May 2017 by Mustafa Hanif

Generated by Foxit PDF Creator Â© Foxit Software http://www.foxitsoftware.com For evaluation only.

Generated by Foxit PDF Creator © Foxit Software http://www.foxitsoftware.com For evaluation only.

Contents Article / Review 16 20 23 25 29 30

Inside

May-2017

China Pakistan Economic Corridor Changing landscape of Heavy Commercial Vehicle (HCV) sector on the cards Exclusive Article by M. Owais Khan

50 years on 70cc motorcycles still rules the Pakistani market Exclusive by Ali Hassan

News / Event 15 19 24

Future of Scooty in Pakistan Exclusive reviewed by Zeenat Anjum

Yamaha in Pakistan It’s a second chance Exclusive article by Muhammad Zahid Iqbal Malik

Is Pakistani Government ban on Audi legit? Blog by Zeenat Anjum

Chinese Motorcycle assemblers and Retailers in Trouble due to Government’s Dual-Tax Policy Exclusive report by Ahsan Mirza

42 46

New Auto Policy and twenty fourth meeting of Auto Industry Development Committee (AIDC) Exclusive reviewed by Anwar Iqbal

The All New Suzuki Cultus 2017 officially Launched in Pakistan

Electric cars leading the charge in My Karachi Exhibition at expo center Karachi

Indus Motor Company unveils Rs4bln investment plan to expand production International Auto News

Honda launches 7-seater SUV in Pakistan Corporate News - Glimpses

Crown Group participate in Pakistan Auto Show 2017 as Gold Sponsor

Yamaha launches another 125cc motorcycle for Rs 115,900

Price List 41

Vehicles/cars price list

Motorcycles price List

Media Partner

7 - 9 May-2017

Generated by Foxit PDF Creator © Foxit Software http://www.foxitsoftware.com For evaluation only.

May-2017 Pakistan’s premier magazine on automotive, engineering & energy sector Volume 10, Issue 05

Monthly

AUTOMARK Magazine International Editor-in-Chief Muhammed Hanif Memon Technical Editor

Advisors

Imtiaz Rastgar CEO, Rastgar Group & Advertising Manager CBI External Expert, Ex-chairman EDB Tahir Siddiqui Islamabad Muhammad Shahzad

Circulation Manager Shahzad Raza

Graphic Designer Mustafa Hanif Salman Hanif

Web Master Murtaza Hanif

Contributors in THIS EDITION Ahsan Mirza M. Owais Khan Anwar Iqbal M. Hanif Memon Ali Hassan Zeenat Anjum

Engr. IHT Farooqui Chief Operating Officer Pak China Motors (Pvt) Ltd. Karachi M. Yousuf Shaikh Founder & Chairman Pakistan China Motorcycle Industry Council Karachi Syed Mansoor Rizvi Principal Officer M/s. CNH Services (Pvt) Ltd. Karachi Nadeem Ahmed Salmi Executive Director Operations M/s. Al-Haj Faw Motors (Pvt) Ltd. Karachi

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 Whatsapp & Wchat : +92 321 2203815

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

Electric Vehicles – When will Pakistan play tole in the future of the Global Automotive Industry? Auto Shanghai 2017 began on the 21st of April and ended on the 28th of April, bringing with it a look at the near future of the world's largest single auto market and the market of that world at large. Many of the world’s biggest automotive names took part at the exhibition, with several automotive giants including Volvo, Honda, Toyota, and Volkswagen announcing their intentions to starting and continuing the production of their electric cars in mainland China. Japan's Honda Motor will launch an all-electric battery car in China in 2018, as demand for plug-in electric vehicles expands in the world's largest automobile market. Volvo, too will produce its first 100% EV at their plant in Luqiao, Southeast China. Volkswagen, Europe's biggest automaker, plans to launch its first pure-electric car in China in 2018, as Beijing steps up pressure on the industry to promote alternatives to gasoline. General Motors Co.'s Buick unit and Ford Motor Co. have also announced new electric vehicles for China in 2017. And finally, Japan's Toyota Motor Corp will start testing hydrogen fuel-cell cars in China from October, part of an effort to determine the feasibility of selling its Mirai hydrogen electric passenger car in the market. Realizing that the future of the automotive industry belongs to electric vehicles, it is not surprising that almost all the world’s largest car manufacturers are shifting their attention towards the production of electric vehicles and are utilizing a large chunk of their resources on the constant innovation and development of this technology. So why is it that Pakistan is lagging so far behind in terms of research, development, and allocation of resources towards the production of electric vehicles as a global competitor? Super Power, recently launched its first line of EVs in Pakistan, with two variants being imported from China. It is high time that the Pakistani Auto industry gears up to start working towards locally engineered electric vehicles. This could be boosted by establishing agreements with Chinese manufacturers and assemblers to bring their production facilities, especially for EVs, to Pakistan. This could well prove to be financially feasible and a win-win situation for both Pakistan and China, since Pakistan has a lot of unused skilled labor, that is significantly cheaper than the labor in China. The fact that the Pakistani Auto Policy 2016-21 does not have any room that would help make the setting up of EV manufacturing and assembling plants in Pakistan for Chinese manufacturers, the government would have to look into the matter deeply to inject some impetus in the untouched EV-manufacturing territory. It must also be noted that Thailand has already ventured into several joint-partnerships with OEMs from all over the world, and the question beckons again – If Thailand can do it, why not Pakistan?

Note: The views expressed by contributing writers and comments do not necessarily reflect the views and policies of the Monthly AutoMark magazine's management

Generated by Foxit PDF Creator © Foxit Software http://www.foxitsoftware.com For evaluation only.

Monthly AutoMark International

Automotive News - Update

The All New Suzuki Cultus 2017 officially Launched in Pakistan

The wait is finally over and Suzuki has officially unveiled its latest family car for Pakistan. The already popular Cultus has received its first major upgrade in over 15 years and it comes on the heels of increasing competition in the market. The car sports a new design, improved engine, extended interior space, passenger safety features, superior security and much more. The price, has received a slight hike too.

Pak-Suzuki’s Managing Director, Hirofumi Nagao, says; This car has been manufactured considering the growth and demand by Pa kistani cons umers. Fr om development and production, I would like to thank PS vendors, workers and Suzuki Motors Japan in making Cultus dream a reality. “The company is proud of its 50 percent market share in Pakistan and its 35 year history with the country”, said Suzuki’s Global Managing Officier, Kinji Saito while making it clear the Pakistan holds great value for the Japanese car manufacturer. Let’s get down to what the car offers and whether the New Cultus will be able to fill the shoes of its predecessor which managed to sell 244,000 units until now. Suzuki says the car will be available in two versions; one called the Cultus VXR while the other is the top-of-theline VXL.

Exterior

From the first glance, it’s clear that the new model bears no resemblance to the Cultus of old. In fact, the new Cultus is actually a renamed Celerio. The new car has a much bolder design and looks like a modern city car. However, the hatchback has plenty to offer and looks vastly superior to its aged predecessor. The new design is a welcome change. Cultus 2017 sports fog lights and alloy rims. To top it all of the car comes in seven color options: • Pearl Red • Cerulean Blue • Sand Beige• Graphite Gray • Silky Silver • Super Pearl Black • White

Interior The interior is completely different from the older Cultus. Despite lesser width, the new model offers 254 litees of boot space. Central door locking, adjustable side mirrors, built-in multimedia Bluetooth connectivity are some of the new features. The backlit speedometer is nice addition as well. The higher end VXL edition gets all the top end features for some extra cash.

Engine & Performance Brand new Cultus comes with a K Series K10B 12 valve 3 cylinder 1,000CC engine and 5 speed manual transmission with front wheel drive. Power steering is a standard feature available across both

variants. With the new engine, Suzuki aims to offer better fuel efficiency and improved torque delivery. New transmission should also aid in fuel economy, easier gear shifts and reduced noise in the car cabin. Expect 50kW of output at 6,000RPM and 90Nm of torque at 3,500RPM.

Safety & Security Suzuki Cultus 2017 comes with keyless entry and an immobilizer as a standard in both versions. However, VXL gets 2 SRS airbags and ABS brakes by default whereas VXR offers them as optional upgrades. Seatbelts and rear seat child locks are standard as well.

Price & Availability The 5-seater family car isn’t exactly cheap but considering how much a Mehran costs, the new Cultus isn’t the worst in terms of price for performance ratio. The two variants will come with the following price tags while optional features will cost extra: • Cultus 2017 VXR – Rs. 1,250,000 • Cultus 2017 VXL – Rs. 1,391,000 • By default, all vehicles will come with the standard 3 year or 60,000km warranty (whichever expires first). • Suzuki’s latest family car will be available at all of its dealerships immediately. Those who want to test drive the car can do so by visiting any of Suzuki’s 3S dealerships.

www.automark.pk | May-2017 | Page 15

Generated by Foxit PDF Creator ÂŠ Foxit Software http://www.foxitsoftware.com For evaluation only.

Exclusive Article by M. Owais Khan

China Pakistan Economic Corridor

Changing landscape of Heavy Commercial Vehicle (HCV) sector on the cards

The China-Pakistan Economic Corridor (CPEC) has given a new business opportunity to the heavy commercial vehicle (HCV) assemblers to further expand their production base. One of the main benefits of CPEC is the opening of new jobs in both assembling and vending units as higher production and sales require new manpower. Transport operators and commercial vehicle users will now have an open market option to lift bus and truck as Chinese vehicles carry low price tag but Japanese products excel in quality /durability and good resale value. Some of the positive impacts of CPECâ&#x20AC;&#x2122;s upcoming $54 billion investment are related to infrastructure development, increased consumer buying power, growth in auto demand and stimulation of economic growth. Major industrial estates and clusters will be set up along the new trade corridors. The CPEC, to some extent, may threaten

the well-organized and decades old Japanese heavy vehicle assemblers as a number of Chinese assemblers with their low product price advantage are now set to provide a stiff competition to their Japanese counterparts. More Japanese units as well as European and Chinese companies will try to cash the soaring demand of trucks in Pakistan besides endeavoring to take most of the market share. So far the existing assemblers like Hino, Nissan, Isuzu and Master have not

shown any anxiety since they are enjoying sales boom period which is evident from their sales as reported by Pakistan Automotive Manufacturers Association (PAMA). Chinese companies operating at CPEC related projects are not directly lifting trucks from these local companies but the contractors of CPEC projects are procuring heavy vehicles. Market people say that Chinese companies are also gaining ground in small category of trucks for inter city movement of goods. Now these Chinese companies are introducing heavy trailers and trucks for carrying big loads which may pose a serious challenge to the existing market leaders. Some say that the market share of Chinese trucks (small to large) now hovers between 50-60 per cent now but other experts believe that Hino is still the market leader followed by Nissan and Isuzu trucks.

www.automark.pk | May-2017 | Page 16

Generated by Foxit PDF Creator © Foxit Software http://www.foxitsoftware.com For evaluation only.

Monthly AutoMark International Truck sales (Hino, Nissan, Isuzu and Master) swelled to 5,321 units in JulyMarch 2016-2017 from 3,751 units in same period last fiscal. Hino sold 581 buses in the last nine months of the current fiscal year as compared to 588 units in corresponding period last fiscal. The current fiscal year proved brought new laurels for Master Motors which sold 104 buses as compared to just 11 buses. Sale of Isuzu buses rose to 168 units from 101 units. Truck sale is considered as a barometer of economy and trade and the data of Large Scale Manufacturing (LSM) under Nawaz Sharif government has been continuously showing positive growth. The LSM should have been more impressive but country’s export has been suffering while imports are thriving. Trading and industrial activities augur well for increased demand of light to heavy trucks. Auto analysts say that full functioning of Gwadar Port and movement of Chinese goods would further give a boost to truck sales. The government has already given duty concessions on import of Chinese goods and machinery for CPEC related projects due to which arrival of these items have risen sharply.

despite a big challenge ahead to sale the products in a price competitive market. Sino Truck has been producing heavy vehicles for the last two years and it has prov ided 300 dumpers for the construction of M-9 motorway out of 700. R & R Corporation is providing 180 buses for Karachi Green Bus Project. Japanese assemblers and even a Sweden based company have not felt any serious challenge owing to rising number of Chinese companies in Pakistan either through assembly or importing

Surging demand of heavy vehicles has also encouraged new and old investors to take full benefit and incentives under new Auto Policy 2016-2021. One can see a mockery of green field investments had been witnessed since announcement of new auto policy. trucks. They believe that CPEC and other routes require high quality trucks for which Chinese truck makers cannot compete. However, they have a price benefit but operators and contractors prefer high

Some say that the market share of Chinese trucks (small to large) now hovers between 50-60 per cent now but other experts believe that Hino is still the market leader followed by Nissan and Isuzu trucks. The PAPS Auto Show held in March was also a good example of Chinese companies’ rising interest in Pakistan while Chinese citizens also participated in larger numbers. Some three Chinese companies and their representatives in Pakistan had put up their stalls to showcase their products while Sweden’s Volvo was also there. Surprisingly, there was no stall of Hino, Nissan, Isuzu and Master trucks

it aims to sale 100 in the current year and 120 in 2018. Some Chinese buses are also plying on the roads but in this category Hino is market leader followed by rising market share of Daewoo. Buses’ demand is rising due to increase in construction of motorways and other road networks especially in Punjab. Daewoo is assembling 30 buses per month while Utong by Master motors is rolling out 23 buses a month. Dysin had already introduced T-King HOWO-120, light duty commercial vehicle. The arrival of new investors from 2013-

quality and reliable trucks. Volvo has sold 82 trucks in 2016 while

2017 may not be more impressive but coming years appear highly promising for new investors to tap the CPEC related demand of heavy vehicles. T he g ov e rn me nt h as r ece i v ed seven applications for investment in auto sector (six in Greenfield from China and one in Brownfield from Korea). Regal Automobile Industries plans to assemble Van and LCVs followed by car by United Motors Limited, LCV, cars and SUVs by Habib Rafiq Limited, LCVs by Khalid Mushtaq Motors and LCVs, passenger cars and SUVs by Kia Lucky Motors. Daehan Dewan Motors intends to assemble LCVs and SUVs. Surging demand of heavy vehicles has also encouraged new and old investors to take full benefit and incentives under new Auto Policy 2016-2021. One can see a mockery of green field investments had been witnessed since announcement of new auto policy. There have been some reports of genuine new investors interested in country’s auto industry but some old

Ministry of Industry Government of Pakistan

www.automark.pk | May-2017 | Page 17

continued on next page

Generated by Foxit PDF Creator © Foxit Software http://www.foxitsoftware.com For evaluation only.

Monthly AutoMark International

Exclusive article - continued

The Auto Industry Development Committee (AIDC) in its recent meeting is reported to have approved brown field status for Dewan Farooque Motors Limited (DFML) which is surprising keeping in view past performance of Dewan Motors especially in destroying Hyundai Santro and Shehzore vehicles due to financial problems players are using the new entrant policy to enter the market again as new entrants with different companies / principals. For example, Dong Feng wants to reenter the market as a new player again with Regal Automotive Industries Ltd whereas it has already been working with Tayyaba Motors. Al Haj FAW is another interesting case in this regard. The Auto Industry Development Committee (AIDC) in its recent meeting is reported to have approved brown field status for Dewan Farooque Motors Limited (DFML) which is surprising keeping in view past performance of Dewan Motors especially in destroying Hyundai Santro and Shehzore vehicles due to financial problems. Bad luck for the struggling Al Haj Faw Motors as the AIDC rejected its application for Greenfield status. DFML plans to produce Shehzore LCV and Ssangyoung SUV vehicles. Earlier, DFML plant operations was initially shut down in October 2010 (with in hand stocks of 908 kits of CKD including 210 Santro and 698 of Hyundai Shehzore. After special approval of AIDC in 16th meeting the company resumed production from September 2013 to February 2014 to consume left over inventory. At that time DFML did not have an agreement with the principal for further import of CKD and the company just wanted to utilize the CKD already lying with the company. As per ADP 2016-21 – Brownfield investment is defined as revival of an existing assembly and or manufacturing facilities that is non operational or closed on or before July 1, 2013 and the make is not in production in Pakistan since that date. Al-Haj FAW Motors (Pvt) Ltd, had sought for Greenf ield status to

manufacture cars. EDB had sought advice from the committee keeping in view the investment categories i.e. Greenfield Investment or Brownfield Investment as provided in the new Auto Policy. The committee was of the view that the policy in the present form and shape had no room for declaring an existing player Greenfield investment. Extending any incentive to Al-Haj FAW would require a change in the policy. This however, was not possible before two years when the policy could be reviewed and recommendations made to ECC for i n i t i a t i n g a n y ch a n g e . F B R' s representative was quite vocal and took a firm stand on the FAW proposal. The committee was briefed as a background to the issue that SRO 656(1)/2006 laid down as a mandatory requirement that OEMs manufacturing HCVs in the country had an in house E.D paint facility. However, in the Budget 2016-17 it was made mandatory for all car and LCV manufacturers too. The Japanese origin car manufacturers already had the facility. Now those LCV manufacturers who are lacking in this area are approaching EDB for some relaxation as establishing a facility requires time and investment. The EDB posed two questions to the AIDC committee members: (i) time period for which the requested relaxation can be provided; and (ii) can relaxation be provided to new investors applying under ADP 2016-21? The committee agreed to grant relaxation up to June 30, 2018, to the existing players for putting up the E.D paint facility. However, a common understanding among the committee was that the new investors who were putting up the plant should be able to bring in the E.D paint facility as part of the project. The committee was presented an

int erest ing case where two manufacturers seemed to have approval from the same Chinese principal for manufacturing almost the same product. Regal Automobile Industries Limited (RAIL) had applied for Greenfield i nv es tm ent i nce nt i v es f o r th e production/assembly of LCV and minivan/bus. RAIL had a technology transfer agreement with DFSK Motor Co Ltd which is a subsidiary of Dong Feng Motor Corporation of China. Tayyaba Motors who also had a manufacturing licence from EDB raised objection that since they already were producing the same vehicles -RAIL could not claim Greenfield status. Since it was a matter of ascertaining facts, the committee members were generally of the view that EDB officials should get the required information like patents and confirmation from principals directly. Also they need to confirm if the product was in fact same or different. It was felt that decision if any would be possible only after committee had access to all the relevant facts. Market sources said Regal Automobile industries Ltd. had almost completed 100 per cent work. They got certified by CCPIT China and Embassy of Pakistan in China. Plant is ready for production except ED. Its ED operation is also under process. AIDC received letter from Tayy aba moto rs that t hey are manufacture of Sokon and Regal DFSK are same. Regal has shown evidence that Tax number, year of establishment of both companies, Models are different from Sokon. Regal got all legal documents from their manufacturer and submitted to department. According the company’s representative, hopefully, they will get green field status and create new jobs to make Pakistan prosperous and shinning.....

The committee was of the view that the policy in the present form and shape had no room for declaring an existing player Greenfield investment. Extending any incentive to Al-Haj FAW would require a change in the policy. This however, was not possible before two years when the policy could be reviewed and recommendations made to ECC for initiating any change. FBR's representative was quite vocal and took a firm stand on the FAW proposal. www.automark.pk | May-2017 | Page 18

Generated by Foxit PDF Creator © Foxit Software http://www.foxitsoftware.com For evaluation only.

Pirani Group introduced E-Car in Pakistan

Monthly AutoMark International

Electric cars leading the charge in My Karachi Exhibition at expo center Karachi

The trend of Smart Cars is gradually increasing across the globe because they are ideal for a single person who wants to explore the entire city and beyond. However, the news about the Smart Car, or Mini Electric Car,that is circulating over the social media channels is co mp l ete ly d i ffere nt f rom t he international standard Smart Cars. After the launch of Scooty, Super Power Pakistan have launched the Super Power Mini Smart E Car at the ‘My Karachi Exhibition 2017’ at Expo Center Karachi, on 7th April 2017. These are maintenance-free cars and do not require any petrol or CNG as a fuel. Few batteries will do the work of the fuel. The importers claim that no overhauling

or repairing cost will be incurred, as it doesnot contain a physical engine, and therefore will not require tuning of the engine, replacement of filter, oil changing, or any other maintenance like traditional cars. The company has not revealed too many specifications of the car except that it is a two and four-seater electric car with automatic gear, AC, power windows, and sunroof. It can cover the distance of 120 km per charge. The idea behind introducing the Super Power Mini Smart E Car in Pakistani market is to make the lives of people hassle-free.The people frequently buy fake parts for their vehicles and keep wasting their time and money on the same.The concept of the E Car is to save

time and money. Once available, this car will take almost four to five hours to get fullycharged. So, the load shedding situation must be accounted for before buying the car! Additionally, the duties imposed on the imported EVs amount to almost 50%, which makes these cars difficult to afford for the majority. Director marketing and sales Mr. Naveed Pirani told Automrk that the Pirani Group have written to the Secretary of the Pakistan Chamber of Commerce, and have asked him to reduce the taxes and duties on Imported Electric Vehicles from 50% to 0-5% for the upcoming fiscal year’s budget, to ensure that the cars become more easily accessible and available for the Pakistanis to buy.

www.automark.pk | May-2017 | Page 19

Generated by Foxit PDF Creator © Foxit Software http://www.foxitsoftware.com For evaluation only.

Exclusive Article Ali Hassan Automotive Sectorby - Update

Monthly AutoMark International

50 years on 70cc motorcycles still rules the Pakistani market

M. Sabir Shaikh

In 2016, some 100 units had closed down their assembling units leaving only 25-26 potential assemblers in the country to compete with each other. Out of 25-26 units – three are Japanese bike assemblers while seven Chinese units are doing a roaring business and making profits. Rests are struggling for their survival due to no change in models, he claimed.

More than 50 years have gone but Pakistan has still been assembling /producing same 70cc model which was introduced by Honda Japan in 1960s. The 70cc bike has witnessed only one change in its appearance like the introduction of big CD 70 in 1993. However its body parts were of 90cc bike but engine and frame were same as of 70cc. Since 1960s the 70cc bike did not see any noticeable and attractive changes in its design and technology. In 2002 the bike industry saw a big revolution when Shaukat Aziz was Finance Minister as he decreased CBU rate of customs duty on bike to 75 per cent from 105 per cent. This change proved a big relief for the consumers as well as for the new investors. From 1965-1975 – three Japanese – Suzuki, Yamaha and Honda plus Vespa scooters were enjoying monopoly in two wheelers which remained till 19981999. Recalling some ups and downs in the two wheeler industry, Chairman Association of Pakistan Motorcycle Assemblers (APMA), Mohammad Sabir Sheikh said during 1998-1999 three Chinese firms – KMW-Qingqi, Sohrab

Unfortunately, he said the three Japanese assemblers have been selling bikes of same engine and frame for decades with minor cosmetic changes available in different shapes. Honda CG-125 has three models – one is CG-125 at a price of Rs 105,500 which is more than three decades old. Its same engine and frame model known as Honda CG-125 Dream costs Rs 106,400 and on same engine and frame another model is known as Honda 125 Deluxe carrying price of Rs 125,000. Yamaha based on same engine and frame is making three different models in which one is Yamaha YBR-125 at a price tag of Rs 129,900 followed by another model Yamaha YBR-125G of same engine and frame with cosmetic changes in body parts is tagged at Rs 133,900. The third model of same engine and frame is called Yamaha YB-125-Z and its price is Rs 115,900. The third Japanese assembler is Suzuki whose model Suzuki GS-150 sells at Rs 133,500. Based on same engine and frame Suzuki GS-150-SE carries price of Rs 158,500 while another model based on 100 per cent imported parts – Suzuki GD-110S is priced at Rs 131,000, he added. Chairman APMA, questions “where is the new technology and achievement in the last 50 years.” Pakistan has made no headway in technology transfer, innovative designs and fuel efficient models.

www.automark.pk | May-2017 | Page 20

Generated by Foxit PDF Creator © Foxit Software http://www.foxitsoftware.com For evaluation only.

Monthly AutoMark International and Hero plunged in the market with Chinese based engines and body parts at a price of less than 30 per cent than Honda CD-70. In 2001-2002 – when Shaukat Aziz changed customs duties – some four to five Chinese based assemblers like Rocket Khalid, Guangta Sitara, Jinan Shafiq, Super Star Memon and Dewan Star took the risk of starting assembly of replica CD-70 in Pakistan. This was a perhaps a game changer in the two wheeler segment in the country, he said. In 2006, Sabir said the government gave a go ahead signal to more than 25 assemblers to roll out Chinese based replica 70cc bikes. In the same year, deletion program was abolished and tariff based system (TBS) was introduced. By 2011, the Engineering Development Board (EDB) had approved more than 90 bike assemblers under TBS. But the huge investment in bike sectors by private businessmen could not sustain and due to stiff competition among the assemblers – a number of assembling units had packed up their business. The same period saw a number of cases like sales tax evasion, heavy under invoicing, smuggling of spare parts from China, misdeclaration of weight and names of bike parts and rising trend of giving bikes to the dealers by the assemblers

(credit facility). This was because of single 70cc model on which every assembler had taken the risk, he said. APMA chief said from 2011 to 2016 some

Sabir said if the company claims to have achieved over 90 per cent localization in bike vending technology then why it has applied for duty concession up to 75 per cent imports of parts for assembling. The customs duty on import of parts for assembling is 45 per cent but it is too high and should be brought down to 30 per cent, Sabir said that dollar rate is very high and there is a need to lower duty rates. The government charges 50 per cent customs duty on import of CBU bikes which is too high in view of high dollar value. This duty should come down to 40 per cent, APMA chief urged the government. The overall slab of general sales tax is 17 per cent on almost all items but it should be cut to 15 per cent which will curtail tax evasion besides increasing government’s revenue.

more assemblers were added making a cumulative total of 125 assemblers in the country whose population is now over 200 million. In 2016, some 100 units had closed down their assembling units leaving only 25-26 potential assemblers in the country to compete with each other. Out of 25-26 units – three are Japanese bike assemblers while seven Chinese units are doing a roaring business and making profits. Rests are struggling for their survival due to no change in models, he claimed. The new Auto Policy 2016-2021, Sabir said, is now one year old in which the government had not made any changes in the policy relating to bike industry. Unfortunately, he said the three Japanese assemblers have been selling bikes of same engine and frame for decades with minor cosmetic changes available in different shapes. Honda CG125 has three models – one is CG-125 at a price of Rs 105,500 which is more than three decades old. Its same engine and frame model known as Honda CG125 Dream costs Rs 106,400 and on same engine and frame another model is known as Honda 125 Deluxe carrying price of Rs 125,000. He said Yamaha based on same engine and frame is making three different models in which one is Yamaha YBR125 at a price tag of Rs 129,900 followed by another model Yamaha YBR-125G of same engine and frame with cosmetic changes in body parts is tagged at Rs 133,900. The third model of same engine and frame is called Yamaha YB-125-Z and its price is Rs 115,900. The third Japanese assembler is Suzuki whose model Suzuki GS-150 sells at Rs 133,500. Based on same engine and frame Suzuki GS-150-SE carries price of Rs 158,500 while another model based on 100 per cent imported parts – Suzuki GD-110S is priced at Rs 131,000, he added. Chairman APMA, Mohammad Sabir Sheikh questions “where is the new technology and achievement in the last 50 years.” Pakistan has made no headway in technology transfer, innovative designs and fuel efficient models. The local industry has taken decades to shift from Euro I to Euro II technology while India is gearing for Euro V and EFI system and where the 70cc bike does not exist.

www.automark.pk | May-2017 | Page 21

continued on next page

Generated by Foxit PDF Creator © Foxit Software http://www.foxitsoftware.com For evaluation only.

Monthly AutoMark International He said the local industry especially a leading bike assembler claims to have achieved over 90 per cent localization including engine parts but surprisingly the company has applied for approval of 150cc model to the ECC for 10 per cent customs duty for the import of 75 per cent parts. Sabir said if the company claims to have achieved over 90 per cent localization in bike vending technology then why it has applied for duty concession up to 75 per cent imports of parts for assembling. The customs duty on import of parts for assembling is 45 per cent but it is too high and should be brought down to 30 per cent, Sabir said that dollar rate is very high and there is a need to lower duty rates. The government charges 50 per cent customs duty on import of CBU bikes which is too high in view of high dollar value. This duty should come down to 40 per cent, APMA chief urged the government. The overall slab of general sales tax is 17 per cent on almost all items but it should be cut to 15 per cent which will curtail tax evasion besides increasing government’s revenue. He said the government should consider registering all the dealers of new motorcycles in the retail stage. This will help curbing sales tax evasion. However, he noticed that a change is coming in the market as some Chinese bike assemblers have started importing 150 to 200cc models from China to check the market response so that they can assemble in future as Pakistani market may see a shift from 70cc to higher engine models. To some extent this change has started but it will take

to 241,067 units from 192,204 while Road Prince bike sales also climbed to 155,232 from 113,813 units. Mar k e t an a l y st b e l i e v e d t ha t improvement in law and order situation and better production of various crops like wheat, sugarcane and slight improvement in cotton also encourages bike sales in rural areas. Many dealers are also offering attractive package on sale of bikes on installments.

time to pick up speed. Some assemblers are importing 100 per cent parts for the local assembly of these heavy bikes. Some importers have started bringing heavy bikes from China in CBU in order to check the consumers’ response. Sabir said a number of assemblers including Japanese started sales of costly models on monthly installments to direct customers through banks and dealers on suggested cash price of retailers. This shows that most of the buyers still prefer cheap bikes rather than costly bikes. This is one of the main reasons for the hot sale of 70cc bikes in Pakistan. According to figures of Pakistan Automotive Manufacturers Association (PAMA), Honda bike sales swelled to 711,395 units in July-March 2016-2017 from 601,764 units in same period last fiscal. Suzuki sales inched up to 13,599 from 13,119 while Yamaha bike makers continued to struggle as its sales dropped to 8,648 from 12,380 units. The second highest bike maker – United motorcycle further strengthened its sales

However, the decades old Honda CG125 remained a hot selling cake for the bike lovers in the last two years. It is not clear whether Atlas Honda is not coping up with huge demand or its dealers artificially create demand and supply gap resulting in premium on bike. Dealers know that impatient buyers are ready to pay hefty premium and take the delivery of bike Rs 117,000-119,000 depending on its black and red color while the company’s original price is Rs 105,500 exclusive of Rs 4,000 for lifetime tax and registration. If the buyers do not have surplus cash for paying premium then they have to book the bike and wait for delivery for 15 days to one month. Instead of taking any action the company has not taken any serious action against its authorized dealers of charging premium. The government is also watching the situation from the sidelines as to why the menace of premium has been going on for the last two years on CG-125 despite increasing production as claimed by the company.

www.automark.pk | May-2017 | Page 22

Generated by Foxit PDF Creator © Foxit Software http://www.foxitsoftware.com For evaluation only.

Exclusive reviewed by Zeenat Anjum

Monthly AutoMark International

Future of Scooty in Pakistan The possible future of the scooty has become a disputed topic. Majority of the female population from the urban areas of Pakistan believe that it is a good alternative vehicle for those who cannot handle the hassle of a car. Many of the people also think that the effects of introduction of scooty in the society would be inappropriate Scooty…a word that has become one of the “buzz words” in Pakistan. Scooty in Pakistani market does not merely refer to a 2-wheeled vehicle, but it also possesses an empowering perception of its own. Scooties are specially meant for female transportation, and with the commercialization of scooties, an invisible barrier of societal pressure on females could be broken. However, this perception is taboo for many,and there are women drivers in Pakistan who drive cars, even for a living. Nevertheless, with such an initiative, the women of Pakistan would feel more empowered and equivalent to men. Stu dent s, t eachers, and y oung professionals are already fond of this new initiative and are supporting the cause that would empower the female population of Pakistan. With the development of society, females are getting education on the same grounds as men and marking their roles towards the betterment of Pakistan. Whether its education, health, welfare, or the social sector, women are striving hard to make themselves empowered. One of the biggest advantages that will happen on the society would be shift of maledominant mentality, if such a movement penetrates. There are different countries around the globe that have commercialized scooties for the female population. Even our neighboring country, India, has passed an anti-harassment law for women who travel via public transports or on scooties. But will the same conditions

be applicable in Pakistan? The possible future of the scooty has become a disputed topic. Majority of the female population from the urban areas of Pakistan believe that it is a good alternative vehicle for those who cannot handle the hassle of a car. Many of the people also think that the effects of introduction of scooty in the society would be inappropriate. Having viewed the statistics, I think that scooty does not hold a bright future in the long run,until few changes are made on the roads of Pakistan. Having said that, the major factor that justifies this eerie statement are bad road conditions. Not only rural, but the roads of the urban ar ea s o f P ak i st a n a r e p o o rl y structured,which leads to several hundred accidents daily. Although, the introduction of scooty would be a positive step towards facilitating 51% of the population but the roads need to be smoothened, cleaned, and made safe for the common people, not just for the localities of DHA or other elite housing societies. Having said that, I come forward with my second factor –safety. Belonging to Pakistan, the mentality of men here has come out to be more dominant. To compete and excel in this technological era, boys and girls are brought up in the

same environment but with different social values. Hence, the acceptance in this society by men to allow their homely females on the roads wo u l d be a b i t Zeenat Anjum unacceptable. This again takes my ground on the fact that our culture has many barriers that our religion does not impose, but is nevertheless imposed by this culture. Within this culture, a third factor resides that relates with the psychological state of mind of the people from this culture. The human mind in general holds the property of differentiating between the good and the bad yet becoming biased, at times. This means that people of this culture majorly have strong roots and circulate the same among their younger generations. Hence, unacceptability and intolerance to this new wave of culture will take time to settle. This opposition would be strong in the rural areas of Pakistan whereas the urban areas might accept it partially. The commercialization would although be a chain-breaking movement by the automobile industry for the female population but it is the mindset that needs rectification primarily. About the writer: The writer is an engineer by profession but writes out of passion. She is a striving young MBA graduate who has an entrepreneurial venture of her own.

www.automark.pk | May-2017 | Page 23

Generated by Foxit PDF Creator © Foxit Software http://www.foxitsoftware.com For evaluation only.

Monthly AutoMark International

Automotive News - Update

Indus Motor Company unveils Rs4bln investment plan to expand production The planned capacity enhancement would bring the production to 75,000 vehicles a year. “Pakistan’s auto industry future looks very promising,” IMC Chief Executive Officer Ali Asghar Jamali told media at its third auto workshop. Indus Motor Company Limited (IMC), a country’s leading automaker, on Saturday unveiled four billion rupees investment plan to expand its annual production capacity by 200,000 units in a bid to capitalise on the growing consumer demand. Currently, IMC holds an annual production capacity of 54,800 units, which are sold under the brand name of Toyota. The planned capacity enhan cement wou ld bri ng t he production to 75,000 vehicles a year. “Pakistan’s auto industry future looks very promising,” IMC Chief Executive Officer Ali Asghar Jamali told media at its third auto workshop. “I am hopeful that Pakistan will be producing 500,000 cars per year by 2022,” Jamali said. The demand for local as well as used cars has exponentially been growing for the last three years due to overall improvement in the macroeconomic activities. Despite being a world’s biggest denselypopulated country, Pakistan has, however, not seen rapid motorisation. The country has only 16 cars per 1,000 people. By 2020 the ratio is likely to reach 20 cars per 1,000. Industry experts are expecting a fast growth in car sales due to growing and young middle-class in the country. The experts said the country is the third largest growing economy in emerging market and it could benefit from the ongoing $57 billion worth of China-Pak Economic Corridor (CPEC) projects. IMC recorded five percent drop in sales during the July-February period of 2016/17, but in light commercial vehicle -- vans and jeeps – sales of Toyota Fortuner increased to 568 during the peri od fro m 368 u ni ts in t he

corresponding period. Analyst Sohaib Subzwari at Taurus Securities Limited attributed the fall in sales to “strong demand for Honda Civic and operational issues restricting production.” Subzwari, however, said the growing construct ion and road network development activities on account of CPEC would contribute to growth in volumes of heavy and light commercial vehicles. In July-February, IMC emerged as the second leading player by number of sold vehicles. Pak Suzuki was the first, while Honda was the third. The government recently announced auto policy 2016-21 containing a number of incentives for Greenfield and Brownfield projects in the country’s Japanese-dominated auto market. IMC started its operation as a joint venture of House of Habib of Pakistan, Toyota Motor Corporation and Toyota Tsusho Corporation of Japan in 1989. Analysts said auto industry generally feels comfortable about the new auto policy, which they say has provided a solid road map to the investors to plan investment for a long period. On premium (own money) and black marketing, Jamali said the government

should impose Rs100,000 as a levy per car if the first owner sells it within six months of the purchase. “This will eliminate the middleman and investors who create artificial shortage of cars in the market,” he added. Car manufacturers said import of used cars poses the biggest threat to the local industry’s survival. “We purchase local parts of Rs150 million on every working day, which becomes Rs40 billion per year,” said IMC executive. Pakistan imports more than 46,500 used cars in a year, around 15 percent of the total car sales of 283,000 units in 2016. Aamir Allawalla, ex-chairman of Pakistan Association of Automotive Parts and Accessories Manufacturers (Paapam) said import of five-year old used vehicles dented the industry as it led to shutdown of several plants. “New variants to be introduced by local players in the next years would, however, give a tough competition to the imported cars,” Allawalla said. He said local industry wants long-term auto policies to get return on their investment and in order to avert ‘sudden shocks’. A huge investment in the sector has been planned, he added. The industry leader said Chinese companies are establishing auto industry in Gwadar on a 400-acre land. International automotive brands, such as Renault-Nissan, Kia and Hyundai have also expressed their interest to invest in auto assembling in the country. Chairman Paapam Mashood Ali Khan said the association’s members have started investment in production expansion in view of increasing demand of vehicles.

www.automark.pk | May-2017 | Page 24

Generated by Foxit PDF Creator © Foxit Software http://www.foxitsoftware.com For evaluation only.

Exclusive article by Muhammad Zahid Iqbal Malik

Yamaha in Pakistan It’s a second chance When a bike with alloy rims, disc brake, sporty style, Yamaha brand name could not find success against CG-125 (Honda), then has someone tried to find the main cause (of problem faced)? I being a rider and considering views of riders from all over Pakistan must share that there are few issues that need to be reconsidered. I know that it will be difficult to make changes for enhanced and faster acceleration but price can be an option to discuss for better results

Yamaha has come Pakistan to test itself for second time. But there is a major difference in both situations. In first case Dawood group and Yamaha were jointly manufacturing and marketing the Yamaha motorcycles. But second chance is a better option for Yamaha. Yamaha Pakistan is single entity and has full control of steering of the car. Moreover, it has been also heard that the Government of Pakistan has supported Yamaha Pakistan well for their re-entry to Pakistan. Now while I am writing this article, decent time has been gone, since the launch of Yamaha Bikes in Pakistan. So, let’s discuss whatsapp there.

Yamaha YB R-125 Honda CG-125:

Yamaha YBR-125’s one on one competitor is Honda CG-125. Now, do you think that this competition was won by YBR? Taking views of users, CG-125 can’t be compared with YBR-125 due to its pick-up, sound, easy handling (due to size), price, resale, spare parts & service availability. Above all, the huge network all over Pakistan. After all this, let me share a simple & short story. Many riders went to YBR as it was dashing bike in looks and was a good change in the market. Above all, it was Yamaha Brand name. Ultimately, this movement of riders resulted in betterment in sales graph. One more factor which played important role is that as it was new thing, so no one had experience of riding YBR, so all of them assumed that it will be a better option in all respects. Then we noticed the upward graph of accessories sellers. Do you know why? The users of YBR were feeling the lack of something that was an important part

of their riding life i.e., the thrilling sound of Honda CG-125. Though they did changes to YBR bikes in order to fill their thirst but the bike, even with many additions was unable to meet the target. So, we witnessed many used Yamaha YBRs on sale at local markets and also online. This is one important reason that Atlas Honda has seen very good sales of heir CG-125 model in recent times.

Bike priced @ PKR.1,30,000/- but still incomplete: The Yamaha YBR & YBR-G have been priced at highest level in 125cc category of Pakistani market. With this price it should have been a bike wit h EVERYTHING. But Engine Off button that was available in 1990 model Kawasaki GTO 110 & 125, 2008 model Piaggio Storm 125, 2006-17 Suzuki GS 150 is absent in Yamaha YBR. Pass-On light option is available in 2008-12 Piaggio Storm, 2015-17 Suzuki GD-110 but absent in Yamaha YBR. YBR is believed to be a sporty design street bike in Pakistan but they did not offer a real sporty fuel tank cap. Whereas 2008-12 model Piaggio Storm has offered this in Pakistan.

Product should justify price: Famous 150cc bike of Japanese brand is between PKR.135000 to PKR.140000. This bike is liked because of its biggest Pakistani made engine, giant looks, comfortable ride and brand name. This is GS-150 from Suzuki. A very famous and favorite bike that has turned into a cult, a 125cc bike of a Japanese brand is between PKR.105000 to PKR.110000. This very famous machine is known for its acceleration (aka Pick-Up), DurDur

www.automark.pk | May-2017 | Page 25

Generated by Foxit PDF Creator © Foxit Software http://www.foxitsoftware.com For evaluation only.

Monthly AutoMark International sound, easy handling, good resale, 3S country wide facility and brand name. This is CG-125 from Honda. Honda CG125 has highest sales in its category, so we can say that it is justifying the price well. Moreover, once a bike has crossed One Lack mark, it must have guts to justify this Price Tag. Considering both above, how one would justify YBR-125 (125cc) from Yamaha at price range of PKR.1,25,000 to PKR.1,30,000?

Did Yamaha Pakistan brought new techniques of business in Pakistan? Can 70cc/100cc class thinking handle such products? Sometimes, the teams who have been working in a specific environment and with a specific style cannot change themselves easily. As per our information, the Yamaha Pakistan team has many members that have worked for Dawood Yamaha. As they have been managing Yamaha Royale 100cc for many years and then DYL 70cc bikes for quite some time, so it might be difficult for them to adjust themselves as per requirements of an international model(s).

What do you want? Conversation between Mr. CG, Mr. GS and Mr. YBR: Mr. CG: Hello Mr. GS: Nice to see you Mr. YBR: Hello all, thanks for welcome Mr. CG: What is your price Tag? Mr. YBR: Around PKR.1,30,000 Mr. GS: I think you are 125cc Mr. YBR: Yes, why? Mr. GS: I am 150cc and priced at PKR.1,35,000 Mr. YBR: Mr. CG, why are you silent? What is your price? Mr. CG: I am just wondering about you. What do you want? If you don’t know me well, then I must tell you that I am top selling Brand of Pakistan in 125cc category, infact I challenge Mr. GS(which is 150cc) too and feel proud because in most of times I am the winner. I am best in Power To Weight Ratio, my parts are available all over Pakistan at reasonable rates, mechanics play with me, riders enjoy with me. Though I am small in size but easy to handle, rider can do many stunts using a CG-125. Mr. GS: I must tell you Mr. YBR, I am biggest bike of Pakistan with biggest engine, comfortable seat and suspension and I am here since 2006. Please tell us

why are you here and what do you want? Mr. YBR: Dear both let me be very clear. Actually I am here to compete with Mr. CG as both of us are from same category i.e., 125cc. I can say I want to defeat Mr. CG. Considering my legacy, Yamaha P a k i s t a n t e a m p r i ce d m e a t PKR.1,30,000. They might have a belief that I could defeat Mr. CG. I am not the top selling brand here and don’t have even second highest sales but Yamaha Pakistan team might have thought that I can defeat you Mr. CG. Neither I can challenge GS nor I am good at Power to weight ratio, but Yamaha Pakistan team priced me at PKR.1,30,000. I am beautiful, I am good looking, I am hot, I have alloy rims, disc brake, fuel gauge, and gear indicator. And I know both of you lack these facilities. Yamaha Pakistan team might have thought that these qualities would be enough to justify my price. Yamaha Pakistan team might have in mind that today, the customer wants these things, you know show-off. Mr. GS: Oh really, I didn’t know that. I will talk to Pak Suzuki Team about all this. Bye guys. Mr. CG: Considering everything you have, considering all models your company will bring against me alone, I want to make one thing clear that I am not a bike today, I have become a cult. You might feel good for the time being with the help of your brothers (YBR-G 125 & YB125Z) but ultimately I will rule. If you want to defeat me, you will have to capture the mind & heart of Pakistani customer who loves my sound and enjoys the Pick-Up I offer. I am not a bike only, I am a culture today. Technically speaking, Yamaha can offer economical pricing options? Yes because of few things, I believe. Those few items that are common in their three models. Copying views of riders from different cities, I would share that the Engine, Chassis, Rear Cowling, Meter, etc are common in three models (YBR, YBR-G, YB125Z). Fuel tank, seat, handle grips etc are common in YBR and YBRG. So, economies of scale philosophy should help Yamaha to offer better prices. This will really help Yamaha.

Lesson Learnt: Now, considering all what has happened so far, has Yamaha learnt any lesson? It must be visible in their new project of YB125Z.

Let me quote a simple example of Mr. X@LHR. A boy Mr. X@LHR was impressed by Yamaha YBR-125 because of it’s stylish designing, so purchased the YBR after selling his CG-125. As the bike was new, he completed Running Period carefully. But, his feelings were pushing him for something. So, he changed the silencer with one that could give more sound. Later, when running period was complete, he started riding his bike faster. At that particular time, he was able to use the YBR at higher speed. But soon he realized that after buying a bike of around PKR.1,30,000 and then spending PKR.15,000 to PKR.20,000 on it, his thirst of riding a powerful two wheeler is still there. He tried his best to compromise but he could not, so he went out to the market and sold his YBR-125. And yes, he had to face bigger loss than he faced in case of CG-125. Mr. X@LHR sold a bike (CG125) of around PKR.1,00,000 plus and invested around PKR.1,50,000 (or little less) for a new bike (YBR-125), but his thirst was filled by his first choice(CG125). Mr. X@LHRcould not be attracted by the features YBR has. Moreover, he spend PKR.50,000 more on YBR-125 to satisfy his heart but could not. Has Yamaha Pakistan Team learnt something from past? Are the sales figures of Honda CG-125 coming down and YBR-125 going up? Do try to find out. The lesson learnt is clear from the launch of YB125Z by Yamaha at a price of PKR.1,15,000 (which is again more than CG-125). When a bike with alloy rims, disc brake, sporty style, Yamaha brand name could not find success against CG-125 (Honda), then has someone tried to find the main cause (of problem faced)? I being a rider and considering views of riders from all over Pakistan must share that there are few issues that need to be reconsidered. I know that it will be difficult to make changes for enhanced and faster acceleration but price can be an option to discuss for better results.

I think Yamaha Pakistan Team can take YBR-125 as case study for expecting better results from YB125Z. About writer: Mr. Muhammad Zahid Iqbal Malik, Founder & Head of Safe Riding – Road Safety Dept. of Pakistan Bikers Club (Since 2007)

www.automark.pk | May-2017 | Page 26

Generated by Foxit PDF Creator © Foxit Software http://www.foxitsoftware.com For evaluation only.

Monthly AutoMark International

Automotive News - Update

X200 Nissan Jac Motors joint venture trucks to launch in Pakistan Ghandhara Nissan is all set to launch a joint venture with a Chinese company. The car manufacturer will be launching the X200 Nissan Jac Motors Joint Venture Trucks in Pakistan soon. Ghandhara Nissan and X200 Nissan Jac Motors Joint Venture Trucks agreement with Anhui Jianghuai Automobile Group Corp LTD. The Chinese company is also known as JAC Motors. In a recent notice to the Pakistan Stock Exchange (PSX), the company Secretary, Shehryar Aslam, confirmed that the agreement of X200 Nissan Jac Motors Joint Venture Trucks had been finalized. Through an exclusive cooperation agreement, Ghandhara Nissan will import, assemble and distribute the Chinese company’s commercial vehicles in Pakistan. Initially, the Pakistani manufacturer has announced that the Model X200 will be launched in Pakistan. Since the announcement, Ghandhara Nissan has seen its shares hit the upper lock limit in the second session of trading. JAC Motors is one of the most popular

car manufacturers in China. While it manufactures both commercial vehicles and cars, the company is launching its X200 commercial truck in Pakistan for now. Let’s take a look at what the vehicle has to offer and whether it can differentiate itself from competition.

Exterior At first glance, the JAC X200 looks familiar to a local commercial truck, Hyundai Shehzore, but upon closer inspection there are some noticeable and maj or d esig n d i ffe rences. JAC X200 offers more visibility thanks to large front screen which makes the vehicle look larger than it actually is. There are some nice design differences which make it look unique. The truck comes with two large front wheels and 4 smaller rear wheels which will help the truck carry heavier loads. The rear loading section can be viewed in the above images. Thanks to the smaller wheels, loading and unloading the deck is easier and faster.

Engine & Performance X200 comes with a variety of engine options starting with a 2.8 liter Euro-I variant to a 2.0 liter Euro-V variant. The vehicle comes with rear wheel drive and the choice to switch between single and double rear wheel driver. Thanks to a superior steering system, JAC claims the truck has a small turning radius of just 5.5 meters. The front features independent suspension and a disc brake for a better driving experience.

Safety X200 comes with a 15 percent stronger chassis which also weighs 20 percent less. Its disk brake should perform better compared to drum brakes in other similar commercial vehicles. JAC says their cabin uses a 4-star crash test design for the driver and passenger’s safety. It has been quite a long time since the market for commercial loading trucks saw any competition in Pakistan. With its extensive experience, JAC could take on the likes of Shehzore in Pakistan. Of course the major selling factor would be the price, which is still not known.

Tractor manufacturers demand tax concessions Pakistan Automotive Manufacturers Association (Pama) on last week requested the government to abolish customs duty, additional customs duty and reduce the rate of input tax on tractors. While submitting proposals for the upcoming budget, Pama stated that due to the above issues, the entire tractor industry was facing a liquidity crunch, which was affecting the trust of foreign investors and shareholders. Earlier, the Engineering Development Board allowed import of those components which had not been p ro d uced i n Pak i st an f or t he manufacturing of agricultural tractors at zero customs duty. However, during fiscal year 2015-16, additional customs duty of 1% on the import of components was imposed by the government. Furthermore, in 201617, another 1% customs duty was

imposed, taking the total to 2%. Pama said the levy of duties had contributed to an increase of Rs33 million in the cost over the 12-month period from January to December 2016. “It is proposed to exempt imports made under SRO 655(I)/2006 and SRO 656(I)/2006 from the additional customs duty,” suggested Pama. The association added the additional duty on inputs like raw material, components and sub-components of the automotive industry, which were not manufactured locally, had impacted the highly cost-sensitive sector. “The move will keep prices of tractors within reach of small and medium-scale farmers. The abolition of customs duty and additional customs duty will help the company that has no other alternative besides imports,” it stated. “This will benefit the entire farming commu nit y, suggest ing further

reduction in the rate of input tax on the purchase of imported components by tractor manufacturers to match the output rate. It will also help the industry in reducing yearly tax refunds by Rs600700 million,” it added. Tractors are already subject to 5% sales tax, which has led to the accumulation of tax refunds with the Federal Board of Revenue (FBR), according to Pama. “Due to this, the entire industry is facing liquidity crunch, affecting the trust of foreign investors and shareholders,” it said. While giving the rationale behind this suggestion, the association stated that the move would address procedural difficulties in sales tax refund and save the administrative cost of Original Equipment Manufacturers (OEM) and the FBR.

www.automark.pk | May-2017 | Page 27

Generated by Foxit PDF Creator © Foxit Software http://www.foxitsoftware.com For evaluation only.

Exclusive Internet Catch by Anwar Iqbal

Monthly AutoMark International

HYPERLOOP IS A NEW WAY TO MOVE PEOPLE AND CARGO Dubai makes perfect sense for Hyperloop One because this is the 21st century's global transport hub and its leaders understand that Hyperloop One is ushering in the next era of transportation," said ShervinPishevar, executive chairman of Hyperloop One. Hyperloop is a new way to move people and things at airline speeds for the price of a bus ticket. It's on-demand, energyefficient and safe. Think: broadband for transportation.The system is based on a custom electric motor to accelerate and decelerate a levitated pod through a low-pressure tube. The vehicle which will glide silently for miles with no turbulence.It all started in 2014 in a Los Angeles garage. Now it become a team of 200 people on three campuses in LA and Nevada. They are engineers, welders, machinists, designers and builders. It's happening faster than you think. Motors were tested in May, 2016, and the test of full system is in final stage. They are developing routes in five countries. The goal is to be moving cargo by 2020 and passengers by 2021.The world is ready for a new mode of transportation that will change the way we live. We're in the business of selling time, the most precious resource there is. When cities become metro stops, regions will flourish. Dubai could be the first place on Earth to feature a working Hyperloop - the futuristic transportation system first proposed by Elon Musk in 2013.The UAE city-state has announced a deal

with Hyperloop One, a company based in LA, to look into building a line between Dubai and Abu Dhabi.If completed, it would whisk passengers between the two cities along a pipe, inside levitating pods that will travel at speeds of up to 760mph. It would allow passengers to make the 125km journey in just 12 minutes. "Dubai makes perfect sense for Hyperloop One because this is the 21st century's global transport hub and its leaders understand that Hyperloop One is ushering in the next era of transportation," said ShervinPishevar, executive chairman of Hyperloop One."Technology is evolving and transforming how we live, yet we lack

real innovation in mass transportation and the curr ent syste m has stagnated."At the moment, it takes two hours to travel from Abu Dhabi to Dubai, but the Hyperloop could cut this down to just 12 minutes. The design involves glass-walled pods that can carry six passengers through a frictionless vacuum in elevated tubes using magnetic levitation.“With Hyperloop One we have given form to a mobility ecosystem of pods and portals, where the waiting hall has vanished along with waiting itself.” Bosses from Transport for the UK which represents councils and transport authorities across the region - say they "remain open" to the Hyperloop, which would make travel from Manchester to London possible in 18 minutes.Those who back the technology also claim that the new transport system could even merge Liverpool, Manchester and Leeds together, so they can effectively become "a single city" because of the way it will enhance the north's ability to commute to the capital.

Hours will transform into minutes ………… That would be the future.

www.automark.pk | May-2017 | Page 28

Generated by Foxit PDF Creator © Foxit Software http://www.foxitsoftware.com For evaluation only.

Monthly AutoMark International

Blog by Zeenat Anjum

IS PAKISTANI GOVERNMENT BAN ON AUDI LEGIT? Long story short…… my opinion comes out to a simple YES. I believe that is legit that the Pakistani government has imposed a ban on the assembling infrastructure to be set of Audi. Of course, there are two sides of the story and consequently there are a set of pros and cons that shall be imposed on the society. First off, by setting a (medium knock down) assembling plant in Pakistan or using an existing OEM’s plant for the same could rise the employment ratio of the labor class by a heap. Not to

mention, such small production units could contribute towards the reduction of inflation rate of Pakistan, overall. But wait! There is a darker side to this story as well. The side which reveals that Pakistani automotive market growth might come to a hold. Not to mention, the initial Audi cars that would run initially on the streets could fail brutally due to tough competition. Hence, the costs included as freight and other indirect expenses could not get recovered and the assembler/OEM might undergo recession.

Audi further plans to st rengthen the employment quota of Pakistan but fails to strengthen vendor industry through the i ntroducti on of c o mp l et e k no c k down units.-an excerpt of words by BOI Spokesman Shah Jahan Shah. There are two sides to every picture and the above had been my take on the situation of Audi Ban by the government. What is your opinion?

Honda Clarity Plug-in Hybrid and Electric revealed The Honda Clarity has always been a fuel-cell car, but the name is now for a series of green cars that includes the just-unveiled Plug-in Hybrid and Electric models. Joining the Clarity Fuel Cell that was launched late last year, the trio is expected to contribute to an anticipated five-fold increase in Honda’s US sales of electrified vehicles over the next four years. 75,000 units is the target. “The Honda Clarity is aimed at accelerating the deployment of advanced electrified powertrain technology and bringing electrified vehicles further into the mainstream. The Clarity series also heralds the advancement of our Honda Electrification Initiative, representing our investment in the full spectrum of electric-vehicle technologies,” said Jeff Conrad, senior VP of American Honda Motor Co. Each Clarity variant has unique design elements, including its own special hero colour, and differentiated front styling, headlights, tail lamps and 18-inch wheel designs. Honda promises comfortable seating for five adults; premium, environmentally responsible materials; and a smooth, quiet and refined driving experience. Things like Android Auto, Apple CarPlay and Honda Sensing safety tech are standard. The 2017 Honda Clarity Electric is powered by a 161 hp/300 Nm electric motor drawing power from a 25.5 kWh

battery pack. The vehicle can by fully charged in over three hours at 240 volts, and when using DC fast charging with the SAE Combined Charging System can achieve an 80% charge in 30 minutes. It features three selectable driving modes – Normal, Econ and Sport. The Clarity EV – seen here in blue – will launch in 2017, starting with a lease programme in the US states of California and Oregon. The 2018 Honda Clarity Plug-in Hybrid, reaching dealerships later this year, is anticipated to earn an all-electric driving range rating of 68 km, the longest of any midsize PHEV, Honda claims. Under the hood is a 1.5 litre Atkinson cycle engine to generate electricity and, under certain conditions, to act as a

direct power source, resulting in an anticipated overall driving range rating in excess of 531 km. The vehicle’s electromotive power comes from a 181 hp/315 Nm electric motor drawing power from both the engine and a 17 kWh battery pack with a recharge time of 2.5 hours at 240 volts. In addition to the three regular modes, HV mode maintains the battery’s state of charge and can be selected in conjunction with Normal, Econ and Sport driving modes. The volume seller of the Clarity trio will be available in standard and Touring trim levels. The Clarity Fuel Cell is the ultimate zeroemissions model for those who want to take it a step further.

www.automark.pk | May-2017 | Page 29

Generated by Foxit PDF Creator © Foxit Software http://www.foxitsoftware.com For evaluation only.

Exclusive report by Ahsan Mirza

Monthly AutoMark International

Chinese Motorcycle assemblers and Retailers in Trouble due to Government’s Dual-Tax Policy It is the need of the hour that a common, singular tax policy be applied for all the manufacturers and assemblers, that would help promote the expansion, growth, and sustainability of the motorcycle manufacturing industry To promote few motorcycle manufacturers and assemblers, the Federal Ministry of Finance has introduced an additional Customs Duty on selective Chinese motorbike assemblers. On top of this tax amount, these Chinese assemblers are illegally charged up to 15% by Custom Officers for their imports in lieu of bribe money. The Federal Finance Ministry has already been complained to, with respect to the illegal and unethical activities of the customs personnel, by the concerned members of the industry, however, any action remains to be taken by the ministry to rectify the situation. If the ministry is unable to bring changes, the industry would force 70 Chinese motorcycle manufacturers to completely shut down their businesses. This would, in turn,adversely af fect several thousands of employees and workers. The remaining companies could, too, be faced with the possibility of liquidation. The silence and failure of the ministry to bring about changes in this regard would result a loss of an estimated 1 million jobs. The government, in the Auto Policy 2016-21, has failed to identify needs of Chinese motorcycle assemblers and their retailers, which was possibly due to providing protection to a selected group of manufacturers and assemblers. The producers of Honda motorcycles for example, under the SRO 655/2006, are entitled to a CustomsDuty of 5-15%, whereas Chinese assemblers, under the SRO 656/2006, are liable to pay 4550% custom duty, with the customs personnel taking an additional 5-15% in lieu of illegal bribe money on imported parts. This atrocity is yet to be addressed by the government and by the Federal Board of Revenue. This dual-tax policy on part of the government has forced people to move towards tax-theft and smuggling, which is one of the reasons why so many local industries have become tax defaulters and, as a result,

have caused significant damage to the country’s treasury, whilst also increasing the rate of unemployment in the country. Out of the 15 Chinese motorcycle assemblers and manufacturers, 5 to 8 assemblers are embroiled in illegal smuggling of parts and accessories, and produce up to 1 million motorcycles annually using t hese smuggled goods. On the other hand, Atlas Honda produces a total of 1 million motorcycles annually. Yamaha and Suzuki, the other big players of the industry, are also known for their quality bikes. However, due to their higher prices, as compared to the other brands, they are out of the reach of most members of the biker’s fraternity. Sabir Shaikh, Chairman of the Association of Pakistan Motorcycle Assemblers (APMA), has said that the Chinese assemblers, that are already facing difficulties, will continue to face difficulties due to the governmental policies, and because Atlas Honda is likely to reduce the current price of its 70CC bikes from PKR 63,000 to PKR 58,000. The Chinese assemblers, due to the excess custom duty and illegal bribe costs, are being forced to hike up their prices by up to PKR5,000, meaning

that their new price would touch and go beyond the PKR 50,000 cap. The fluctuation in the prices of these bikes would negatively affect the sales and subsequent production of the bikes, since they already lag Honda, Yamaha, and Suzuki in terms of quality, durability, and longevity. He says that he had communicated his grievances to Federal Finance Minister, Ishaq Dar, about the dual-tax policy for Chinese Assemblers, and how this would have adverse effects on the industry and the economy of the country, as a whole. It is the need of the hour that a common, singular tax policy be applied for all the manufacturers and assemblers, that would help promote the expansion, growth, and sustainability of the motorcycle manufacturing industry. This would also allow for an increase in the productivity of the industry, whilst increasing job security and further allowing more employment opportunities. Additionally, the government should introduce a shelflife for the motorcycles, so the volume of bikes on the roads may decrease. This would also allow for the potential oligopoly of few motorcycle brands to break.

www.automark.pk | May-2017 | Page 30

Generated by Foxit PDF Creator © Foxit Software http://www.foxitsoftware.com For evaluation only.

By David McMullan from China

Monthly AutoMark International

In praise of CFMoto, China’s most ambitious motorcycle manufacturer One of the aspects of business that CFMoto is to be commended for is its willingness to explore markets that other Chinese motorcycle manufacturers do not. To export to Australia takes an ECE certificate and many Chinese companies will not invest the money necessary to get one because of the limited market opportunities down under. For many years, if you asked a motorcycle enthusiast or commuter to name a Chinese motorcycle brand they would either not be able to name one, name the rebrand (something like Llexmoto or Zingbikes) or maybe know that Lifan are a major manufacturer but that would be a rare occurrence. This is due to the Chinese motorcycle industry’s propensity for re-branding (re-badging) and little has changed to this day. In more modern times an exception has arisen, CFMoto. CFMoto have been a revelation in the Chinese motorcycle industry in many senses as they have adopted a more ‘western’ attitude to business philosophy and marketing and are one of the few Chinese motorcycle manufacturers that sell internationally using their own brand and that try to promote brand recognition. CFMoto are now considered a serious motorcycle company internationally as they have striven to develop models that the bigger motorcycle factories have not. These models include a range of 650cc bikes (There are only a handful of motorcycle manufacturers who develop motorcycle engines over 600cc although many more are developing them now) that have received great reviews around the world and have propelled CFMoto to the position of most recognised Chinese motorcycle brand. In addition to this CFMoto are making a name for themselves by manufacturing highly styled and large displacement (by Chinese standards) UTV and ATV vehicles.CFMoto also developed China’s first large displacement touring line (the Chinese industry considers any displacement over 500cc to be ‘large). These bikes utilise a liquid cooled parallel twin engine that delivers 41.5 KW of power. One of the aspects of business that CFMoto is to be commended for is its willingness to explore markets that other Chinese motorcycle manufacturers do not. To export to Australia takes an ECE certificate and many Chinese companies

will not invest the money necessary to get one because of the limited market opportunities down under. CFMoto actively pursues the UTV market in Australia and has been earning rave revues from Australian motorcycle magazines.TheCFMoto touring bike 650TK usesthe responsive Kayaba suspension uniquely tuned to the requirements of Australian touring riders as the suspension is matched with dual front and single disc brakes. This shows the kind of commitment to technology and specific riding details that CFMoto shows and other Chinese manufacturers ignore and is another reason that CFMoto, despite being a much smaller company than the Chongqing giants, commands the motorcycle magazine headlines when it comes to Chinese bikes. It’s not just CFMoto’s eye for technical detail that impresses but also its modern attitude to marketing. A cursory glance at the CFMoto website (the original Chinese one not one of the many internationally localised websites) will show the difference in their attention to detail from other Chinese motorcycle traders. To many Chinese companies a website is just a necessary evil and they are unwilling to commit to the effort, thought and money necessary to make a professional media. CFMoto’s website is comprehensive and useful, much more than just a necessary afterthought. To get an idea of what I am stating here look at CFMoto’s website and then compare it to the websites of much bigger manufacturers like Zongshen, Loncin, Lifan and pretty much anyone

else. For example, have a look at the Zongshen website and you’ll see that their ‘news’ section hasn’t been updated since 2014. CFMoto (in cooperation with WK Bikes) first entered the isle of Man TT in 2013 and became the first Chinese manufacturer to do so (in fact the only other Chinese manufacturer to enter a bike into serious motosports racing was Loncin in the MotoGP 125 many years ago). With Gary Johnson on board the bike registered a commendable 109 mph practice lap in its first year and has since gone on to improve year after year culminating with Johnson claiming 4th spot in the lightweight TT (just 2 seconds off of the podium beating Suzuki and Kawasaki). To conclude, it is quite apparent that CFMoto has styled itself (in all aspects of the motorcycle industry) on its Japanese rivals rather than other more experienced motorcycle manufacturers from their homeland and has really shaken up the Chinese motorcycle industry. CFMot os success has prompted big exporters like Loncin and Zongshen to market their own brand names with Zongshen electing to market the ‘Cyclone’ range as a brand recognition campaign. In addition to this CFMoto seem to have kick-started the scramble for the development of bigger displacement engines with companies that have never produced an engine over 250cc (with the exception of certain ATV engines) now actively seeking technical nous from abroad and sinking hundreds of thousands of dollars into engine research and development. In terms of the Chinese motorcycle industry CFMoto has become quite a catalyst for evolution. By: David McMullan BA (hons), MPhil englishmaninchina@gmail.com

www.automark.pk | May-2017 | Page 35

Generated by Foxit PDF Creator © Foxit Software http://www.foxitsoftware.com For evaluation only.

Monthly AutoMark International

Feeder buses in Lahore

Complex’ Speedo fails to attract passengers

The Speedo bus service has badly failed to attract passengers even after one month of its inauguration in the provincial capital. Equipped with all modern facilities, 200 buses can be seen everywhere in Lahore but without commuters. At a time when every rickshaw, mini bus and coaches and other public transport are seemed packed with passengers, Speedo buses - fully furnished and air-conditioned make almost empty journey at its 14 routes. The service offers similar ease and accessibility to the Metro Bus service, operating within a 500 metre radius to connect the 27-km Metro bus route to the rest of Lahore. The government had claimed that Speedo will change the transport culture of Lahore and facilitate large number of commuters. However, against the government estimates and claims that a huge amount of travellers will benefit from the service during busy hours, the service has badly failed to receive public response which put a question mark on success of the around Rs2 billion project. Millions of commuters travel from one

destination to another on daily basis in the city of over 10 million population, with severe shortage of comfortable and state of the art public transport. The entry of 200 new buses in this situation was not less than a blessing for the Lahorites. Out of the total 200 Speedo buses, 162 are big-sized (for 70 passengers) while the remaining 38 are small sized. The large bus is capable of carrying about 1,000 passengers each day. A survey conducted by The Nation shows that the new bus service could not succeed even after four weeks of touching roads due to its “complex system” introduced by Punjab Mass Transit Authority (PMA). Since no passenger can travel on Speedo without having smart card, majority of daily travellers are unaware from where to get it and how to use it. “The authorities were supposed to start a full-fledged awareness campaign before launching this service. We don’t know from where to make the card and how to use it,” said Muhammad Safdar, a daily commuter, from RA Bazar to

Chungi Amarsiddhu. As the government is paying a flat rate of Rs165 per kilometer for large buses and Rs140 for small buses irrespective of whether there is any passenger or not, the companies face no loss. The operator has a six years contract with PMA and can be extended upon agreement between both parties. “I got a card from a Punjab University shop but it did not work when I tried a bus. Then I revisited the shop and exchanged it with other card,” said Shafique Bhatti, another commuter. The Speedo ply at 14 routes (129-km in route length) with buses arriving every 10 minutes. The fare collection system is automatic and the buses equipped with Bus Scheduling System. The service operates from 6am to 11pm.Commuters suggest the authorities to allow every passenger to use the bus until the people at large get awareness about the system.

www.automark.pk | May-2017 | Page 36

Generated by Foxit PDF Creator © Foxit Software http://www.foxitsoftware.com For evaluation only.

International Automotive Industry - Update

Monthly AutoMark

Toyota to start China hydrogen fuel cell vehicle tests in October Chery to open second China EV plant in May Chery Automobile Co. will launch production at its second electric vehicle plant in China in May to significantly expand its EV output, according to a local media report. The 1 billion-yuan ($145 million) plant is in Dezhou in east China's Shandong province. It will build as many as 100,000 EVs annually after reaching full capacity, reported ChinaNEV, a Shanghai website. Its first two models will be Chery's eQ and eQ1 minicars. Chery's initial EV assembly plant is in Wuhu, in east China’s Anhui province. It can produce up to 60,000 EVs annually. In 2016, Chery delivered 20,963 EVs in China, up 48 percent from a year earlier. Chery, a state-owned automaker headquartered in Wuhu, sold 363,300 gasoline-powered vehicles last year, up 17 percent.

Honda will launch a new electric car in China next year Japan's Honda Motor will launch an allelectric battery car in China next year as demand for plug-in electric vehicles (EVs) expands in the world's largest automobile market, a senior company executive said. Yasuhide Mizuno, Honda's China chief, told reporters on the sidelines of the Shanghai auto show on Wednesday the automaker was "expediting" the development of the EV. He said he expects the car to arrive in showrooms before the end of next year. Mizuno added that plug-in hybrid models would likely follow, but did not say when that car might hit the market in China. Carmakers in China are scrambling to develop and sell so-called new energy vehicles (NEVs) in anticipation of tougher new rules expected to be implemented as early as next year. Those rules will likely require companies to generate as much as eight percent of their China sales with plug-in cars, either fully-electric or plug-in hybrid vehicles.

Japan's Toyota Motor Corp will start testing hydrogen fuel-cell cars in China from October, part of an effort to determine the feasibility of selling its Mirai hydrogen electric passenger car in the market. The head of the Japanese automaker's China business, Hiroji Onishi, said the carmaker also planned to build a hydrogen fuel station in the city of Changshu in eastern Jiangsu province in time for the start of the tests. Mirai, which means "future" in Japanese, is a four-person sedan first introduced in 2014 that has a range of 300 miles, and is Toyota's first massmarket fuel cell car. Toyota wants to t est the car's

performance and the quality of locally available hydrogen in China, Onishi said. He was speaking at a media event ahead of the Shanghai auto show, which opens later this week. Toyota began selling the Mirai in Japan in late 2014. The cars is now available in the United States as well as some markets in Europe. Since January 2016 and through February this year, Toyota had sold roughly 3,000 Mirai fuel-cell cars globally, according to the company. Onishi reiterated that Toyota would start selling plug-in electric hybrid cars next year in China. He added the firm aimed to sell an all-electric battery car in the China market, but did not give a timeframe for the plan.

One out of every four vehicles sold in India is a SUV: Report Against a 14 per cent share in the overall passenger vehicle sales at the end of March 2010, the same has crossed 25 per cent at the end of March this year. The green lobby may see them as giant polluters, but SUVs have powered their way into the Indian passenger vehicles industry, accounting for one out of every four new vehicles sold in the market. The data for vehicle sales, released by industry grouping Society of Indian Automobile Manufacturers, shows the growing clout of SUVs and utility vehicles when it comes to new purchases, a trend that seems to be getting stronger with each passing year. And this is only going to get stronger in the coming years, if the trends and new

model launches are any indication. The pace of growth in the demand for SUVs — where diesel is the preferred engine option — has been nothing short of spectacular. SUV sales shot up by 30 per cent in 2016-17, a remarkable performance when compared to the 4 per cent growth in sales of cars. "SUVs are a global trend and very much liked in India as well. The large and varied spread of the country, with strong challenges when it comes to road infrastructure, makes them a necessity when one wants a stronger, safer and high-seating vehicle," said Rakesh Srivastava, senior VP (sales & marketing), at Hyundai India. "This trend will continue and I feel that the share of SUVs will rise to nearly 30 per cent over the next one year."

Toyota to spend $1.3bn on US car plant upgrade Latest carmaker to boost investment in response to pressure from Trump administration The investment forms part of a $10bn package that Japan’s biggest carmaker has already pledged to plough into the US over the next five years as the car industry navigates carefully through a new reality posed by US president Donald Trump’s “America first” policies. While much of its spending had already

been planned, the package, announced in January, came after Toyota became a target of Mr Trump’s Twitter assault over its investment plans in Mexico. Other carmakers including General Motors and Ford have also taken a similar pre-emptive tack with a series of investment pledges in the US, even where some of the spending would have happened anyway.

www.automark.pk | May-2017 | Page 37

Generated by Foxit PDF Creator ÂŠ Foxit Software http://www.foxitsoftware.com For evaluation only.

International Automotive - Technology

Monthly AutoMark International

Toyota Brings Fuel-Cell Technology to Big Rigs Project Portal at the Port of Los Angeles tests the feasibility of using hydrogen-powered semis to move freight.

Over the years, automakers have poured millions into researching and developing hydrogen fuel cell vehicles. But most drivers aren't quite ready to swap their gas-powered or hybrid cars for a fuelcell powered one, so car makers have pivoted their fuel cell know-how to other applications. Toyota, for example, leverages fuel cells to power public buses in Japan as part of its Hino commercial vehicle unit, while another division makes fuel-cell forklifts. This week, Toyota announced a new project to test a hydrogenpowered big rig at the Ports of Los Angeles and Long Beach. At major ports, diesel-fueled drayage trucks that move cargo containers around belch large amounts of emissions. At the Port of Houston, for example, more than one-third of the air pollution produced by the facility comes from roughly 3,000 drayage vehicles, according to the Environmental Defense Fund, much of it from older trucks. The Project Portal truck concept Toyota unveiled this week is designed to assess the feasibility of using fuel-cell technology in heavy-duty applications such as drayage duties. If successful, Toyota envisions using hydrogen fuelcell technology to allow trucks to haul freight around ports "quietly, quickly, and without producing any emissions," it said in a statement. The Kenworth truck Toyota converted

to run on hydrogen produces more than 670 horsepower and 1,325 pound feet of torque using two fuel-cell stacks and a 12kWh battery from Toyota's Mirai passenger vehicle. The concept's gross combined weight capacity is 80,000 pounds, while its estimated range per fill is more than 200 miles under normal drayage operation, according to Toyota. I spoke with Bob Carter, Toyota Motor North America Executive Vice President of Sales (above), at the event in Los Angeles just after Project Portal was unveiled. The backdrop for our conversation was a gigantic cargo ship stacked with hundreds of containers. "What's fascinating is that 42,500 of these cargo containers move through these two ports each day," Carter pointed out. "To move those within the port means there's thousands of diesel trucks driving round every day. So the environmental and emissions benefits of using fuel cell vehicle is massive." Absolutely No Emissions The impetus for Project Portal came about from Toyota's work with organizations such as the California Air Resources Board and California Energy C ommi ssion , which have been promoting alternative fuel vehicles to meet the state's tough emission standard and have focused on improving air at these two massive ports. "The beauty of this truck is there's absolutely no emissions," Carter noted.

He added that while Project Portal is focused on moving containers around ports, it's also a test bed for other applications. Carter said that the prototype truck's 200-mile range means there's "feasibility of using this for longhaul applications." Toyota's unveiling of a hydrogen big rig comes on the heels of Tesla's announcement last week that it's working on an all-electric semi. In typical cavalier fashion, Tesla CEO and co-founder Elon Musk has dismissed hydrogen fuel for vehicle as "fool cells." "The question that comes up is why not go full electric," Carter acknowledged. "Project Portal is essentially an electric vehicle, since when you add fuel cells to an electric vehicle it generates electricity on demand. To duplicate this capability with a full electric vehicle, the batteries would have to be nearly as long as the trailer itself," he said. "You also add a tremendous amount of weight and expense, and the recharge time for batteries with this capability would be measured in days, not hours," Carter said. "Whereas with fuel cell technology, recharge time is 20 minutes." But even that's a long time for truckers to wait to refuel. And even with the potential of an application like Project Portal, we'll probably have to also wait a while before we see hydrogen fuel cell semis on the highway.

www.automark.pk | May-2017 | Page 38

Generated by Foxit PDF Creator © Foxit Software http://www.foxitsoftware.com For evaluation only.

New model by Honda Pakistan

Monthly AutoMark International

Honda launches 7-seater SUV in Pakistan Honda Atlas Cars Pakistan Limited (HACPL) launched the much awaited all-new Honda BR-V, a 7 seater SUV

The launch ceremony was held at Faletti’s Hotel and attended by Shinji Aoyoma, Chief Operating Officer for Regional Operations (Asia and Oceania) of Honda Motor Company Ltd and President and CEO of Asian Honda Motor Company Ltd, and Toichi Ishiyama, President and CEO of Honda Atlas Cars (Pakistan) Ltd. All-new BRV is the first locally produced Mid-size SUV, powered by a 1.5-liter i-VTEC engine. Shinji Aoyoma said, “In the last financial year ended March 31, 2017, Honda Atlas Cars achieved the highest record sales with over 35,000 units sold. I would like to express my heartfelt appreciation to our Pakistani customers who have

supported Honda with this great achievement. Honda will continue to maintain this momentum by offering attractive models with superb quality, which will help enrich the quality of life of our customers, and we will work hard to exceed our customers’ expectations.”

Speaking on the occasion, Toichi Ishiyama said, “Pakistan is a key market for Honda and as part of our business expansion, we are focusing on increasing our customer base by introducing new models. The launch of BR-V creates another first by introducing first ever locally produced 7 seater SUV in Pakistan. Customers can experience the outstanding appearance of an SUV and benefit from the versatility and comfort of its spacious 3 row interior. We are confident that BR-V will strongly appeal to the Urban/Rural customers and acce ler ate our g row th w hile strengthening our brand presence in the country.”

www.automark.pk | May-2017 | Page 40

Generated by Foxit PDF Creator Â© Foxit Software http://www.foxitsoftware.com For evaluation only.

Car / Light Vehicle Price List SUZUKI Ex Factory Price

Model Model

WAGON-R VXR 1000cc Euro II WAGON-R VXL 1000cc Euro II MEHRAN VX 800cc Euro II MEHRAN VX 800cc CNG MEHRAN VXR 800cc SUZUKI SWIFT 1.3L DLX SUZUKI SWIFT 1.3L Automatic NEW CULTUS VXR NEW CULTUS VXL BOLAN VX EURO II BOLAN CARGO RAVI PICK-UP STD 800cc E2

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

1029,000 1069,000 650,000 720,000 773,000 1,327,000 1,463,000 1,250,000 1,391,000 725,000 696,000 667,000

Rs. Rs. Rs. Rs.

1,839,000 1,699,000 2,142,000 2,418,000

Advance Tax

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

25,000 25,000 10,000 10,000 10,000 50,000 50,000

Rs. 10,000 Rs. 10,000 Rs. 10,000

SUZUKI IMPORTED VEHICLES SUZUKI CIAZ (A/M) 1400cc SUZUKI CIAZ (M/T) 1400cc JIMMY 1328cc JLSX MT APV 1.5L GLX MT (Petrol)

TOYOTA COROLLA Model XLI VVT-i 1.3L M/T GLI VVT-i 1.3L M/T GLI VVT-i 1.3 A/T ALTIS 1.6L Dual VVT-i A/T ALTIS 1.8L Dual VVT-i A/T Corolla Altis A/T CVT-I (1.8 ltr) GRANDE 1.8L S.R. M/T GRANDE 1.8L S.R. A/T FORTUNER 2.7L A/T Petrol

HONDA Honda BR-V (i-VTEC) 1.5 Rs. 2,241,000 Honda BR-V (i-VTEC S) 1.5 Rs. 2,341,000 Model Price Honda Civic 10th Generation 1.8L Oriel Rs. 25,41,000/=* Honda Civic 10th Generation 1.5L Turbo Rs. 29,11,000/=* Honda Aspire Manual 1.3L Rs. 1,663,000 Honda Aspire Manual 1.5LHYUNDAI Rs. 1,683,000 Honda City 1.3L Manual Rs. 1,553,000 Honda City 1.3L Automatic Rs. 1,674,000 Honda Civic VTI Manual 1800cc Rs. 2,053,000 Honda Civic VTI Manual SR (Oriel) Rs. 2,285,000 Honda Civic VTI Prosmatec 1800cc Rs. 2,174,000 Rs. 2,406,000 Honda Civic VTI Prosmatec SR (Oriel) * Ex-Factory prices, Advance income tax, freight & insurance will be added as per destination Price will be charge at the time of deliver what-so-ever

Model

Price

K01 997CC, 2300mm, A/C PS K01 997CC, 2700mm K07 997CC, 7 Seater, AC/PS C37 1500CC, 11 Seater, AC/PS

Rs. 779,000 Rs. 779,000 Rs. 9,80,000 Rs.1,550,000

Price 1,672,500 1,817,500 1,892,500 2,047,500 2,147,500 2,272,500 2,307,500 2,457,500 5,085,500

Toyota Hilux Pickup 4x2 sc Model

Price

Brand New Toyota Hilux Pickup, 4x2, 2500cc Single Cabin, White only, Hilux STD

Rs. 2,063,000

Toyota Hilux Pickup 4x4 E Model

Price

Toyota HILUX 2494cc, Diesel Turbo Charger Common Rail Engine, 4x4 Double Cabin - Standard Model

TOYOTA VIGO DAIHATSU

DSF PRINCE

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

Model Model

Price Price

Rs. 3,324,500

FAW MOTORS Price

Model

Vigo Champ-V MT Rs. 3,598,500 FAW Carrier 1000cc (WHITE ,BLACK,STRONG BLUE & SILVER) FAW X-PV 1000cc Std FAW X-PV 1000cc A/c Vigo Champ-G AT Rs. 3,798,500 FAW Sirius S80 (WHITE ,BLACK,STRONG BLUE & SILVER) Grand 1500cc EFI Pet FAW V2 1300cc A/C EFI Petrol CBU

Monthly AutoMark Magazine - International

Rs. 749,000 Rs. 849,000 Rs. 899,000 Rs. 1885,000 Rs. 1069,000

Price updated May- 2017

Monthly AutoMark International

Corporate Event - Update

Crown Group participate in Pakistan Autoshow 2017 exhibition as Gold Sponsor

May-2017 | Page 42

MADE IN PAKISTAN MOTORCYCLES RETAIL PRICE LIST

70cc Motorcycle

Sr./ Product & Model Name No. 1. Crown CR-70 2. Honda CD-70 3. Honda CD Dream 4. Hi-Speed SR-70 5. Metro Premier+ 70cc 6. Ms Jaguar MS 70 Euro- II 7. Ms Jaguar MS 70 ( DREAM) 8. Ravi Premium R1 9. Road Prince bullet 10. Road Prince 70cc 11. United US 70 12. United Extreme 70

Retail Price Rs. 42,000/= Rs. 63,500/= Rs. 67,500/= Rs. 44,000/= Rs. 45,600/= Rs. 41,800/= Rs. 43,800/= Rs. 46,950/= Rs. 45,500/= Rs. 41,000/= Rs. 43,500/= Rs 44,500/=

125/150 cc Motorcycle No. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. Sr./ No. 1. 2. 3. 4.

Brand & Model Name

Retail Price

Crown CR-125 Rs. 65,000/= Honda CG-125 std Euro IIRs. 105,500/= Honda CG-125 DX Rs. 125,000/= Honda CD-125 Dream Rs. 106,500/= Hi-Speed SR-125cc Rs. 75,000/= Metro MR-125 Regular Rs. 68,800/= Ravi Piaggio Storm 125 Rs. 112,000/= Road Prince 125cc Rs. 67,000/= RP Twister 125cc Rs. 108,000/= RP WEGO 150cc Rs. 180,000/= Super Star SS-125 Rs. 59,000/= Super Star SS-125 DLX Rs. 67,000/= Super Power Archi 150cc Rs. 140,000/= United US-125 Euro 2 Rs. 70,000/= Unique UD 125cc Rs. 70,000/= Unique UD 150cc Rs. 145,000/= Yamaha YBR-125cc Rs. 129,400/= Product & Model Name Inazuma GW 250 Intruder M800 Hayasuba GSX1300R Bandit GSF650SA

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

Sr./ No. 13. 14. 15. 16. 17. 18. 19.

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. 43,500/= Rs. 40,000/= Rs. 44,000/= Rs. 44,700/= Rs. 48,200/= Rs. 44,500/= Rs. 44,500/=

100cc/110cc Motorcycle No. 1. 2. 3. 4. 5. 6. 7. 8. 9.

Brand &Model Name Crown CR-100 Hero Splander Model 2015 Honda Pridor MS JAGUAR MS 100 Road Prince 110cc Super Star SS-100 Super Power SP-100 United US-100 Euro 2 Unique UD-100

Retail Price Rs. 52,000/= Rs. 56,000/= Rs. 86,000/= Rs. 48,800/= Rs. 48,500/= Rs. 57,000/= Rs. 60,000/= Rs. 50,000/= Rs. 73,000/=

Suzuki Motorcycle Sr./ Product & Model Name No. 1. SD110 Sprinter ECO 2. SD110 Raider 3. GS-150 SE Euro-II 4. GD 110 Euro-II 5. GD 110s Euro-II

Retail Price Rs. 98,400/= Rs. 101,400/= Rs. 158,500/= Rs. 119,000/= Rs. 131,000/=

Super Power Motorcycle Product & Sr./ Model Name No. 1. Super Power SP 200cc

www.automark.pk | May-2017 | Page 43

Retail Price Rs. 175,000/=

Price update: April-2017

Exclusive Article by Anwar Iqbal

NEW AUTO POLICY AND TWENTY FOURTH MEETING OF AUTO INDUSTRY DEVELOPMENT COMMITTEE (AIDC) E.D. paint facility was mandatory under SRO656(I)/2006 dated 22-06-2006 for OEMs manufacturing HCVs in the country from a couple of years. However, this restriction wasalso implemented on cars & LCVs manufacturers in the Budget 2016-17 and is effective from 1stJuly, 2016. Three Japanese car manufacturers already have this facility; however, this facility was not available with some LCVs manufacturers. These LCVsmanufacturers approached EDB informing that installation of E.D. paint facility requiresheavy investment as well as time and requested for relaxation for some time so that can install this facility at their plants. New auto policy made a great impact on automobile industry of Pakistan. New players are aggressive to get benefit of new policy. Announcements of new comers can be seen in media in a routine manner, after a long time famous international brands showed their interest in Pakistan market. Audi, Kia, Hyundai and Renault are among them. Responsibilities of Engineering Development Board – EDB, Auto Industry Development Committee – AIDC and Board of Investment – BOI, has also increased manifolds in this new revolutionary scenario.Specially for the approval of brownfield category which is basically for the revival of an existing assembly manufacturing facilities, that is non-operational or closed on or before July 01, 2013. This is a very delicate issue because some of the units were closed due to default in repayment of bank loans. It is usual practice in Pakistan automobile industry to generate funds through advance booking of the vehicles. EDB needs to take State Bank of Pakistan on board for the approval of Brownfield investment projects. It will safeguard the interest of the consumer. In this charged environment, on 13th April 2017, twenty fourth meeting of auto industry development committee was held in EDB’s Islamabad office. Agenda of the meeting was of utmost importance and decisions made during these meeting will bring far sighted effects upon the automobile industry of Pakistan. It is very much felt that AIDC

has to enhance its capacity of decision making. New members from different government departments / institutions should be inducted in AIDC such as SECP, Trade Mark Authorities, State Bank etc. etc. The issue of premium, own money upon the delivery of new vehicles was the top of the agenda. Everybody knows that 1.5 lakhs to 2.0 lakhs is the premium / own money has to pay by the consumer for immediate delivery of the vehicle. This practice has created a huge sum of black money in our national economy. All three leading Japanese brands are involved in this premium money making business. We understand that EDB has no legal responsibility / cover / right to take action against this scandal. However to provide a relief to the customers EDB sugg ested re- imbrues p ayment adjustment @ Kibor + 2. On delivery of vehi cl es beyond 60 d ays. T he representative of two big players i.e. Honda and Toyota stated that they are already started re- imbursement payment but the representative / secret ary general of con sumer rights Commission of Pakistan, Islamabad. Who was also present in the meeting was not satisfied with their statement. M/s Regal Automobiles industries Ltd (RAIL) applied for the Greenfield investmentincentives under New investment Policy of ADP 2016-21 for establishing auto assemblyplant in Lahore for the production/ assembly of

light commercial vehicles (LCVs) and MiniVan/ Bus. RAIL has signed Technology Transfer agreeme nt with DFSK Motor Co. Ltd, a subsidiary of Dongfeng Motors Corporation, China. Initially, M/s RAIL did not have exclusive rights forassembly /manufacture & sale of DFSK Motor Co. Ltd's vehicles in Pakistan. However, after completion of first year their principals have agreed to provide exclusive rights to RAIL. However an interesting situation was created that M/s. Tayyaba Motors (Pvt.) Limited,approached EDB informing that their and M/s. RAIL'sPrincipals are same i.e. Dongfeng Sokon and DFSK, ev en t hei r fa ct or y a dd r es s i s same'Further, they have informed that vehicles offered by both of them are physically same with the onlydifference of label / logo. In view of above M/s. Tayyaba Motors (Pvt) Limited, requested that M/s. RegalAutomobile Industries Ltd., cannot avail the concessions of Greenfield investment under ADP 2016-21. The matter was discussed and it is recommended that this matter may be forwarded to trademark authorities and S.E.C.P. M/s. Daehan Dewan Motor Company (Pvt.) Ltd., applied through Bol for revival of manufacturing plant M/S DEWA N FA ROO QUE MO TO RS

www.automark.pk | May-2017 | Page 44

Generated by Foxit PDF Creator ÂŠ Foxit Software http://www.foxitsoftware.com For evaluation only.

Monthly AutoMark International LIMITED (DFML) and requested for grant of Brownfield Investment under Automotive Development Policy (201621) for the production of Shehzore (LCV) and Ssangyoung (SUVs) vehicles'. Earlier DFML plant operations were initially shutdown in October 2010. Afterspecial approval of Auto Industry Development committee (AIDC) (16th meeting) DFML resumed production from September 2013 to February2014 to consume left overinventory. At that time i.e. September 2013 to February 2014, M/s Dewan Farooq Motors did not have an agreement with the principal for further import of CKD and the company justwanted to utilize the CKD already lying with the company. All AIDC members agreed that in view of no CKD imports, lapse of agreement date and temporary operations toconsume left over inventory from September 2013 to February 2014, the p la nt ca nn ot b e co ns i d ere d as operational.So all AIDC's members has no objection with regard to extend benefits under Brownfield investment category to DFML. M/s. AL-Haj FAW Motors (Pvt.) Ltd., the manufacturer of Trucks, Prime Movers, LightCommercial Vehicles and V ans i n te nd t o i nv e st i n c ar manufacturing. BOI hasrecommended

(Annexure-B) incentives under New Investment Policy of ADP 2016-21 to M/s. Al-Haj FAW.AIDC is requested to advice on the matter keeping in view theinvestment categories i.e. Greenfield Investment or Brownfield Investment, elaborated inthe ADP 2016-21. AIDC unanimously rejected the request of AlHaj Faw Motors (Pvt) Ltd. E.D. paint facility was mandatory under SRO656(I)/2006 dated 22.06.2006 for OEMs manufacturing HCVs in the country from a couple of years. However, this restriction wasalso implemented on cars & LCVs manufacturers in the Budget 2016-17 and is effectivefrom 1stJuly, 2016. Three Japanese car manufacturers already have this facility; however, this facility was not available with some LCVs manufacturers. These LCVsmanufacturers approached EDB informing that installation of E.D. paint facility requiresheavy investment as well as time and requested for relaxation for some time so that theycan install this facility at their plants.

AIDC has given the following recommendations. a) All new investors have to establish

b) However existing players need to establish ED Painting Facilities by June 2018. The EDB further informed the members that the following new investors have applied for the approval of their automobile assembly plant. Among other interventions ADP 201621 provides for establishment of PakistanAutomotive Institute (PAI) for planning and implementation of activities relating to the development of the automobile industry, particularly research, education and technicalguidance relating to quality improvement, safety inspection and environmental preservation as well as development of a database covering technical information relating to the automobile industry. Subsequently, EDB initiated the process for establishment of Pakistan Automobile Institute. However arrangements of funds for running this kind of institute is very necessary. EDB is facing problems for the arrangement of funds. In my opinion a special fees (very little amount i.e..Rs. 5000 per car may be charge) and may directly deposit in Pakistan Automotive Institute Account.

ED Painting Facilities as a pre requisite condition.

www.automark.pk | May-2017 | Page 45

Launching Ceremony in Lahore

Monthly AutoMark International

Yamaha launches another 125cc motorcycle for Rs 115,900 the company wants to look after the requirements of the masses in both urban and rural areas and we hope that our new model will address that.” said Yamaha Motor Pakistan General Manager Sales Jawaid Yakoob while talking to media

Yamaha Motor Pakistan launched its third variant in the 125cc engine category on last month, targeting the increasing market in Pakistan’s rural areas. YB 125Z is the third bike in the 125cc category launched by the company since its re-entrance in Pakistan back in April 2015 with 100% equity from Yamaha Motor Company Japan. As per company executives, its previous models – YBR125 and YBR 125G – did not meet expectations and remained limited to urban centres. “Unfortunately, we didn’t get expected results from our previous models since our target was the youth,” said Yamaha Motor Pakistan General Manager Sales Jawaid Yakoob while talking to media. “However, the company wants to look after the requirements of the masses in both urban and rural areas and we hope that our new model will address that.” The company has slashed the price of its new model to Rs115,900 in order to make it competitive and acceptable among other brands available in the market in the same category. But the new variant also comes with few condensed features such as lack of diskbrakes. “We made these changes to bring its price down to a level where customers may not rate it overpriced,” said Yakoob. Pakistan’s two wheeler production crossed 2 million units in the previous fiscal year, out of which the share of 125cc models was around 350,000 units.

Meanwhile, Yakoob said that Yamaha has sold around 15,000 units in 2016 and is aiming for higher numbers in the coming years. “We have already reinvested $150 million in the Pakistani market and currently we can produce up to 150,000 units annually,” he said, adding that based on the rising demand, they can further enhance their production capacity in the future. In the other hand, Yamaha Motor

Pakistan Managing Director Shigeru Ishikawa said that the company’s new model will serve as a weapon to cut into the mass segment. “We have confidence in our new product and it’s a time for us to enter the next stage,” he said. “We are aiming 100,000 units sales in coming few years and YB 125Z will play an important part in achieving that target.”

www.automark.pk | May-2017 | Page 46

Monthly AutoMark International

Automotive News - Update

Volkswagen in talks to make big push into Pakistan

Pakistan – Volkswagen has made significant progress in talks to establish manufacturing operations in this South Asian port city of Karachi, a top government official says. “Volkswagen Commercial Vehicles is in final talks with Premier Systems, the authorized importer of Audi vehicles in the country, to set up a manufacturing/assembly plant for its A ma r o k a n d T 6 m o d e l s a n d Volkswagen,” Tariq Ejaz Chaudhary, CEO of Pakist an’s Engineering Development Board, confirms to website: WardsAuto. A senior official at Premier Systems adds VW is considering establishing production of Audi luxury vehicles in the country. “Volkswagen Commercial intends to use the same plant Audi intends to build for the assembly of its own vehicles in Karachi,” the official says, adding VW plans to open about 40 dealerships across Pakistan to accommodate rising demand for its Amarok pickup and T6 vans. The possible launch of the three vehicles

in Pakistan’s market of 190 million people follows forecasted demand arising from the China-Pakistan Economic Corridor program of development projects backed by the Chinese government. A VW manufacturing presence also would be among the latest results of the businessfriendly policies pursued by Prime Minister Nawaz Sharif. Federal Commerce Minister Khurram Dastgir Khan confirms to WardsAuto that VW “is in talks with government of Pakistan to launch its passenger/commercial plants in Pakistan,” although he doesn’t comment on the status of the negotiations. Another possible motive for VW to enter Pakistan is the scheduled July launch of refineries able to produce high-quality diesel fuel. The fuel will be produced with a sulphur limit of 500 parts per million and lower sulphate particulate emissions, meeting the country’s air-quality standards for heavy-duty highway engines. Oilmarketing companies already are i mp or t in g hi gh- q uali t y d i ese l.

German automakers sold 3.54 million vehicles in Pakistan, Malaysia, Phili pp ines, Taiw an, Thai land, Singapore and Vietnam in 2015, the most recent year for which figures were available from the VDA, the automakers’ industry association. Sales in India, where VW operates an assembly plant, totaled 3.4 million. V ol k sw ag en an d A ud i v e hi cl e manufacturing would be a huge boost to Pakistan, given its low levels of foreign direct investment and falling exports. Experts say greater investment could counteract Pakistan’s economic weaknesses, such as a widening trade deficit. Other automakers considering production in Pakistan include Hyundai, which may form a joint venture with textiles manufacturer Nishat Mills; Kia, which may partner with Lucky Cement, one of the country’s largest cement makers; and Renault, which is in talks with India’s Ghandhara Nissan Motors to use its Karachi plant for car assembly. –with Barbara Bierach, in Friedrichshafen, Germany

www.automark.pk | May-2017 | Page 47

Automotive Sector - Update

Monthly AutoMark International

Corporate News - Glimpses

First DFSK Prince Exclusive Show room in Lahore with 4 Variants (MPV C37, Mini Bus K07, Loader K01 and Glory 7 seaters Passenger Car

Mr . Farhan Hanif visted to SSP -- ACLC Mr.Manzoor Khatian at his office last month , Muhammad Sabir Shaikh, Chairman Pakistan Tajir Ittehad & APMA, M.Tariq Mughal DSP - ACLC along with other staff of ACLC, Mr.Qasim qasim including other members of Crown Group were present at the occasion

Bridge Power Batteries booth at My Karachi Exhibition on last month in expo center www.automark.pk | May-2017 | Page 48

Generated by Foxit PDF Creator ÂŠ Foxit Software http://www.foxitsoftware.com For evaluation only.

Monthly AutoMark International

Exclusive Review by PBC

The Best tools to promote your brand in Pakistan Performance based marketing, Building a brand name, Long term marketing tactics, winning the hearts might be quotes from other nations These are the things which are common in most of the world. Infact in our neighboring countries the marketing means marketing. Whereas over here we can easily find out that marketing is second name of selling. Performance based marketing refers to the efforts where you have a product that is capable to prove your claims. So, you opt for tests through third parties. This kind of technique can be termed as one of the best for short and medium term results. Which jointly refer to long term and positive outcomes. Building a brand name through different techniques, like providing best possible customer services that are considered unqiue by customers, is another strong tool to take your brandâ&#x20AC;&#x2122;s graph upwards. Winning the hearts means the entrance in hearts of people for long term business. This goal is achieved by using different tools so that customers always feel positive whenever he/she is thinking or needing you. Though this is a very difficult task, but this path of success is like a tree. As you will be enjoying the fruits for very long.

Now, what is going on here in Pakistan?

Or what if I rephrase my question and Say: Who is the king in two wheels industry of Pakistan? Customer? Aaah ! Take a long breath and share what you really think about this issue. Your answer will be, . . . Dealers! Yes, he is the king in Pakistan. If customer is the king then who is listening to him? If customer is the king then why do companies put huge costs on furnishing the dealerships? Then, why do companies keep on investing huge amounts on annual dinners of dealers? Then, why do companies invest in tours of dealers to different countries? If customer is the king then why do warranty claim centers try their best to not to entertain even for genuine cases? If customer is the king then why there

has been nothing like Riders annual meet up supported by the motorcycle companies? Then, why customer services are not the important section of the business for motorcycle companies? Customer is Infact the last part of the game. I being part of Pakistan Bikers Club have been trying to create awareness among riders so that they realize their importance as customers.

Media Partner 7 - 9 May-2017 www.automark.pk | May-2017 | Page 49