8-member Chinese delegation from Sichuan province Hebei Chamber of Commerce has arrived in Pakistan on invitation of Mr. S.M Naveed, President Pak- China Joint Chamber of Commerce and Industry (PCJCCI) to review joint venture opportunities in the fields of Automobiles innovative accessories, Town Planning and vertical buildings infrastructure. Delegation was manly comprised of Mr. Gaoqiang, Mr. Xu Yingliang, Mr. Cao Wei, Mr. Yang Yongang and Mr. Cao Zaiqiang.
President PCJCCI, Mr. S.M Naveed and Vice President Rana Mehmood Iqbal briefed the delegation regarding the demand of innovative energy efficient automobiles, car accessories and vertical buildings in Pakistan. S.M. Naveed told that the the automotive industry in Pakistan is the one of the fastest growing industries of the country, accounting for 4% of Pakistan’s GDP and employing a workforce of over 1,800,000 people. With the growing demand of automobiles, demand for the car accessories has also increased, he said.
The head of delegation, Mr. Gaoqiang said that we want to venture with Pakistan in mechanical parts and accessories, Electric motor parts and accessories and Electronic parts and accessories. According to Mr. Gaoqiang, China has extensive manufacturing facilities that could be relocated to Pakistan based on the demand of accessories. He said that China is eager to make a massive investment in the Pakistani auto-sector where the vehicle’s quality and price will boost the competitiveness in the market. The process of putting the plant together is expected to be completed in 2 to 3 years.
S.M Naveed informed the delegates about the automotive policy 2016-2021, according to which, new investors under the category ‘A’ shall be eligible for the Duty-free import of plant and machinery on a one-time basis, Concessional rate of custom duty @ 10 percent on non- localized parts and @ 25 percent on localized parts for a period of five years for the manufacturing of Cars and LCVs, eligible to import 100 vehicle at 50 percent of the prevailing duty for test marketing of the project, told S.M Naveed.
Chinese Delegates further shared their plan for an exclusive China Town in Lahore to reside Chinese experts and investors, he said and hoped that after the completion of that model China town, the design will be replicated for the local citizen as well.
Adding to this, Rana Mehmood Iqbal told the delegates that PCJCCI has already been taking initiatives for the formation of model China Town that could attract more investment and promote ventures in real estate and construction sector. He said that we have to bring the unique Chinese vertical building designs before the people to create a need and demand. When people will see something visible, they will be automatically attracted, added Rana Mehmood.
Both parties were optimistic towards joint ventures between China and Pakistan in the fields of automobiles accessories, building infrastructure and town planning. The meeting ended with serious reviews for setting up manufacturing concerns of car accessories and Development of Pak-China joint housing schemes.
It was notable that for a resource-constrained Pakistan, an investment of $62 billion in the projects under the umbrella of CPEC, presents the ideal platform to nullify the effects of past missed opportunities and embark on a path of sustained economic growth.
Source: PCJCCI Press Release