life; businesses, industries and personals. The use of generators and UPS devices are increasing. Shocking but true, 67% of our population is still without the electricity. The increased use of diesel in generators resulted in more CO2 emissions then electricity. One liter of diesel generates 2, 6444 KgCO2/liter as compared to 0.3813 KgCO2/KWh in electricity. Thus power crisis are resulting in increase in global warming. Transport sector is one of the major consumers of energy in Pakistan and in turn causes pollution correspondingly.

The institution of Motor Ve hicl e Examiner (MVE) is not appropriately equippe d to ensure that properly maintained and tuned-up vehicles ply on the roads, despite of the fact that this mandate has been given officially to MVE at the district level. It has been established that a properly maintained vehicle with a tuned-up engine can affect economy of fuel. In addition to the substantial energy saving potential, there is significant unexploded potential for the mitigation of green house gases (GHG) emissions in transport sector. Carbon Dioxide (CO2) emissions from consumption of diesel/gasoline and CNG in transport sector, has been estimated to be over 3 million tons per year.

The private investment cannot start unless there is practical demonstration of business opportunity. ENERCON along with Toyota Islamabad Motors (TIM) has established a motor vehicle cer tificat ion centre in Aabp ara I sla m ab a d for v eh i ca l f it nes s certification on voluntarily basis, in order to strengthening the institution of motor vehicles Examiner’s (MVE’s) in Pakistan. This process w ould practically demonstrate the feasibility of operating an inspection station, and provide the required technical support to other investors. Toyota Islamabad Motors (TIM) is one of the first companies in Pakistan to register w ith ENERCON. Toyota Islamabad Motors (TIM) mission is to provide safe, economical, comfortable and environment friendly service to the people of Islamabad. Since Corporate Social Responsibility (CSR) is also about the moral and ethical standards built in products and services, employees are constantly reminded by reinforcing the company’s mission and commitment to the code of conduct on ethical behavior. The action will truly transform our economy, protect our security and save our planet from the ravages of climate

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Focus on Environment

Toyota Islamabad Motors (TIM) is one of the first companies in Pakistan to register with ENERCON. Toyota Islamabad Motors (TIM) mission is to provide safe, economical, comfortable and environment friendly service to the people of Islamabad

change. The prevailing energy crisis should be seen as an opportunity to accelerate the building of a cleaner, more secure energy future. Government of Pakistan is contemplating to enforce a legal obligation for obtaining vehicle fitness certificate. Energy Efficiency & Energy Conservation should be seen, as one of the answers to the current crisis and we must resolve and strive to enhance energy use efficiency, inculcate energy co nservatio n cultu re , and

h arness the vast pow er of clean resources available in the country......

A special Message from Chairman Toyota Islamabad Motors Mr. Safdar Awan, Chairman Toyota Islamabad Motors (T IM) after th e inaugural ceremony of fi r st m o t o r ve h i c l e f i t n es s certification centre in Aabpara Islamabad on voluntarily basis on 9th February 2011, has said that climate change is now an issue which cannot be i g no r e d b y G o v er nm en t a nd communities. It is an issue of vital national importance. The challenge of climate change will aggravate stresses on the economy and livelihoods of the people of Pakistan. He said, today our country is passing through great energy crisis which demands that we save and conserve energy in every sector of economy. Transport sector has grave inefficiencies which un-fortunately are not taken cognizance by any law. Now

it is our urgent national duty to take all necessary measures for capturing the great potential of Energy Efficiency and Energy Conservation in the transport sector. It has been established that a properly maintained vehicle with a tuned-up engine can affect economy of fuel. In addition to the substantial energy saving potential, there is significant unexploded potential for the mitigation of green house gases (GHG) emissions in transport sector. He said that, Toyota Islamabad Motors (TIM) mission is to pro vide safe, e c o no m i c a l , c om fo r t a b l e a nd environment friendly service to the people of Islamabad. Since Corporate Social Responsibility (CSR) is also about the moral and ethical standards built in products and services, employees are constantly reminded by reinforcing the company’s mission and commitment to th e code of cond uct on eth ical behavior....

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Driving into the future - Article

by Engr. IHT Farooqui from Karakoram Motors - Karachi

THE FUTURE IS ELECTRIC, NO GAS! An electric car is an alternative fuel automobile that uses Batteries, Electric motors, controllers and electronic devises for propulsion in place of Internal Combustion Engines (ICE). Electric cars enjoyed popularity between the mid 19th century and early 20th century An averag e household with tw o medium-sized sedans emits more than 20,000 pounds of carbon dioxide (CO2) a year where as SUVs tend to emit 40 p erc ent mor e th an sm all car s. A gallon of gasoline weighs just over 6 pounds. When burned, the carbon in it combines with oxygen to produce about 19 pounds of CO2. Adding in the energy that went into making and distributing the fuel, the total global warming pollution is about 25 pounds of CO2 per gallon. An average car that gets 21 mpg and is driven about 30 miles a day uses 1.4 gallons daily and emits 35.7 pounds of CO2 every day. That's a lot of pounds when multiplied by the millions of cars across the country. Heat-trapping pollution, like that from cars and trucks, can stay in th e atmosphere for several decades to about a century. For instance, some emissions from Ford's 1912 Model Ts are still up in the atmosphere today, thickening the blanket of greenhouse gases that are heating up the planet. To understand air pollution we can consider a simple schematic that divides a big problem into components.

Jaffe and Bad man at the same conference summarized the effects of polluted air : • "Blood per fuses all of the body's organs and can carry toxic substances as well as beneficial substances, such as oxygen, to them. Air pollution is the source of many materials that may enter the human bloodstream through the nose, mouth, skin, and the digestive tract. Chemicals known to be harmful, such

1. Local effects -e.g. poisoning humans breathing bad air. 2. Regional effects - fallout from airborne pathogens - infections, particles, chemicals. 3. Global effects - changing interactions between the atmosphere and sun, weather effects, effects on plants and oceans. A short list of the likely pathogens in car exhaust: • Carbon Monoxide

Nissan's Tama EV Nissan has a history when it comes to the electric car.

• Nitrogen dioxide • Sulphur dioxide • Suspended particles, PM-10 particles less than 10 microns in size. • Benzene • Formaldehyde •Polycyc lic hydrocarb ons On November 18, 1994, the first-ever conference on "Air Pollution: Impacts on Body Organs and Systems" was held in Washington, D.C. by the National Association of Physicians for the Environment.

as benzene, lead and other heavy metals, carbon monoxide, v olat ile ni tr ites, p es t i c i d es , a nd h erbicides. These s ub sta nces ha ve b ee n sh o w n t o p rod uce h arm fu l effects on the blood, bone marrow, spleen, and lymph nodes. Blood cells are constantly undergoing turnover, with new blood cells entering the circulation as mature cells are lost, making the blood system especially vulnerable to environmental poisoning. For example, lead interferes with normal red blood cell formation by inhibiting important enzymes. In addition, lead damages red blood cell membranes and interferes with cell metabolism in a way that shortens the survival of each individual cell. Each of these harmful effects can result in anemia. • Common air pollutants also have an affect on blood and thus on organs of the body. For example, carbon monoxide binds to hemoglobin two hundred times more avidly than oxygen and distorts the release to th e tissues of an y remaining oxygen. Thus, CO poisoning is a form of suffocation. Carbon monoxide can exacerbate cardiovascular disease in humans. Some airborne chemicals stimulate the immune system to activate leukocytes and macrophages that can produce tissue damage, especially to the cells that line human blood vessels. The combined effect of these events is to accelerate the changes that eventually lead to hypertension and ischemic heart disease. • Cory-Slechta and Lundberg discussed the adverse effects of pollution on the central nervous system: "The central

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Driving into the future - Article

Since last may years scientists and automobile engineers are researching to develop fuel free cars to reduce the threats to human being . nervous system (CNS) is the primary target for many serious air pollutants, such as lead, w hich is a major envir onmental hazard. Research provided evidence that levels of lead exposure associated with central nervous system effects, particularly as manifest in behavioral changes was lower than p reviou sly real ized. Bl ood lead concentrations in children were not considered pro bl ematic until they exceeded 30 to 40 micrograms per deciliter ('g/dL); however, studies demonstrated changes in cognitive function at blood concentrations as low as 10 to 15 'g/dL. While children are more susceptible to lead's CNS effects, adults exhibit similar deficits in learning and memory. Advanced aging increases vulnerability to the toxic effects of lead. In Germany, a large study documented an age-related decline in bone lead concentrations with advancing age. This effect was more pronounced in women than in men, reflecting post-menopausal processes in women which contribute to bone resorption and the release of lead back into the bloodstream. These results mean that brain lead exposure is actually increased during a period of already heightened susceptibility due to concurrent dege neration of other physiological functions, including both CNS and renal functions. • Although lead is the most studied of hu ndreds of known or suspected neurotoxic air pollutants, other heavy metals, pesticides, and organic solvents also cause neurobehavioral dysfunction. Expan ded research in behav ioral neurotoxicology is urgently needed. Chan ge s in mo od, cognition, and behavior are endpoints that need to be evaluated in addition to cancer rates or mortality data and may be more common. In various studies, increased levels of air pollutants are accompanied by increased psychiatric emergency calls and hospital admissions, behavio r changes, and a lessened sense of wellbeing. Irritating odors and cigarette smoke have been found to increase aggressive behavior, and to decrease helping behavior and altruism, leading to a degradation of social interaction." • Goldstein and Albright discussed

GM Opel Ampera Electric Car It is powered by a 16-kWh, lithium-ion battery that travels up to 60km. When the battery’s energy is depleted, electricity from an engine-generator extends the Ampera’s range to more than 500 km. immune system effects: "The effects of airborne pollutants on the immune system have been most widely studied in the respiratory tract. An airborne pollutant may enter the respiratory tract as a volatile gas (e.g., ozone, benzene), as liquid droplets (e.g., sulfuric acid, nitrogen dioxide), or as particulate matter (e.g., components of diesel exhaust, aromatic hydrocarbons). These pollutants interact with the immune system and may cause local and systemic responses ranging from overactive immune r esponses to immunosuppression. Most airborne pollutants are small molecular weight chemicals that must be coupled with other substances (e.g., proteins or c onju gates) befor e they c an be recognized by the immune system and cause an effect. Some disorders which may occur because of pollutants in the respiratory system are the following: • I m mu n osu p p r e ssa nt c a n b e demonstrated following exposure to polycy cl ic aromatic hydrocarbo ns (e.g.,te trachlord ibenzo-p-dioxin). Hypersensitivity reactions (e.g ., occup ational asth ma) can occu r fo llow i ng exp osu r e t o t olu ene d iisocyanate and oth er volatile ch emicals. Th ere is clearly an u nd e r l y i ng g en et i c b a si s f o r susceptibility to immunologic disease resulting from exposure to pollutants, b ut know led ge in t hi s a rea is

rudimentary at this time. For example, th ere is little und er standing of genetically-determined susceptibility or resistance to pollutant-induced immune disorders. There is a lack of appropriate in vitro models, and it is difficult to identify specific, biologically-active substan ce s that may be lin ked to immune disorders." Since last may years scientists and automobile engineers are researching to develop fuel free cars to reduce the above stated severe threats to human being . An attempt was made by developing Hybrid car in which two sources are used , ICE and Battery operations but this was not an ultimate solution to save the nature, so a dedicate electric car concept was developed. An electric car is an alternative fuel automobile that uses Batteries, Electric motors, controllers and electronic devises for propulsion in place of Internal Combustion Engines (ICE). Electric cars enjoyed popularity between the mid 19th century and early 20th century when electricity was among the preferre d methods for automobile propulsion providing a level of comfort and ease of operation that could not be achieved by the gasoline cars of that time. Advances in ICE technology soon r ender ed th is a dv antag e moot, production of newly developed cars, availability of many new designs, quick refueling and growing infrastructure al ong with the mass production of gasoline vehicles by companies such as Ford Motor Company, which reduced the prices of ICE cars to less than that of equivalent electric cars led to a decline in the use of electric propulsion, effectively removing it from important markets such as the United States by the 1930s. In recent years, increased concerns over the environmental impact of gasoline cars along with reduced consumer ability to pay for fuel for gasoline cars ,has brought about renewed interest in electric cars, which are perceived to be more environmentally friendly and cheaper to maintain and run, despite of h i g h in it ia l cos ts... . con tinue

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MADEIN INPAKISTAN PAKISTANMOTORCYCLES MOTORCYCLES MADE RETAIL PRICE PRICE LIST LIST

70cc Motorcycle

Sr./ No. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20. 21. 22.

Product & Model Name Aan AI-70 Asia Hero AH-70 Bionic AS-70 Crown Lifan CRLF-70 Diamond SD-70 Dhoom YD-70 Eagle DG-70 Ghani GI-70 Guangta GT-70 Grace CT-70 Hero RF-70 Hero RF-70 Plus Habib HB-70 Honda CD-70 Hi-Speed SR-70 Jinan JN-70 Leader LD-70 King Hero KH-70 Moon Star MT-70 Master MD-70 Metro Hi-Tech MR-70 New Asia NA-70

Retail Price Rs. 42,500/= Rs. 41,000/= Rs. 39,000/= Rs. 39,500/= Rs. 40,000/= Rs. 47,000/= Rs. 39,000/= Rs. 39,500/= Rs. 41,000/= Rs. 39,900/= Rs. 46,000/= Rs. 47,000/= Rs. 41,000/= Rs. 64,500/= Rs. 40,000/= Rs. 40,500/= Rs. 38,500/= Rs. 38,500/= Rs. 38,000/= Rs. 38,500/= Rs. 42,900/= Rs. 40,000/=

Sr./ No. 23. 24. 25. 26. 27. 28. 29. 30. 31. 32. 33. 34. 35. 36. 37. 38. 39. 40. 41. 42. 43. 44.

Product & Model Name Pak Hero PH-70 Ravi Premium R1 Ravi Hamsafar-70 Road Prince RP-70 Royal Star RS-70 Royal RL-70 Racer AS-70 Safari SD-70 Sakai SK-70 Star DL-70 Sohrab JS-70 Sonica SM-70 Super Asia SA-70 Super Star SS-70 Super Power SP-70 Super Power Delux Toyo TG-70 Target TT-70 Unique UD-70 Union Star US-70 United US-70 Zxmco ZX-70

Retail Price Rs. 42,500/= Rs. 47,000/= Rs. 43,000/= Rs. 39,000/= Rs. 39,000/= Rs. 42,500/= Rs. 39,000/= Rs. 40,000/= Rs. 39,000/= Rs. 39,900/= Rs. 41,500/= Rs. 42,400/= Rs. 39,500/= Rs. 40,500/= Rs. 40,500/= Rs. 45,000/= Rs. 39,500/= Rs. 39,500/= Rs. 41,000/= Rs. 42,000/= Rs. 40,000/= Rs. 40,500/=

Price updated Feb-2011

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MADE IN PAKISTAN MOTORCYCLES PRICE LIST

125cc Motorcycle No. 1. 2. 3. 4. 5. 6. 7. 8.

Brand & Model Name Habib HB-125 Sitara ST-125 Super Star SS-125 Hero RF-125 Honda CG-125 STD Honda CG-125 DX Metro MR-125 Ravi Storm-125 Euro II

Retail Price Rs. 88,000/= Rs. 55,000/= Rs. 54,000/= Rs. 75,000/= Rs. 86,500/= Rs. 109,900/= Rs. 55,500/= Rs. 78,000/=

Yamaha Motorcycle Product & Sr./ Model Name No. 1. Yamaha YD100 2. Yamana Yama4 3. Yamaha YB100 Royale

Retail Price Rs. 75,000/= Rs. 71,100/= Rs. 72,000/=

100cc Motorcycle No. 1. 2. 3. 4. 5. 6. 7. 8.

Brand &Model Name Asia Hero AH-100 Ghani GI-100 Habib HB-100 Honda CD-100 Sitara ST-100 Super Star SS-100 Super Power SP-100 Unique UD-100

Retail Price Rs. 50,000/= Rs. 45,500/= Rs. 55,000/= Rs. 73,900/= Rs. 51,000/= Rs. 48,000/= Rs. 55,000/= Rs. 60,000/=

Suzuki Motorcycle Sr./ No. 1. 2. 3. 4. 5.

Product & Model Name Suzuki Sprinter ECO Suzuki Sprinter STD. Suzuki GS-125 Suzuki GS-150 Suzuki Shogan

www.automark.pk | February-2011 51

Retail Price Rs. 69,000/= Rs. 72,000/= Rs. 81,000/= Rs. 88,000/= Rs. 76,000/=


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