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China's BYD plans car plant in Karachi as part of Pakistan entry

Published 08/17/2024, 12:55 PM
Updated 08/17/2024, 01:41 PM
© Reuters. The BYD logo is displayed at the Beijing International Automotive Exhibition, or Auto China 2024, in Beijing, China, April 25, 2024. REUTERS/Tingshu Wang//File Photo
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KARACHI (Reuters) - Chinese electric vehicle giant BYD (SZ:002594.SZ) on Saturday announced plans to open a car production plant in Pakistan, where it will also start selling three models through a partnership with Mega Motors.

BYD is the first major new electric vehicle (NEV) entrant in the Pakistani market, where there is a lack of charging infrastructure.

"Our entry into the Pakistani market is not just about bringing advanced vehicles to consumers," said Liu Xueliang, BYD's general manager for Asia Pacific.

"It's about driving a broader vision of environmental responsibility and technological innovation."

BYD also plans to open three "flagship stores and experience centres" in Karachi, Lahore and Islamabad, the company said at a launch event in Lahore, adding it plans to start selling two SUV models and a sedan from the fourth quarter of 2024.

Mega Motors is a unit of Pakistan's largest private utility Hub Power Co Ltd (HPWR.PSX), known as Hubco.

"We will establish Pakistan's first NEV assembly plant... dedicated to producing BYD's cutting-edge new energy vehicles," said Hubco Chief Executive Kamran Kamal, who described the deal as a "landmark investment".

© Reuters. An attendee takes photos of the Chinese electric vehicle BYD models on display, during an event to announce the plans to open a car production plant in Pakistan, in Lahore, Pakistan August 17, 2024. REUTERS/Stringer

The new plant will begin operations in 2026, Kamal told Reuters.

Hubco will setup fast-charging stations across major cities, motorways and highways to enhance Pakistan's charging infrastructure.

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