July 2015 by Mustafa Hanif

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Contents

Inside

July-2015

Article / Review 13

17 19 32 35 44

Impact of advanced emission standards on imports of construction, agricultural and logistic machinery equipped with tire-4 diesel engines Exclusive Article by Syed Mansoor Ali Literally a black market Tyre smuggling leaving a hole in the economy Usage of Aluminum and structural adhesives in new Cadillac CTS and ATS Cover Story The Booming Automotive Industry in Pakistan by CarMudi Porsche Hybrid Why it’s the car of the season

Event 13

20 22

36 47

The Soun Expeditionr By Talal Hussain Malik Pakistan Biker Club - Lahore

Car/Light commercial vehicle price list

Motorcycle Price LIst

Car Mudi Car Listing

Gala Dinner by Pakistan Accumulators (Pvt) Ltd. New milestone for Automechanika Dubai as trade visitors to three-day event in 2015 pass 30,000 mark Post Event Report Automechanika Dubai 2-4 June 2015 Pakistani Exhibitors and Visitors Exclusive Event Glimpse NUST students build car to race in ‘Formula Student 2015'

News Update

Price List

Seminar on “Use of Compressed Air for Profitable Production in Manufacturing” Competitiveness through Automation by Rastgar & Co.

Japan to extend technical support to Auto parts manufacturing industry by end of this month Local Automoitve news - update Car sales in Pakistan to achieve highest growth in three years International automotive news - update

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July-2015 edition Volume 08, Issue 07

Pakistan’s premier magazine on automotive, engineering & energy sector

Monthly

AUTOMARK International Editor-in-chief Muhammed Hanif Memon Technical Editor

Advisors

Muhammad Shahzad

Imtiaz Rastgar CEO, Rastgar Group & CBI External Expert, Ex-chairman EDB Islamabad

Advertising Manager Tahir Siddiqui

Circulation Manager Shahzad Raza

Graphic Designer Mustafa Hanif Salman Hanif

Web Master Murtaza Hanif

CONTRIBUTING IN THIS ISSUE Syed Mansoor Rizvi Zahid Malik Talal Hussain M. Hanif Memon Car Mudi

Engr. IHT Farooqui Chief Operating Officer Karakoram Motors (pvt) Ltd. Karachi Muhammad Yousuf Shaikh Founder & Chairman Pakistan China Motorcycle Industry Council Karachi Syed Mansoor Rizvi Principal Officer M/s. CNH Services (Pvt) Ltd. Karachi Mr. Ashfaq Memon Senior Manager Marketing Memon Motors (Pvt) Ltd. Maker of Super Star Motorcycles Hyderabad

Active Communications Mailling Address: D-68, Block-9, Clifton, Karachi Tel : 021-32603371 Mobile: 0321-2203815 E-mail: automarkpk@gmail.com website: www.automark.pk

AutoMark Canada Office Managing Editor Mohammad Shahzad S.A.E. D.M.P. 41 Jordana Drive Markham (Toronto) Canada L3S 3N8 Phone: 905-472-8282 Email: automarkcanada@gmail.com AutoMark REGD: MC-1330 Published every month by M. Hanif Memon The views expressed by contributi ng wri ters and comm ents do not necessari ly reflect the vi ews and pol ici es of the Monthly AutoMark m agazi ne' s management

Budget 2015-16 What went up, what went down Under the scheme 10,000 tractors will be distributed among farmers on subsidized rates. Government had announced to provide a Rs 200,000 subsidy per tractor in the next fiscal year. Such tractor schemes of Punjab as well as Sindh governments to provide cash subsidies to farmers, create an erratic demand in the market, resulting into a vicious circle of boom and bust in tractor industry. The government should divert funds of tractor schemes to the total production capacity of the country, giving subsidy on each tractor to avoid the misuse of scheme. In this way, every farmer will find the tractor easily at lower prices, eliminating corruption element from tractor schemes, besides bringing consistency in tractors production, which has been suffering from ferocious cycle of boom and bust for a long time. These schemes, with government’s contribution amounting to billions of rupees, were misused at the same time by the investors while availing cash subsidy and buying tractors under provincial schemes and selling them in the market at a price lower than the price being offered by the tractor manufacturers thereby affecting the business of both tractor manufacturers and the auto part makers. In federal budget FY15, the government announced reduction in General Sales Tax (GST) and increased agri-credit loan target from Rs380 billion to Rs500b. Both these measures provided the much needed growth. The Pakistan Association of Automotive Parts and Accessories Manufacturers (PAAPAM) has welcomed the new tractor scheme in upcoming Punjab budget of 2015-16 For the revival of tractor industry and to provide an impetus to the agriculture sector, which is the backbone of the economy with 21.4% share of the GDP, PAAPAM proposes continuation of sales tax levy at 10% for 2015-16 as well.

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Rastgar & Co - Seminar in Gujranwala

Monthly AutoMark International

Seminar on “Use of Compressed Air for Profitable Production in Manufacturing” Competitiveness through Automation Low Cost Automation using Compressed Air leads to Lower Manufacturing Costs

“Compared to electricity, air proves to be an excellent source of energy, which yields efficient production and saves money as well” Said by Imtiaz Rastgar, Ex-CEO, Engineering Development Boar d, Minist ry of In du st ries, Islamabad, during a seminar at Gujranwala. The seminar focused on various techniques which can be adopted by manufacturing units to standardize their practices as well as by lowering cost of production. This is done by using air cylinders, air motors, and grippers etc to speed up production and eliminate unnecessary labor costs. Rastgar & Co, The Compressed Air Specialist and authorized distributor of CompAir Air Compressors in Pakistan, in collaboration with Gardner Denver FZE organized a seminar on “Use of Comp ressed Ai r f or Prof it able Production in Manufacturing” for Gujranwala Industrialists. The speakers on the occasion were Mr. Imtiaz Rastgar who is also an Engineering Sector Expert CBI and Mr. Maqsood Zulfqar; CEO

Rastgar & Co. With changing production trends, it is important to adopt the best practices that are currently available to the industrialists. There is a need to look into the varied forms of energy production in order to increase the productivity while bearing minimum cost. For any industry, its success lies in the quality of machinery being used by it, but it is also important to avoid wastage of energy, place and material, that can occur if proper utilization of sources and services don’t prevail. Mr. Maqsood, who is an expert on German Air Compressors, provided the audience in the Seminar with useful information regarding CompAir Air Compressors. He has been affiliated with the Compressed Air Industry for the past 35 years. He said, “Compressed Air is often described as the fourth utility and plays a fundamental part in the modern industrial world. Compressed air accounts for about 10% of the global energy used in industries today.” CEOs, Technical Directors and Technical

Managers from the Industrial Sector of Gujranwala, including Master Poly Plastic Industries , Super Asia Appliances, Tahir Industries Metallisers, Haroon Textile, Alkaram Textile, Lahore Fans, Jodhala Complex Pvt. Ltd, Kundan Ceramics, AGFA Ceramics, 5 Start Ceramics, KPI Bottle Cover, Pioneer Industries Pvt. Ltd, Indus Home Appliances, BOSS International Plastic Furniture, GIFT University, Sadar Family Packages, Mater Beverages attended the seminar. Rastgar & Company prioritizes a strong and sound base with its customers and thrives to build a long lasting relationship with them. Training and workshops are at the forefront of its Marketing Strategies. Rastgar & Co in association with Gardner Denver provides all sectors of the compressed air products like compressed air audits, warranty and service offering, qualified, factory-trained service technicians, original spare parts and lubricants, worldwide spare parts and distribution network. (www.rastgar-co. com)

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Exclusive Article by Syed Mansoor Ali

Monthly AutoMark International

IMPACT OF ADVANCED EMISSION STANDARDS ON IMPORTS OF CONSTRUCTION, AGRICULTURAL AND LOGISTIC MACHINERY EQUIPPED WITH TIER 4 DIESEL ENGINES

This article is a sincere attempt to develop a cursory understanding about EPA standards for non-road diesel engines, and to describe reasons for adopting such standards for common understanding. This will help young engineers and industry to be aware that diesel engines with emission standards Tier 4 and above could not be operated in Pakistan due to the enumerated reasons.

It is imperative to develop understanding towards the international emission control standards applied to diesel engines to avoid making erroneous mistakes of importing machines equipped with sophisticated diesel engine emission control mechanism. These machines will not operate in P aki st an d ue t o sop hi st ic ate d modifications in diesel engines. Every year, Pakistan imports new and used construction, agricultural, and logistic machines manufactured in Europe and the USA. There is a fear that due to our non-familiarization with

emission standards, serious mistakes might occur in the procurement and lead to huge capital loss, while machines will remain inoperative due to unavailability of ultra-low diesel fuel and other components to support its operation. The chance of this mistake is high towards used machinery because lack of government control exists to monitor this activity. There is a dire need to put in place a restriction to import used machines equipped with Tier 4 diesel engines, otherwise importers will suffer huge financial losses. Although the

industry should gain t h o r o u g h understanding of current emission standards, the chances of importing new machines with the same technical q ual ifi cat io ns i s extremely low since manufacturers have restricted the sale of Tier 4 engines (Phased-in over the period of 20082015) to Pakistan for obvious reasons. This article is a sincere attempt to develop a cursory understanding about

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Exclusive Article by Mansoor Rizvi

We know that in Pakistan, Sulphur levels are high (1%) in comparison with those in Europe (0.03%). We import cheap diesel that already contains high percentage of diesel and our refineries reduce the sulphur contents to some extent, however the output remains much higher to meet the standards of “ultra-low sulphur diesel”. EPA standards for non-road diesel engines, and to describe reasons for adopting such standards for common understanding. This will help young engineers and industry to be aware that diesel engines with emission standards Tier 4 and above could not be operated in Pakistan due to the enumerated reasons. There was a time when engine manufacturers’ focus was to make engine fuel efficient as it used to be the salient selling feature of the machine. Since the past two decades there is a significant shift in the approach from an exclusive focus to produce energy efficient diesel engines to address the air quality by neutralizing harmful effects of the exhaust gases coming out of machines after an exhaust stroke. These gases are Hydrocarbons (HC), Carbon Monoxide (CO), Oxides of Nitrogen (NOx), and particulate matter (PM) which is an outcome of combustion and non-combustion (small portion of unburnt gases) in the cylinder during the power stroke of the engine. These gases are dangerously harmful to human health. It is estimated that several thousand people in the world every year die of various diseases (human asthma, allergies, and cancer) caused by these gases (molecules of nitrogen oxide NOx and Hydrocarbons HC). The Environmental Protection Agency of the USA started working (1999-2010) on establishing the standards for diesel engine manufacturers to minimize the adverse effects of engine emissions. The standards set up depended on various tiers which were started from simple to complicated technology to ensure reduction in emission, and elimination of harmful effects of gases. Tier 1-3 stage did not limit the Sulphur content percentage to an extremely low level (on emissions side the differences between Tier 3 and Tier 0 engines are the nitrogen oxide NOx and Hydrocarbons HC molecules production level), but adopted various methodologies like exhaust gas recirculation (reduces

Pakistan after the implementation of Tier 4. We did not realize that it is not just making engine fuel efficient, but the treatment of emission gases to minimize its harmful effects before being released in the environment. The technology introduced in the Tier 4 has the prime objective to reduce the harmful contents from the emission gases to provide better environment to human life. To accomplish this task, the EPA has instructed the industry to minimize the Sulphur content in diesel fuel to an ultra-low level (less than 15

nitrogen oxide emissions), use of intercoolers, and advance fuel system to bring a combination of both, which was reduction in fuel intake and reduction in the discharge of harmful gases into the environment. In the past we have not paid any attention on these emission standards for diesel engines and it kept gradually moving up in terms of advancement. The reason for our ignorance was that these levels (Tier 1-3) were not affecting us or rather putting any restrictions in terms of input (local diesel) as applied by Tier 4 level, instead these standards were supporting the sales force on the pretext that engines have become more fuel efficient. We never tried to research on these standards to understand the upcoming impact on the construction and logistic machinery import in

p ar t s p er - mi l l i o n - s u l p hu r ) . Furthermore, a new Sulphur-sensitive technology in Tier 4 engines was introduced like as catalytic particulate filters and NOx absorbers.

As a result, for our country where diesel contains high Sulphur, any machinery having diesel engine with emission standards Tier 4/Euro 4 and above could not be operated in Pakistan due to the following reasons: 1. Unavailability of Ultra low sulphur diesel 2. Unavailability of AdBlue (pure wat er and urea m ix ture). (It is standardised as ISO 22241 is an aqueous urea solution made with 32.5% high-purity urea (AUS 32) and 67.5% deionized water)

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Exclusive Article by Mansoor Rizvi

Monthly AutoMark International

Every year, Pakistan imports new and used construction, agricultural, and logistic machines manufactured in Europe and the USA. There is a fear that due to our non-familiarization with emission standards, serious mistakes might occur in the procurement and lead to huge capital loss, while machines will remain inoperative due to unavailability of ultra-low diesel fuel and other components to support its operation. 3. Unavailability of diesel particulate filter. (It is a device designed to remove diesel particulate matter or soot from the exhaust gas of a diesel engine) 4. Use of Low ash engine oil. We know that in Pakistan, Sulphur levels are high (1%) in comparison with those in Europe (0.03%). We import cheap diesel that already contains high percentage of diesel and our refineries reduce the sulphur contents to some extent, however the output remains much higher to meet the standards of “ultra-low sulphur diesel”. The AdBlue is used to treat the emissions of NOx (nitrogen oxides) produced after post-combustion stage in diesel vehicles. This process is called Selective Catalytic Reduction (SCR) which allows reducing the emissions of NOx (nitrogen oxides). This technology requires the use of a reagent called AdBlue. This chemical is not available in Pakistan. The diesel particulate filter is a special type of filter to arrest harmful diesel exhaust soot particles. Even if we start importing this filter, it will not work due to frequent blocking for reasons of quality of the fuel and the quality of the engine oil. Specificengine oil (low ash engine oil) is to be used; otherwise it can significantly add to the soot buildup in the filter. Why the world is doing so? It is being done after getting to know that the exhaust gases coming out of diesel vehicles are causing serious health hazards leading to several thousand deaths every year. It is also one of the causes of acid rain affecting crop health. As an estimate, the annual emission reductions after replacement of full inventory of non-road diesel engines (Tier 4) will reduce 738,000 tons of Nox and 129,000 tons of PM from the environment preventing 12,000

premature deaths by 2030. The incorporation of emission control technology (modified engine) is expected to add up in the equipment cost by 13%. Also, reducing Sulphur from diesel to attain 15ppm level would be 7 cents per gallon. The anticipated saving in the machine maintenance cost due to low Sulphur would offset 4 cents per gallons. There is no huge increase in the cost of the machinery, but the benefits in terms of making the air cleaner is huge with regard to human health and its overall impact on the globe. Our neighbour India has already attained Tier 3 emission level (under 50 HP in October 2010 and above 50HP in October 2012) considering its impact on the environment and possible deprivation from export market and simultaneous import of modern machines. In Pakistan we are at Tier 0 level, and so far we are not even introduced to this big change in the making. Despite the fact that it’s an important subject (environment) to be looked into by the government, we are stuck with complications to decide if the old federal legislation should be used (Laws are still

valid), or the provinces should make their own laws as environment has become the provincial subject after the 18th amendment in 2012. The other provinces have not yet enacted new environment legislation after the 18th amendment. In reality whatever progress was made on the Federal level prior to the 18th amendment is getting stale, while the provinces don’t have the capability to do some legislative/regulatory work in the field of environment. Most of our issues are our own making which could be resolved through political commitment. References: https://www.dieselnet.com/standards /us/nonroad.php www.epa.gov/otaq/nonroad-diesel.htm United States environmental Protection Agency (2014), office of Transportation and Air quality, EPA-420-F-14-002, USA: United States environmental Protection Agency (1998), air and radiation, EPA 420-F-98-034, USA.

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Automotive Sector - Update

Monthly AutoMark International

Paapam welcomes tractor schemes envisaged by Punjab, Sindh budgets The Pakistan Association of Automotive Parts and Accessories Manufacturers (Paapam) has welcomed the new tractor schemes in provincial budgets 2015-16 of Punjab and Sindh – the two provinces with the strongest agriculture base. Paapam Chairman Siddique Misri in a statement on last week said the Punjab government allocated five billion rupees for the distribution of 25,000 tractors, while the Sindh government earmarked 29,089 tractors at a subsidy of Rs 200,000 to Rs 300,000 on each unit. This means a total of 54,089 tractors would be made available at subsidized rates. He, however, suggested both the governments to divert funds of tractor schemes to the total production capacity of the country, as giving subsidy on each tractor to avoid the misuse of scheme. “In this way, every farmer will find the tractor easily at lower prices, eliminating corruption element from tractor schemes, besides bringing consistency in tractors production, which has been suffering from ferocious cycle of boom and bust for a long time,” Siddiq Misri added. Paapam Chairman said those tractor

schemes would help sales and its impact would be felt in downstream industries as well as in the output of the agriculture sector. He said tractor industry in Pakistan encompasses high localisation levels. As such, the companies serving as vendors to the tractor industry are also expected to benefit from the announced scheme. Paapam SVC Mumshad Ali said such tractor schemes of Punjab as well as Sindh governments to provide cash subsidies to farmers create an erratic demand in the market, resulting into a vicious circle of boom and bust in tractor industry. He said partial financing created distortion in the market and establish a parallel black market, disturbing the whole production sequence. H e sa i d t ho s e sch eme s, wi t h government’s contribution amounting to billions of rupees, were misused at the same time by the investors while availing cash subsidy and buying tractors under provincial schemes and selling them in the market at a price lower than the price being offered by the tractor manufacturers there by affecting the business of both

Over 38,000 tractors sold in July-April Sales of locally produced tractors remained brisk during the last 10 months rising to 38,356 units compared to 28,694 during the same period a year earlier. Sales of Massey Ferguson and Fiat tractors climbed to 23,426 and 14,152 units from 17, 695 and 10,248, respectively. Orient IMT Tractor sales inched up to 778 units from 751. During wheat harvest inauguration ceremony, Punjab`s chief minister indicated that 10,000 tractors would be distributed among farmers during the next fiscal year under a scheme. If implemented, this could provide the tractor industry a volumetric jump of 22 per cent. Sajjad Hussain of BMA Capital

Management said that in the last tractor scheme, announced in the budget FY13, the two leading tractor makers had market shares of 56pc and 44pc, respectively. Assuming the same market share, the potential development is expected to pull earnings up by Rs12 per share for Millat Tractors and Rs10.7 per share for Al Ghazi Tractors on an annualised basis. On the flip side, the Federal Board of Revenue is considering to withdraw the concessionary sales tax regime provided to the local tractor manufacturers under which the sales tax applicable on the industry is 10pc compared to GST of 17pc, he said.

tractor manufacturers and the auto part makers. Paapam Vice Chairman, Iftikhar Ahmed said that increase in prices of tractors due to 17 percent sales tax in last regime made it difficult for farmers to purchase new tractors especially in view of reduction in loans from ZTBL, resulting in low production levels of the tractor manufacturing. But the government’s decision to reduce it from 17 percent to 10 percent from July 1 last year, has gone a long way in boosting sales. The countries including India, Thailand, Malaysia and even Japan protected their local industry as they had imposed heavy taxes and penalties to discourage import, he added.

Rise in Demand of Petrol Caused by CNG Shortage During the year 2014-2015 to 20182019, the demand of petrol is predicted as highest as compared to other petroleum products, Oil Companies Advisory Council (OCAC) said. The demand of petrol is estimated at 4.638 million tons in FY15 which will go up to 5.333m tons in FY16, 5.867m tons in FY17, 6.453m tons in FY18 and 7.1m tones in FY19. OCAC Chairman Aftab Husain told media that CNG load shedding would be the basic reason for higher demand of petrol in coming years. “Besides, rising import of power generators, increase in two and three wheeler sales combined with rising imports of used cars are some other factors. Sale of locally produced cars is also going strong,” he said. According to the statistical analysis of Pakistan Bureau of Statistics (PBS), imports of power generating machines rose to $1.2 billion in July-May 201415 as compared to $978 million in the same period last year, while its imports were at $1bn in FY14 and $958 million in FY13...

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Automotive Sector - Article

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Monthly AutoMark International

Literally a black market Tyre smuggling leaving a hole in the economy What is shocking is that Afghanistan imported almost the same quantity of car tyres in 2014 compared to Pakistan though its population is less than one sixth and its economy is less than one tenth of Pakistan’s A key shortcoming of the PML-N go v er n me nt , l i ke mo s t o f it s predecessors, has been its inability to restructure the country’s tax system. This is made worse by how the government has failed to cope with rampant under-invoicing and smuggling due to which Pakistan continues to lose millions of d ollars every year. One of the areas where massive underinvoicing and smuggling is ongoing right under the nose of Federal Board of Revenue (FBR) is the tyre sector. The sector is heavily dependent on imports, making it a lucrative opportunity for smugglers. In its recent research report on Afghanistan-Pakistan Transit Trade Agreement (APTTA), the Pakistan Business Council (PBC) – a business policy advocacy forum representing the country’s 47 largest enterprises including multinationals – signalled at colossal under-invoicing in trucks, buses and car tyre imports. For instance, in 2014, Pakistan imported truck and bus tyres valuing $190 million at an average unit price of $84. According to local tyre industry officials, the unit price is so low that Pakistan cannot even import raw materials of a tyre at this price. So how do importers manage to purchase tyres? Price details The PBC mentioned in its report that during 2014, the average per-unit price of a truck or bus tyre hovered around $142. By declaring half of the original value of the commodity, Pakistani importers saving millions in import duty, causing huge losses to the national exchequer. “All of this is happening because our customs department is involved in these illegal activities. Importing anything at

50% of an international price is not possible without the support of tax officials,” an official of a tyre making company said. “Pakistan does not encourage its manufacturing sector which is why renowned internat ional tyre manufacturers do not invest here. In presence of current tyre smuggling and under-invoicing, no new tyre company will invest in Pakistan,” he added. Pakistan imports car tyres worth $18.3 million in 2014 at an average price of $23 per unit, down 35% from the average international price of a car tyre of about $35 per unit. Afghanistan vs Pakistan What is shocking is that Afghanistan imported almost the same quantity of car tyres in 2014 compared to Pakistan

though its population is less than one sixth and its economy is less than one tenth of Pakistan’s. Import price of Afghanistan is one third of the international average import price of a car tyre. This scenario is equally disturbing because cheap tyres that Pakistan imports from Afghanistan under the APTTA enter Pakistani markets causing huge revenue losses. Both Pakistan and Afghanistan meet most of their tyre demand from Chinese tyre imports while the rest of the market share is divided in Japan, Germany, Italy, South Korea. Local production Pakistan has a couple of companies that produce motorcycle tyres probably because such tyres do not need sophisticated technology. The country does not have any company that produces trucks or bus tyres while it has only one company that manufactures car tyres – General Tyre and Rubber Company (GTR). GTR meets 23% of the total tyre demand in the country, while according to industry estimates, the country imports 40% of the tyres from different countries. The remaining 37% of the market share is in the hands of tyre smugglers who mainly use Chaman and Landi Kotal routes to bring in used and refurbished tyres into Pakistan. The market believes the situation will remain the same unless the government starts taking serious measures to control such p ract ices. In presence of widespread smuggling, new investors will never come to Pakistan and the country will continue to depend on tyre imports, they add. Courtesy: The Express Tribune

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Automotive Sector - Update

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Monthly AutoMark International

Japan to extend technical support to Auto parts manufacturing industry by end of this month Japan International Cooperation Agency (JICA) would extend technical support to Auto parts manufacturing industry of Pakistan by end of this month, Engineering Development Board (EDB) soruces said. According to EDB, the Project for Technical Support to Auto Parts Manufacturing Industry would be initiated by the end June 2015 by the Small and Medium Ent erprises Development Authority (SMEDA) and the Japan International Cooperation Agency (JICA) with local consultants and engineers, such as PAAPAM (Pakistan Association of Automotive Parts and Accessories Manufacturers). Based on the minutes of meetings on the Detailed Planning Survey on the Project signed on October 1, 2014 between SMEDA and JICA, JICA held a series of discussions with SMEDA and relevant organizations to develop a detailed plan of the Project. Both parties agreed that SMEDA, would be responsible for the implementation of the Project in cooperation with JICA, coord inate wit h ot her relevant organizations and ensure that the selfreliant operation of the Project is sustained during and af ter the implementation period in order to contribute toward social and economic development of Pakistan. The Project, the EDB sources said has been extended for 4 years from this June and qualified and experienced JICA Experts would stay in Lahore and Karachi to transfer the Japanese techniques for improvement of quality and productivity. Japan has an advantage in this field and this project would contribute to increase the local procurement ratio of auto parts by Original Equipment Manufacturer (OEM). Japanese OEM also expressed the high expectation for this project.

upgrade the vendor base of auto sector.

Automotive sector is one of the fastest growing sectors in Pakistan. It contributes towards the nation's economy in the form of technology transfer, employment and revenue generation.

Local vendors deem to play an important role in the growth of auto industry as they bear the responsibility of producing auto parts and sub-assemblies according to the bench mark set by the respective OEMs. On the other hand, local auto parts manufacturing industry is still in the process of development and lacking competitiveness in terms of quality, cost and flexibility of manufacturing systems. Unfortunately,the EDB said Pakistan has not been able to derive maximum benefits in terms of technical know-how, production technology and quality control in order to

Therefore, SMEDA requested to Government of Japan for initiating a long term technical support of Japanese way of improving productivity and quality, "Kaizen". SMEDA aims to broaden the scope of productivity improvement activities across the value chain of auto sector in the development of the vendor base across the country. To achieve the goal, a framework of support system is formed and model cases are created through such support system for auto p art su pplier. Fundamental skills of support system members, which include SMEDA, P A A PA M e n gi n e er s a n d lo ca l consultants, would be developed through the Project by the JICA expert. Guidelines/manuals for consulting services to auto parts suppliers would also be prepared. Local consultant's, PAAPAM engineers (two in Lahore and Two in Karachi) and SMEDA's capacity is enhanced to further transmit the same (information, learning's and skills) to quality and productivity management and other suppliers through on-the job training by the JICA Experts. JICA is very confident that this new project would support to achieve higher results in auto parts industry by ensuring implementation of the plan of actions, efficient use of existing resources and building trustful services delivery, where confidentiality of the suppliers is maintained, the EDB said. JICA currently also dispatches the policy experts to the Engineering Development Board (EDB), the Board of Investment (BOI), and trade promotion office.

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Car Engineer Let’s talk about cars

Monthly AutoMark International

Usage of Aluminum and structural adhesives in new Cadillac CTS and ATS

The new CTS uses 118 meters of structural adhesive as a bonding agent that holds together and stiffens loadbearing parts and components. The extensive use of adhesive provides a damping effect, which reduces the transmission of vibration through the body structure. That pays off in fewer squeaks and rattles reaching a driver. The heavy-duty material, along with traditional metal joining processes like spot welding, also makes a stiffer, more du rable j oint . These adv anced techniques, in addition to the use of high-strength steels and efficient geometry helps make the new CTS sedan 40 percent stiffer than the previous model. To further improve performance, aluminum was used extensively to save weight. For the first time, all four doors will be constructed of aluminum; cutting 25 kg compared with the steel doors on the previous generation CTS. With a base curb weight of 1633 kg, CTS is the lightest vehicle in its class, roughly 91 kg lighter than a comparable BMW 528i. “Reducing overall weight is a key element in producing a car that delivers

agile handling dynamics,” said John Plonka, CTS program engineering manager. “By rethinking very traditional elements, such as materials used for bumpers and doors, we are able to save precious weight and stay true to delivering a vehicle that is fun to drive.” Other aluminum contributions to weight savings:

• 5.9 kg by replacing steel bumpers on the current generation CTS. • 6.4 kg by making front strut towers of cast aluminum compared with steel used in current CTS. • 3.3 kg from the instrument panel structure, where extruded and stamped aluminum replaced cast magnesium. • 16.6 kg by using extruded and cast aluminum vs. a steel powertrain cradle on

the current model. Strategic use of aluminum is also an integral component of the ATS luxury sport sedan, which shares architecture with the new CTS sedan. At just 1504 kg, ATS is among the lightest vehicles in its class. The ATS powertrain features extensive use of aluminum, which not only helps cut weight but also contributes to the 50/50 weight distribution for improved driving dynamics. The ATS also has an aluminum hood, suspension cradle and cylinder heads. SOURCE: GM ROMAIN’S OPINION: Aluminum usage is strongly increasing in the upper automobile segment. Due to its higher cost, it is less used for mass production cars and low cost segment, then limiting the weight reductions and fuel savings to a few amount of cars on the road. As the cost of Aluminum is strongly dependent on the earth stock availability and its extraction, do you think it is feasible to spread and maximize Aluminum usage in a higher number of cars?

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Automechanika Dubai 2-4 June 2015: Exclusive Post Event Report

New milestone for Automechanika Dubai as trade visitors to three-day event in 2015 pass 30,000 mark Middle East and Africa’s largest automotive aftermarket trade show attracts 30,835 visitors from 130 countries

The unrelenting momentum of Automechanika Dubai continues to gather pace with no signs of slowing down, as visitors to the three-day event passed the 30,000 mark for the first time in its illustrious 13 year history. A total of 30,835 trade buyers from 130 countries passed through the 2015 edition of the Middle East and Africa’s largest automotive aftermarket trade fair, a seven per cent increase over the previous year, according to organiser Messe Frankfurt Middle East. With 1,889 exhibitors from 59 countries occupying 17 per cent more space than in 2014, Automechanika Dubai 2015 concluded on 4 June at the Dubai

International Convention and Exhibition Centre with more international and local representation than ever before. The increasing global interest in the wider region’s automotive aftermarket also comes as Dubai Customs released figures showing Dubai’s trade for auto parts and accessories was valued at US$12 billion in 2014, 10 per cent more than in 2013. That figure includes imports of auto parts, accessories, tyres, and engine components worth US$7 billion last year, while exports and re-exports were worth US$5 billion, reinforcing Dubai’s premier status as a major liaison between Asian, European and North

American manufacturing countries and c o n s um i n g r e g i o n al m a r k e t s . Ahmed Pauwels, CEO of Messe Frankfurt Middle East, said: “The double-digit growth of Dubai’s auto parts trade underlines the Emirate’s important role as a key gateway to emerging markets throughout the world.” “This growth goes hand-in-hand with Automechanika Dubai, which is the wider region’s only dedicated trade platform where the entire global automotive aftermarket community converges for three busy days to expand their presence and business networks not only in the Middle East and Africa,

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Generated by Foxit PDF Creator © Foxit Software Monthly AutoMark International http://www.foxitsoftware.com For evaluation only. but also the subcontinent and CIS.” New product launches, partnerships, d i s t r i b ut i o n a g r e e m en t s , a n d manufacturing facility announcements by leading global majors and local players alike were the norm at Automechanika Dubai 2015. At the forefront of new announcements was the show’s Headline Sponsor and UAE-based ENOC, which opened a 5,000sqm lubricants and grease manufacturing plant in Dubai to complement its existing facility in Fujairah. According to Mohammed El Sadek, Director of ENOC’s Lubricant Division, the two plants have a total production capacity of 300,000 metric tonnes annually, most of which is exported to more than 60 countries. “The UAE is the Middle East’s largest hub for manufacturing of lubricants, manufacturing close to 1.5 million metric tonnes annually,” said El Sadek. “Only 200,000mt is used domestically, so there’s around 1.3 million metric tonnes exported throughout the region as well as into Asia, South East Asia, Africa, and the sub-continent. “There is huge potential to build on this business especially for export and Automechanika Dubai gives us the platform to expand into new markets where we are not yet present,” added El Sadek. “If we look at the mix of visitors to Automechanika Dubai, we are looking at more than 100 countries, and a lot of these countries we still don’t have business in so it’s important to be here.”

Automechanika Dubai focuses on six product sections of Parts & Components and Systems and Electronics (1,340 exhibitors in 2015), Tyres & Batteries (190 exhibitors), Accessories & Tuning (166 exhibitors), Repair & Maintenance (109 exhibitors), and Service Station & Car Wash (84 exhibitors). The largest section, Parts & Components and Systems & Electronics, spanned more than 41,000sqm of exhibition space alone, and was packed with biggest names of the international automotive

aftermarket. Among these was Belgianheadquartered WABCO, a world-leading supplier of electronic braking, stability, suspens ion and transmissio n

automation systems for heavy duty commercial vehicles. Sherif El-Sheikh, Regional Leader for the Middle East and Africa, WABCO Trailer Systems, Aftermarket and OffHighway Division, said the region presented major growth opportunities for the automotive sector. “The Middle East continues to close the gap to advanced safety and efficiency techno logies more common i n developed markets,” said El-Sheikh. “Therefore, we see it as a glass half full because it means there are more opportunities to introduce the latest innovations that have already been around in mature markets.” “Now is the perfect time to do business in the Middle East and Africa and most of the main players in the commercial vehicle industry are exhibiting at Au tomechani ka Dubai showi ng off their capabilities. There’s a good reason behind that and that’s because many industry experts are expecting this market to grow for many years to come.” Among the more innovative product launches at Automechanika Dubai 2015 was Irish company No-H2O’s waterless carwash solutions. No-H2O signed a partnership agreement with Central

Trading Company (CTC) – part of the Al Rostamani Group – at Automechanika Dubai. The deal, which is expected to exceed AED10 million, will see CTC take on the role of master franchisee and act as the exclusive distributor for No-H2O in the UAE. “We’re revolutionising the UAE car market by introducing No-H2O and we will continue to satisfy our valuable customers and exceed their expectations,” said Mohammed Aqel, General Manager of Central Trading Company. “This region is faced with a lot of water consumption issues and No-H2O supports the growing need to preserve water and reduce waste. All No-H2O products are biodegradable and ecofriendly, using the latest waterless technology on the market today. NoH2O is also the only product of its kind approved for use on commercial aircraft such as Boeing and Airbus, so it’s highly accredited.” Automechanika Dubai is the definitive must-attend trade show for the wider region’s automotive aftermarket, and has in recent years attracted a growing number of African visitors looking for suppliers of genuine parts, accessories, and components. More than 3,000 trade buyers from the world’s second largest continent stopped by Automechanika Dubai 2015, including Nigerian Engineer Tunde Koiki, CEO of Teekay Service Centre, who has visited the show for the past six years. “Every year there’s something I want to achieve at Automechanika Dubai,” said Koiki. “This year my target is to meet manufacturers a nd es tablish partnerships in Nigeria where there is a strong demand right now for genuine parts. “I can meet suppliers one-on-one and can and buy from them directly. Having genuine parts sourced at Automechanika Dubai has helped my business grow so far, and I’m sure that will be the same for any Nigerian car parts dealer.” As the dust settles on another recordbreaking show, the wheels are already in motion for Automechanika Dubai 2016. The 14th edition will take place from 8-10 May 2016 at the Dubai International Convention and Exhibition Centre, a month earlier than its usual dates to accommodate the Holy month of Ramadan...

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Auto Parts Sector - Update

Monthly AutoMark International

Belarus keen to collaborate in manufacturing

Coming as a boost to the automotive industry, Belarusian companies have expressed interest in investing in Pakistan by collaborating with local auto part manufacturers. A delegation of Belarusian businessmen showed interest during a meeting with Pakistan Association of Automotive Parts and Accessories Manufacturers (Paapam) Senior Vice Chairman Mumshad Ali. BelAZ Director Strategy Vitaly Kuranda said Belarus attached great importance to its economic relations with Pakistan. He added the country’s central position in Europe offered an easy access to several markets. Being one of the most i n d u st ri al i s e d co u n t ri es af t e r independence from the Soviet Union, the gross domestic product of Belarus has been growing every year.

The delegation urged Paapam members to explore the possibility of joint ventures in automobile, services and industrial products. They highlighted the vast potential existed for Pakistan and Belarus to enhance bilateral trade and economic ties. They pointed out that Belarusian economy was dominated by services and industrial products and this option should be explored by the Pakistani business community. Ali apprised the visiting delegation about the vital role Paapam played in the socioeconomic development of Pakistan. “P aa p am i s s ee ki n g t e chn i ca l collaboration with international companies for hi-tech auto part manufacturing in Pakistan,” he said. Ali stressed that the association was looking forward to developing contacts

with international manufacturers, besides analysing the possibility of joint ventures with them. “We are looking for joint ventures and trade agreements for the development of engine and hi-tech consumable parts for aftermarket and OEM consumption, besides targeting Middle Eastern, Central Asian and African markets.” According to Ali, the dynamics of Belarus are different from other central Asian states and the country has a unique strength in many areas. He underscored the need for frequent people-to-people contact, regular exchange of trade information and business delegations...

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Punjab Budget 2015-16

Ruling party hails, opposition assails budget Punjab to spend Rs 400bn on development in 2015-16 The Punjab government has allocated R s400bn for the Annual Development Programme (ADP) for 2015-16, an increase of 15 per cent over the outgoing fiscal year, with a focus on socialsector andinfrastructure development. The provincial government scaled down ADP from Rs345 billion to Rs268bn in 2014-15, citing less than projected receipts from the divisible pool as a prime reason. Under Punjab Inclusive Growth Strategy o f Me dium Te rm De vel opme n t Framework 2014-18, the province envisions economic growth of 8pc, doubling private sector investment in the province, creating one million quality jobs a year, two million skilled graduates by 2018, increasing exports by 15pc a year , achieving millennium and sustainable development goals, and improving security situation. The strategy, PGS, aims to overcome the key challenges, including underutilised manufacturing capacity and stagnant exports, low productivity of physical and human capital,unemployment, underemployment and skills shortages, and a difficult security situation. The details available in the budget document show that the Rs400bn ADP includes RsG7bn for other development intervention. The focus is on completion of ongoing schemes, regional balance in allocation of resources with extra weight to Southern Punjab and adequate funding for foreign aided and mega projects. The biggest allocation of Rs161.476bn is for infrastructure improvement, with major focus on Rural Roads Programme with Rs52bn allocation, followed by Rs119bn for social sectors investments with majo r focus on education (Rs55.564bn) and health (Rs30.725bn), Rs44.05bn for special initiatives, Rs39.08bn for services, Rs28.525bn for

production sectors, and Rs7.69bn for others. An allocation of Rs28.03bn has been earmarked for improving transportation infrastructure including Rs17bn for BRTS (Metro Bus System) Multan and Rs10bn for Orange Line Metro Train. Similarly, the irrigation sector has got Rs35.37bn; energysector Rs31bn (including Rs15bn for RLNG-based power plant to overcome power shortage); district/TMA development initiatives Rs12bn; women empowerment initiatives Rs32bn; Pani Programme Rs11bn, to provide clean drinking water in rural areas; agriculture and livestock and dairy development sectors gets Rs10.725bn and Rs5.028bn respectively; governance and IT Rs8.54bn; industries Rs7.330bn (including Rs2bn for PISIC, Rs1bn for PIEDMIC and Rs4bn for Skills Development Programme); Punjab Police Command, Control and Communication Centres gets Rs4bn; IntegratedDevelopment of Cholistan Rs0.55bn; Social Protection Rs1.53bn, including Rs1bn for Social Protection Authority; and special development package for Balochistan has received Rs2.05bn. The government has earmarked Rs14.45bn to promote the public private sector creation of Viability Gap Fund.

It cites few reasons for the downward revision of the development programme 2014-15 from Rs345bn to Rs268bn, saying projections as per divisible pool receipts to Punjab underNFC (National Finance Commission) fell short of budget estimates. Moreover, 2014 floods also seriously affected ADP as it resulted in cash problem and no additional funding was availa ble fr om t he fede ral government. The budget document further says that for the execution of development schemes, funds were released in biannual instalments during FY15. As per utilisation status of development programme during July-May 2014-15, an expenditure of Rs195bn has been reported against the released amount of Rs240bn up to May 2015. Based on this utilisation trend, it is expected that by the end of outgoing year utilisation shall be around Rs235-240bn against an approximate cash cover of Rs265bn, indicating a significant improvement in overall development expenditure. A chart showing trend of ADP allocation (revised) and utilisation from financial years 2007-08 to 2014-15 on the one hand shows progressive increase in allocations, but on the other, it shows decrease in utilisation in each year.

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Automotive Sector - Update

Buy used Toyota cars with 6-month warranty The customers of used cars can now purchase used Toyota cars with six months company warranty, under the recently launched Toyot a Sure programme. The programme focuses on providing used car buyers and sellers an experience at par with new car buyers. Toyota Sure is in line with Toyota’s global initiative of providing value added facilities to the customers. Indus Motor Company (IMC), the authorised distributor of Toyota and Daihatsu vehicles in Pakistan, has initiated Toyota SURE programme to facilitate sales, purchase and exchange of used cars. Toyota SURE accepts all kind of cars, even non-Toyota in case of exchange, while trade-in customers are offered the facility to trade in their old vehicles with a brand new one. The facility is initially available in Karachi, Faisalabad, and

Lahore with expansion plans covering the nation-wide dealership network. “Toyota Sure offers a range of benefits that no private seller is presently offering. It comes with the backing of the world’s most trusted automotive brand – Toyota and provides value added services whether a customer wishes to sell a used car, trade in a used car with a new one or purchase a certified used car,” said Ali Asghar Jamali, chief operating officer IMC. “At Toyota Sure, all vehicles pass through a rigorous 203 checkpoints inspecti on by Toy ota C ert ifi ed Experts/Sales Consultants. Such extensive analysis ensures that the best price is assessed for any particular vehicle. Financing options are also available for purchase of used cars,” he added Source: Business Recorder//

Karachi bus project It will be fully funded by federal government: Prime Minister Speaking in the National Assembly on last week, Prime Minister Nawaz Sharif said the federal government is assisting the Sindh Government for completion of mega develop ment projects. He said that the federal government would give Green Line bus project to the province as gift. He said that the federal government has already allocated Rs 5 billion for this project. He said this is a mega project and is expected to be completed at a cost of Rs 20 billion to Rs 25 billion. He said that the federal government will provide 100% funds for the project. He said that Lahore and Rawalpindi Metro Bus

Projects were of Punjab government. He said work on Hyderabad-Karachi Motorway has also been started and it will be completed by 2017. He said that work on culverts has begun and after completion the work of motorway construction will start immediately. The Prime Minster said that Motorway from Hyderabad-Sukkur and Sukkur-Multan and Multan-Lahore would be completed in his tenure. He said that he also chaired a meeting yesterday morning, which was attended by Director General FWO and Chairman National Highway Authority where all the matters came under discussion.

BoI, Pak-Saudi Chamber sign MoU for investment The Board of Investment (BoI) and PakSaudi Joint Chamber of Commerce and Industry (PSJCCI) on Monday signed a memorandum of understanding (MoU) to encourage and facilitate bilateral investment between the two countries. Saudi Arabia has tremendous potential for halal food products, an area which continues to be neglected by investors and investment in this sector would help enhance the volume of bilateral trade, observed officials of BoI and PSJCCI at the signing ceremony. BoI Secretary, Iftikhar Babar and PSJCCI President, MianMehmood signed the MoU on behalf of their respective organisations. The Saudi Foreign Direct Investment (FDI) over the past five years stood at $326.1 million and did not reflect the real potential. `Pakistan is keen to take bilateral trade ties with Saudi Arabia to new heights,` the agreement noted. Under the terms of the agreement, the BoI will support PSJCCI in its endeavour to encourage Saudi companies for investment in Pakistan. The Bol will provide all relevant i n fo rma ti o n abo ut i n v est m en t opportunities to the PSJCCI as and when requested. PSJCCI will introduce pro-spective projects to the Saudi investors and extend practicable assistance in those projects, such as business matching activities for the two countries Spealcing on the occasion BoI Secretary, Iftikhar Babar said that Pakistan`s liberalised and de-regulated investment policies provide attractive incentives and levelplaying field as compared to other countries. Saudi companies may benefit from the liberal investment policies of Pakistan, he added. In his remarks, Mehmood assured the chamber will try to attract more investment in Pakistan in the field of agriculture, food and fruit processing, dairy and livestock, power and education sectors.

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Automotive Sector - Update

Car sales in Pakistan to achieve highest growth in three years The car sales in Pakistan that has witnessed 24% improvement during first three quarters of current fiscal year, are expected to reach the highest rate in next three years. Auto sales in 2015 are expected to hit 165,000 units, nearly reaching the amount sold in 2012. A report on ‘Booming Automotive Industry in Emerging Markets’ released by Carmudi has provided a detailed look into state of global automotive sales and how car purchasing behaviours have changed due to drastic increase in internet and mobile penetration, rising GDP and the emergence middle class. The findings in this report are results of quantitative surveys conducted online with both car buyers and car dealers, and in-depth interviews with industry influencers throughout Pakistan. The study found that over 58% of car dealers in Pakistan reported an increase in car sales over past twelve months while 41.7% reported a decrease. According to the Pakistan Automotive Manufacturer’s Association, local auto sales including light commercial vehicles, grew by 72% as compared to same month last year. One reason for the boom is the reduction in interest

rates over the course of the year. Car financing still stands at less than 35% of the total car sales in Pakistan. With regard to shift to online, the report said car dealers are beginning transition to digital space to reach potential buyers as 25% of dealers reported using websites to reach buyers and 16.7% are actively using facebook. Car dealers have not started using Twitter or Instagram to reach potential consumers. Although the shift towards online is apparent, car dealers in Pakistan still have relatively high level of offline advertising, with 41.7% of car dealers are still comfortable, focusing their listings on newspapers. In his comments, All Pakistan Motor Dealers Association (APMDA) Chairman H M Shahzad on Wednesday said if provided a level playing field for all stakeholders, the auto industry could contribute substantially in achieving GDP growth targets. The used car import alone can generate Rs 60 to Rs 70 billion in revenue while providing healthy competition and choice of multiple makes and models at affordable prices to the consumers. The report further revealed that globally,

auto E-commerce has grown at such a staggering rate that now as many as 80% of new car customers and almost 100% of used car customers begin their car shopping experience online. With Internet and mobile penetration significantly growing in emerging markets, the rate of moving the car shopping experience online is beginning to mirror that of the western markets. In Pakistan, where economic growth is at a seven-year high, close to 30% of car buyers report using the Internet to conduct research on a car before making a purchase. Speaking about growth of Pakistan’s automotive industry, Carmudi Pakistan Managing Director Raja Murad Khan said the growth in Pakistan’s automotive industry, the increase in purchase intent and shift of buyers from traditional to online marketplace are all positive indicators and success in Pakistan. Carmudi is one of the leading online vehicle platforms in Pakistan offering private customers, car dealers and other partners a car-trading platform that helps them sell and find cars, motorcycles or commercial vehicles in an easy and effective manner.

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Automotive Sector - Review

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The Booming Automotive Industry in Pakistan Carmudi examines the current and future state of the automotive industry in Pakistan and other Emerging Markets Carmudi's report on ‘The Booming Automotive Industry in Emerging Markets’ provides a detailed look into the global state of automotive sales and how car purchasing behaviors have changed due to the drastic increase in internet and mobile penetration, rising GDP, and the emergence of a middle class. The findings in this report are the results of Carmudi quantitative surveys conducted online with both car buyers and car dealers, and in-depth interviews with industry influencers throughout Pakistan.

The State of Global Car Sales Global automotive sales for 2015 are expected to reach close to 89 million, a 2.4% growth from 2014. Emerging markets’ share of global sales will rise from 50% in 2012 to 60% by 2020, while their share of global profits is also set to rise by 10%. When it comes to new cars, purchase intent is strongest in Asia, where 65% of respondents say they will buy new cars in the next two years, compared with 7% who plan to buy used cars.

Growth of Auto ECommerce Globally, auto E-Commerce has grown at such a staggering rate that now as many as 80% of new car customers and almost 100% of used car customers begin their car shopping experience online. With internet and mobile penetration significantly growing in emerging markets, the rate of moving the car shopping experience online is beginning to mirror that of Western Markets. In Pakistan, where economic growth is at a seven-year high, close to

30% of car buyers report using the Internet to conduct research on a car before making a purchase.

Changes in Pakistan Car Sales The Carmudi study found that over 58% of car dealers in Pakistan reported an increase in car sales over the past twelve months, while a close 41.7% reported a decrease. According to the Pakistan Automotive Manufacturer’s Association, local auto sales, including light commercial vehicles, grew by 72% compared to the same month last year. One reason for the boom is the reduction in interest rates over the course of the year. That said, car financing still stands at less than 35% of the total car sales in Pakistan.

The Shift to Online Car Dealers are beginning to transition to the digital space to reach potential buyers. 25% of dealers reported using websites to reach potential buyers, and 16.7% are actively using Facebook. Car dealers have not started using Twitter or Instagram to reach potential consumers. Although the shift towards online is apparent, car dealers in Pakistan still have relatively high level of offline advertising, with 41.7% of car dealers are still comfortable and majorly focusing their listings on newspapers.

The Future of Car Sales in the Pakistan After a 24% improvement during the first three quarters of Fiscal Year 2015, sales of new and used vehicles have taken off, and are expected to reach their highest rate in three years. Auto sales in 2015 are expected to hit 165,000

units, nearly reaching the amount sold in 2012. HM Shahzad, Chairman of All Pakistan Motor Dealers Association (APMDA) said “If provided a level playing field for all stakeholders, the A ut o I nd us t ry c an con t r i bu t e substantially in achieving the GDP growth targets.The used car import alone can generate Rs.60 to 70 billion in revenue while providing healthy competition and choice of multiple makes and models at affordable prices to the consumer” Speaking about the growth of Pakistan’s Automotive Industry, MD of Carmudi Pakistan, Raja Murad Khan said: “The growth in Pakistan’s Automotive Industry, the increase in purchase intent and the shift of buyers from traditional to online marketplace are all positive indicators for Carmudi’s growth and success in Pakistan. Carmudi is committed in becoming a one-stop shop for all car-related topics, be it car reviews, news, tips or simple advice and we are thrilled to share with you our insights on The Booming Automotive Industry in Pakistan” Carmudi is one of the leading online vehicle platforms in Pakistan offering private customers, car dealers and other partners a car trading platform that helps them sell and find cars, motorcycles or commercial vehicles in an easy and effective manner. The portal contains a wide range of car models including but not limited to brands like Honda, Toyota, Suzuki, Daihatsu, Mitsubishi and more dealing with both brand new and used cars...

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Internatioan News Deskt - Update

Monthly AutoMark International

Yamaha gears up to compete for the rural market

Yamaha India MD Masaki Asano (on the bike) with Roy Kurian, VP (sales & marketing), at the launch of Saluto Japanese automobile major Yamaha Motor plans to rev up its India play and is pinning hopes on the growing demand fortwo-wheelers in rural areas to boost sales. Last month, the company launched the Saluto, a motorcycle for the mass market that has been pitched as cheaper and more fuel efficient. It has lined up more such products in the category. With its focus on the mass commuter segment, the company plans to double sales to 1.2 million units by 2017 from 549,000 units now. A management overhaul has also been undertaken and heads have been appointed for each s eg me nt , i n c lud i ng sa le s a nd manufacturing, to align the company to its new goals Both motorcycles and scooters will have equal importance for Yamaha. At present, motorcycles account for 55 per cent of total sales but the company is working to close the gap. “Sales ratio between scooters and motorcycles would be equal in the years to come,” says Roy Kurian, vice-president (sales & marketing), Yamaha India. After witnessing a 23 per cent jump in sales in 2014-15, Yamaha is targeting a 30 per cent growth to reach 800,000

units this financial year. The additional production capacity will come from the newly-built Chennai plant, which is set to be commissioned next month. The plant’s production will be scaled up from 400,000 units annually to 1.8 million units by 2018. India is the second biggest market for Yamaha after Indonesia but its market share stands at just around 7 per cent. To make deeper inroads, the company is single-mindedly focusing on mileage. “If you try to focus on everything, you achieve nothing. India is a very big market, so many segments are mushrooming every year. We have decided 'let's go mass market', but at the same time, we are not ignoring big bikes. You will see action there as well,” says Kurian. Yamaha’s target is to increase its share in deluxe bikes from 19 per cent at present to 22-23 per cent. The company has been adding new models to its fuel efficient range of twowheelers in the Alpha, New FZ and SZRR series. These new two-wheelers have a mileage of 66 kmpl compared with 62 kmpl of its earlier models. Although a late entrant in the rural market, Yamaha hopes its fuel-efficient range will help it make quick inroads.

The rural market currently constitutes nearly 70 per cent of all two-wheeler sales in the country but for Yamaha it stands at 30 per cent. So far Yamaha two-wheelers have been a popular choice among urban commuters. The Saluto, a 125cc motorcycle launched last month, is the first product aimed at the rural market. The Saluto, with its mileage of 78 kmpl, will compete with Honda’s Shine, Hero’s Glamour and Bajaj’s Discover. “The USP of the product will be style, power, durability and reliability,” says Kurian. Yamaha has set a target to sell around 60,000 units of the bike during the current year. Initially, the product will be for domestic market and will be exported later on. Yamaha scooters are known for their reliability and superior technology and the company wants to build on that. Its scooters mainly target young commuters with their unisex appeal. Kurian says the top-down strategy of moving from urban to rural consumers is working well for the company. Having lined up a range of products, expanding the sales network is next on the agenda.

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International Automotive Industry - Update

Slow sales cause Honda to stop selling natural gas, hybrid Civics Slow sales and falling gasoline prices have prompted Honda to stop selling gas-electric hybrid and natural gaspowered versions of its Civic compact car. The company also said that it will discontinue a plug-in rechargeable version of the midsize Accord. But it plans to roll out a more efficient version of the Accord hybrid early next year. A new plug-in Accord will come later. Through May, Honda has sold only 1,873 hybrid Civics out of a total of 129,574, according to Autodata Corp. Natural gas Civic sales for the year were not released. Part of the reason for the slow hybrid and natural gas Civic sales is the progress that Honda and other automakers have made getting better mileage out of gas-powered vehicles. Honda plans to start selling a sleeklooking new Civic in the fall that will get a little more than 40 miles per gallon in highway driving.

2016 Honda Accord Finally, Something The new Honda Accord will be coming in 2016 but so far, nobody has really any idea how the Honda Accord will look like until now. It was previously believed that the Honda Accord new design was going to be based on the Honda Spirior that we saw in China last year. The Honda Spirior which is essentially the Honda Accord with a different name was given a facelift last year and many believe that the same facelift will use on the Honda Accord as well. The Honda Spirior also came with a 2.4 liter direct injection 4 cylinder engine mated to an eight speed DCT transmission. The Honda Accord sedan was spotted by Car and Driver earlier this month getting tested on the road with almost no disguised. Check out the images here and tell us if the rumors were true about the Spirior facelift design or not.

Malaysia Proton in tie-up with Japan's Suzuki to boost sales Malaysia's struggling national carmaker Proton on Monday joined forces with Japan's Suzuki Motor Corp. in its latest bid to boost sales by targeting the compact car market. Proton inked a memorandum of understanding and license agreement with Suzuki to "form a long term strategic collaboration and partnership," the companies said. Proton officials said production will start in the next 16 months at Proton's huge but underutilized plant in Tanjung Malim in northern Perak state. It will begin with the assembly of a Suzuki car, to be sold under a Proton badge, officials said. Proton Chairman Mahathir Mohamad, who is a former prime minister of Malaysia, said Proton will initially rebrand and sell Suzuki models, before exploring the possibility of jointly developing new models in the longer run. "This is one of our attempts to enhance the performance of Proton," Mahathir said. "We feel that we can learn and work with this company because it has the technology for compact cars and small cars."

Asked if Suzuki will take up a stake in Proton, Mahathir said it is still early days. "There are many possibilities. I can't confirm that yet," he said. The partnership will help Suzuki, which currently imports fully built-up cars into Malaysia, to establish a manufacturing foothold in the Southeast Asian country, said its chairman Osamu Suzuki. Loss-making Proton, once king of the road in Malaysia, is struggling to boost sales after its fortunes dwindled due to greater foreign competition. Proton's share of domestic car sales has plunged from about 50 percent a decade ago to 21 percent last year. Proton's partnership with Suzuki sets up a head-to-head clash with second national carmaker Perodua, which produces compact cars and is the No. 1 car brand in Malaysia. Mahathir, who founded Proton in the early 1980s during his rule, said there is room for competition as domestic market has expanded. He said combined sales of the two national carmakers have fallen to just about half of the domestic market.

Toyota chief earned $2.84 million last year after bonus doubles President Akio Toyoda earned 352 million yen ($2.84 million/ÂŁ1.8 million) in total compensation last year after his bonus doubled to about $2 million, the Japanese company said in a regulatory filing on last week. Toyoda, head of the world's best-selling automaker, received a bonus of 249 million yen in the year ended March, up from 127 million yen in the previous year. His base salary was unchanged. Toyoda's compensation is roughly a third of what Nissan Motor Co (7201.T) paid Chief Executive Carlos Ghosn in t h e sam e p e r io d . Gho sn t o l d shareholders on Tuesday he splits his time equally between Nissan and French alliance partner Renault SA (RENA.PA), which he also heads. F iat Chrysler A utomobi les NV

(FCHA.MI) CEO Sergio Marchionne was the top-paid automotive executive in 2014, making about 31.3 million euros ($35 million). Toyota in May reported a 19 percent rise in net profit to 2.17 trillion yen for the business year through March, and forecast a third consecutive year of record profit...

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Car Review - Update

Porsche Hybrid Why itâ&#x20AC;&#x2122;s the car of the season

Porsche has introduced a brand new Cayenne S E-Hybrid, an SUV with the attitude of a sports car. A beautiful and powerful car, the Cayenne S E-Hybrid has an abundance of exciting features and is a testament to the premium, luxury style that is expected from Porsche. Porsche is currently the only car manufacturer that has three plug-in cars: the Cayenne S E-Hybrid, Panamera S E- Hybrid and 918 Spyder. First impressions of the Cayenne were positive, with the sleek sharp design immediately catching the eye. Clearly a car of style, the inside is as elegant as the outside, with comfort and ease being a p rio rit y. Wit h spaciou s and comfortable seating, the Cayenne is easy to feel at home in. The acid green brake calipers, emblems and needles stand out immediately, giving the car a stylish look and the multifunction sport steering wheel boasts a host of features, including shift paddles, making for a smooth driving experience.

As for mechanics, Porsche has created a master-class for all hybrid cars to aspire to. With E-Hybrid technology built-in, and a massive new 3.0 liter V6 engi ne, the C ayenn e perfo rms impeccably. In the high-end SUV segment, the Cayenne is the first plugin hybrid car, boasting a lithium-ion drive battery with a capacity of 10.8 kWh that can be fully charged in just 3 hours or so through the plug-in function. The electric motor also gets charged while driving, making the car even more efficient. Being an E- Hybrid, the car is environmentally friendly, not releasing any local emissions when running on electricity. Overall fuel consumption is only 3.4 liters per 100 kilometers, making for extremely low CO2 emissions amounting to only 79g/km. The battery allows 18 to 36 kilometers of driving purely on electricity, with the top electric speed of 125 km/h, easily encompassing most daily journeys without the need for fuel. The electric motor brings 95hp,

while the total output of the powerhouse Cayenne is a whopping 416hp. With total torque of 590 Nm, the car performs at a sports car level and can reach speeds of 100km in 5.9 seconds, with a top speed of 243 km/hr. The suspension, acceleration and deceleration of the car are impressive and the car is a pleasure to drive, performing with seamless precision. While day to day driving is a charm, the Cayenne has sports settings that make it a dream come true by bringing sports to SUVs. With blazing speeds, graceful performance and undeniable style, the Cayenne stands out, racing as smoothly as a sports car and putting others to shame. This is a hybrid that appeals to the soul of a true driver. Packed with high- quality features; spacious, comfortable, and speedy, the Porsche Cayenne is the car for the grown-up who harbours a childhood dream of driving a sports car.

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Automechanika Dubai 2-4 June 2015: Exclusive Event Glimpse

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Karachi Car Listing

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Lahore Car Listing

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Toyota Innova Production to be Stopped in 3 Months to Make Way for Next Gen 2016 Model Japanese car maker Toyota is finally set to pull the plug on the current generation Innova to make way for its new gen 2016 model, suggest the emerging reports. The folks at Team BHP who have managed to get their hands on to the future plans of Toyota reveal that the current gen Innova, which had a successful run in the Indian market, will be taken off the production line in the next three months time so as to start the production of the new gen Innova. Going by the report, the GX trim of current gen Innova, which mainly caters to the taxi segment in India, will continue to be in production for a year; however all other variants of the model will be stopped. Next gen Innova, which is expected to get a global unveiling later this year, will be built on a new platform and is likely to be lighter than the current generation. Under the hood, 2016 Innova is likely to include 2.4-litre or 2.5-litre diesel engine with six-speed automatic and manual transmission. The model is expected to get features like dual-tone donned interior with big multi-info touchscreen and 3-spoke steering wheel. The new Innova is likely to be shown at Auto expo, 2016 and in India the next gen MPV is rumoured to get a price tag higher than the current model.

Automobile production, sales drop in May for China China's automobile market registered negative growth in May, with sales volume dropping below 2 million units, marking the lowest single-month figure for 15 years. The China Business News said that traditionally, June is the off-season for the automobile market and that many BMW dealers in Guangdong have launched price reduction campaigns. Other luxury car brands, including Audi, Jaguar and Volvo, also saw dropping sales in May. For years, car manufacturers have forced dealers to stockpile inventories and many dealers face the ever-growing pressure of large inventories, shortage of capital and even serious deficits, according to the report.

Toyota's all New Camry Hybrid Receives Great Consumer Response across India Toyota Kirloskar Motor’s (TKM) recent all new Camry Hybrid, launched in May 2015, has been very well received across the Indian market. The newly launched Camry has already sold more than 280 units in a matter of 50 days as compared to 720 units sold in the whole of 2014. The new Camry Hybrid has also managed to garner more than 730 customer enquiries & pending orders of over 125 reiterating Toyota’s dominance in Hybrid technology along with emphasizing customers’ acceptance of hybridization as the future. The new luxury car is also witnessing increased demand in tier II markets like Pune, Calicut, Coimbatore and Ahmadabad thereby boosting overall sales and indicating that Hybrid is not just a big city phenomenon. The recently announced government incentive of Rs. 70,000 under FAME scheme has also aided the company in generating more enquiries and orders from customers. Speaking on the success of Camry in India, Mr. N Raja, Director and Senior Vice - President, Sales and Marketing said “I would like to thank our customers of Camry for its success in India. At present Camry hybrid constitute more 80% of total Camry sales showing the increased awareness and acceptance of Hybrid in India. Concerns like road safety and increased pollution are some of the grave problems faced by our country. Hybrid vehicles can truly have a positive impact only if they are widely

used therefore to reiterate our commitment to a greener environment we will constantly work towards educating and encouraging the use of Hybrid vehicles in India”. Camry Hybrid comes with Toyota’s Hy br i d S y n er g y D r i v e ( H SD ) powertrain. Camry Hybrid’s “full hybrid” powertrain combines the performance of a 2.5 litre Atkinson cycle four cylinder gasoline engine and a high torque electric motor. The new Camry Hybrid has a combined power (engine + motor) output of 205 PS coupled with leading – edge fuel economy of 19.16 kmpl* and 122.8 gm of CO2 emissions per km of driving, which is far lesser than the conventional vehicles of similar engine size. The Camry H ybr id comes wi t h an Electronically Controlled Continuous Variable Transmission (E-CVT), which provides enhanced driving performance, with reduced fuel consumption and lower NVH. Hybrid technology is one of the finest examples of green future which minimizes the usage of existing exhaustible resources. Toyota on this front boasts of a rich lineage of 15 years in hybrid with over 7 million hybrid cars across the globe. In India, the first Camry Hybrid was launched in the year of 2013 making it the countries only locally manufactured hybrid.

B20m in pirated motorcycle parts seized The Department of Special Investigation seized more than 30,000 pirated motorcycle parts and containers of lubricating oil from warehouses in Bangkok’s Thon Buri area. D S I d i r e c t o r - g e n e r a l S uw a n a Suwanajuta told a press conference Friday that 35,228 pirated items were seized from a building on Phetkasem Road and warehouse on Liap Khlong Phasi Charoen Road. They included about 30,000 fake Honda motorcycle parts, 1,050 knockoff Yamaha motorcycle parts, some 553 bottles of copied Honda engine oil, 170 bogus Brembo brake pads, and

553 counterfeit Yuasa motorcycle batteries. The DSI also arrested Thanawat Piyalohawat for alleged possession of the pirate goods. The raids came after complaints from infringed manufacturers, Mrs Suwana said. The pirate products caused damage worth about 20 million baht, she said. Manoon Changchamni, a representative from Honda Motor Co, said at the press conference that most pirated products were imported and substandard, especially fake batteries that could explode.

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MADE IN PAKISTAN MOTORCYCLES RETAIL PRICE LIST

70cc Motorcycle Sr./ No. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10.

Product & Model Name Hero RF-70 Model 2015 Hero Plus 90, 90cc Honda CD-70 Honda CD Dream Hi-Speed SR-70 Ravi Premium R1 Road Prince bullet Road Prince 70cc United US 70 United Extreme 70

Retail Price Rs. 46,000/= Rs. 48,000/= Rs. 63,500/= Rs. 67,500/= Rs. 43,000/= Rs. 46,950/= Rs. 45,000/= Rs. 39,000/= Rs. 42,000/= Rs. 44,500/=

125cc Motorcycle No. Brand & Model Name 1. Super Star SS-125 2. Super Star SS-125 DLX 3. Honda CG-125 std Euro II 4. Honda CG-125 DX 5. Hero Prince 125 6. Ravi Piaggio Storm 125 7. United US-125 Euro 2 8. Yamaha YBR-125cc 9. Road Prince 125cc

Retail Price Rs. 59,000/= Rs. 67,000/= Rs. 102,900/= Rs. 124,000/= Rs. 96,000/= Rs. 112,000/= Rs. 69,500/= Rs. 129,400/= Rs. 68,000/=

Suzuki Motorcycle (Heavy Bikes) Sr./ No. 1. 2. 3. 4.

Product & Model Name Inazuma GW 250 Intruder M800 Hayasuba GSX1300R Bandit GSF650SA

Retail Price

Sr./ No. 9. 10. 11. 12. 13. 14. 15.

Product & Model Name Ravi Hamsafar-70 Sitara GT-70 Super Star SS-70 Super Power SP-70 Super Power Delux Unique UD-70 Bionic AS-70

Retail Price Rs. 45,450/= Rs. 40,000/= Rs. 44,000/= Rs. 44,700/= Rs. 48,200/= Rs. 44,000/= Rs. 44,500/=

100cc Motorcycle No. Brand &Model Name 1. Hero Splander Model 2015 2. Honda Pridor 3. Super Star SS-100 4. Super Power SP-100 5. Road Price Jackpot 110cc 6. United US-100 Euro 2 7. United Regular

Retail Price Rs. 56,000/= Rs. 86,000/= Rs. 57,000/= Rs. 60,000/= Rs. 44,000/= Rs. 49,500/= Rs. 48,500/=

Suzuki Motorcycle Sr./ No. 1. 2. 3. 4. 5. 6.

Retail Price

Product & Model Name SD110 Sprinter ECO SD110 Sprinter ECO Del

SD110 Raider GS-150 Euro-II GD 110 Euro-II GD 110s Euro-II

Rs. 101,400/= Rs. 88,400/= Rs. 98,400/= Rs. 128,500/= Rs. 114,000/= Rs. 122,000/=

Rs. 725,000/= Rs. 1,700,000/= Rs. 2,600,000/= Rs. 1,550,000/=

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FPCCI EXPORT AWARDS

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Monthly AutoMark International

FPCCI 38TH EXPORT TROPHY AWARD

In 10th Consumer Choice awards distribution ceremony Crown Group (CRLF) awarded for Consumers Icon award for best Motorcycle spare parts in Pakistan. This award ceremony has been organized under the banner of Consumer Association of Pakistan and given to consumerâ&#x20AC;&#x2122;s friendly brands engaged in the manufacture and supply of the categories of goods and services. On the occasion , chief guest Chairman Senate Mian Raza Rabbani presented Consumers Icon award to Chairman Crown Group Farhan Hanif. This prestigious award is an acknowledgement for Crown Group (CRLF) who maintained the quality standards over a decade. It developed a relationship of trust among consumers with its quality motorcycles and spare parts due to this CRLF become the most popular manufacturer in the consumers. PR

Crown Group awarded for 10th Consumer Choice awards

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Exclusive Article by Talal Hussain Malik

The Soun Expedition End of March is the beginning of summer in most of Punjab so our idea was to do the tour in an ideal weather before it gets too hot to commute the highway on motorbikes and since all of us are professionals besides being bikers we would need an extra day to recover from the jetlag at the end of the tour. The opportunity offered itself as the 23rd of March happened to fall on Monday; the bikes tended, the luggage packed and we were off. It was not just an abrupt tour plan out of nowhere that took us from Lahore to the famous Soun valley in district Khushab, it was well planned and all the pre tour work done well before the departure date, at PBC we believe in making all necessary arrangements before setting forth on a long ride with overnight stay. Waqar Ahmad being the master planner of the whole trip contacted everyone interested in hitting the highway, thanks to the information technology we were all signed into tour related discussion through email. End of March is the beginning of summer in most of Punjab so our idea was to do the tour in an ideal weather before it gets too hot to commute the highway on motorbikes and since all of us are professionals besides being bikers we would need an extra day to recover from the jetlag at the end of the tour. The opportunity offered itself as the 23rd of March happened to fall on Monday; the bikes tended, the luggage packed and we were off. Five of us were confirmed to undertake the exciting journey. Waqar was riding his Typhoon, a modified Piaggio storm powered by a 200cc liquid cooled engine while fahad riding as pillion with him, Uzair was cruising on his Tornado, a modified chopper powered by a 250cc liquid cooled engine, Nouman was on board his Beast, a modified Piaggio

Print Media Partner powered by a 150cc liquid cooled engine and at one point I came to know it also had a reverse gear in it, while I was riding on my humble but still like brand new 03 model stock CG125. I welcomed the riders at Khushab joining them from my hometown i.e., Joharabad on the morning of 21st March. The route taken was from Lahore to Khushab via Sheikhupura, Pindi Bhattian, and Sargodha. From Khushab I leaded the gang, it being my territory. These guys had stayed the first night at Sargodha and reached Khushab around 9am and although we had another night stay to our credit at Naushehra I was well aware that we did not have enough time to visit

all the three lakes and return to Noshehra before it got dark so I naturally was in a bit of hurry. From Khushab, it is hardly a ride of some 20km till the mountain range starts. This series of mountains starts from Lillah i.e, the salt range and continues as far as the boundary of district Minawali. I have always loved cruising the twisty roads of the Soun valley mountain range. At some places the road is torn up and in pretty bad shape thanks to excessive r ecen t r ain s coup le d wi t h n o maintenance work and the ignorance of local politicians who are always in deep slumber upon the public rights. However torn roads do not tire us at all, we take it for an adventure, part of the fun package. We road as far as Kathwai where we took tea and in the meanwhile stopped at a few places to take some cool pics. From Kathwai we had to take the single road to Jahlar lake, located in a remote and deserted area of the Soun valley. Lucky for us that the weather was just perfect that it could be, cloudy sky with normal temperature with a wind blowing past us telling us that we were being welcomed. The air was clean and crisp clean of the pollution as we have it in Lahore and although I am an easy rider mostly, these open roads tend to ignite a thrill inside me somehow and at many places other riders of the gang

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Monthly AutoMark International

would leave far behind so I had to stop and wait for them. Moments would pass and I could hear off in the calm distance that ever so familiar tone of Uzair’s 4 stroke beast, then the gang members would become visible one by one, enjoying the beauty of nature as they ride through it; small fields with ready crop amidst green mountains, the sun rays sneaking past the clouds to make it all surreal, I love this part of the soun valley. The road turns into a primitive track from once we take the left run for Jahlar lake, we had to cross steep slopes on first gear, going pasts twists some of which tested our visitors from Lahore before we reached Jahlar lake. This lake gives a beautiful view of nature, it is a natural lake surrounded by mountains around it and the cloudy sky made it look even more magical, even the migrating birds perch around it before they move onward. The off-road track from Jahlar lake to Uchhali is also a test of skills and novice riders will not find it a piece of cake at some points but

since all of us are skilled riders we did it at ease, although with all the care that needed be. It was past 1pm when we reached Uchhali lake, another beautiful natural lake, its beauty heightened by the small patch of road that goes almost till the middle of the lake. Here we parked the bikes for some bike shots and also took some memorable pics of our own. At a distance of 25km from Uchhali lake toward East is the city of Naushehra,a central place in the Soun valley. We had pre booked a room for lodging here so we dropped our luggage and headed for Khabeki lake right away, which is at a distance of about 20km from Noushehra toward North East. Of all the three lakes, the Khabeki lake gave the most captivating view. The large tract of land by the side of the lake gave it a beachlike view. We drove our bikes through it to reach the bank of the lake. Highly magical was the view of sun here, going behind the hills; the sun rays peeping at us at times from behind the clouds. Our next destination was Kanhatti

garden situated at the far North end of the Soun valley, the road comes to an end here but the adventure does not. On the Kanhatti garden road, an offroad trekking track near a small village will take you to a historic Akrand Fort, but as we had neither enough time nor any idea of its exact location we kept on the road to Kanhatti. A minor electrical issue with Uzair’s Tornado had us ride through the dark as we returned to Noushehra where almost the whole city has fallen asleep as our gang reached the Mehria Hotel Noushehra. It was kind enough of the hotel management to open the kitchen for us and serve us with the dinner that we really needed before hitting the beds for a sound sleep. The next morning we took the regular road to return to Khushab. Return route to Lahore was via Faisalabad. It was our group’s first tour of this part of the country and certainly not the last. The next time we ride to this area, we plan to visit some other remote areas of the hidden heavenly land.

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Governmentâ&#x20AC;&#x2122;s achevenment

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Monthly AutoMark International

Metro bus heralds dawn of new Pakistan: Prime Minister

Prime Minister Mohammad Nawaz Sharif hailed the launch of the metro bus project in the twin cities on last week, saying, `This is New Pakistan. This is the ray of a new dawn. Inaugurating the 23-kilometre bus service, he said the development currently taking place in the country was unacceptable to `the enemy` and reiterated his government`s resolve to combat terrorism and the energy crisis to turn around the national economy. About the metro bus project, the PM said its timely completion was praiseworthy since, in the past, development projects had lingered on for decades, increasing their cost manifold. `This is called democracy. It can deliver. It should be allowed to deliver. None of the wars have been

fought during democratic governments` tenures. The country progressed under the democratic set-ups. Nuclear power and economic turnaround were also achieved under democracy,` he remarked. He congratulated the residents of Rawalpindi and Islamabad on the inauguration of the service and said visitors to the twin cities would also enjoy the state-of-the-art transport service. The project is expected to facilitate around 150,000 commuters from the twin cities with 68 buses plying initially. Twenty-four bus stations have been built across the 23km track that consists of a 8.6km elevated portion in Rawalpindi. Each bus will have the capacity to carry 150 passengers and will complete its route within 50 minutes.

The PM said that students who would normally be delayed by the inefficient erstwhile transport service would now enjoy secure and peaceful travel in the comfort of the air-conditioned and heated buses. He also pointed out that bus stations would also be equipped with WiFi services. He also congratulated his brother Shahbaz Sharif on completing the project within such a short period and assured the people that the government would ensure that public resources were used honestly and only for the welfare of the public. He announced that the federal government planned to introduce a Green Line Metro Bus Service in Karachi and also offered to help develop such a facility in Peshawar and Balocistan.

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Formula - Student Challenges

Monthly AutoMark International

NUST students build car to race in ‘Formula Student 2015'

Engineering students of NUST unveiled the NAS15, a new student-built car, to race in the world’s biggest student motorsport event, Formula Student 2015, a private media outlet reported. “Last year, we made it to the 52nd slot among 106 cars. This year’s target is to finish in the top 35,” said Afnan Ahmed, the team leader, in his opening speech at the unveiling ceremony of the car.

“The car will race against 135 teams from 28 different countries at two different competitions to be held in United Kingdom and Germany later this year,” he added. Formula Student challenges students to design, build and race a single-seat racing car in one year. The project is being sponsored by Interactive Group, whose Chief

Executive, Shahid Mahmud, shared his experi The project is being sponsored by Interactive Group, whose chief executive Shahid Mahmud stated,“Last year, I saw teams from different European countries that had sponsorships of one million Euros,” he said. “[In contrast], our car, NAS14, cost roughly 30,000 Euros.”

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