MG Motors receives Greenfield status to manufacture cars in Pakistan

MG Motors ZS EV

Greenfield status has been given to Morris Garages or MG Motors to produce cars in Pakistan.
In order to attract new car companies to enter the Pakistani market, Greenfield status is given to car assembly companies and includes tax and duty incentives.

The company has already released its compact MG-HS SUV and has announced plans to launch more vehicles, including MG-ZS 1.5, MG ZS EV, which is fully electric and has 44.5 KWH of power, MG-Extender pick-up truck and RX8 SUV.

The general manager of the Engineering Development Board reported that the green-field status for the production of cars in the country has been granted to MG Motors.

MG Motors in Pakistan is a joint venture between JW-SEZ of Pakistan and the Chinese giant SAIC, now owned by MG Motors of Britain. The organization may also produce SAIC’s other cars as well.

Javed Afridi, owner of Peshawar Zalmi’s Haier Pakistan CEO and Pakistan Super League franchise, is a major stakeholder in Pakistan’s MG Motors. He said in a previous interview that after they launched commercial vehicles such as trucks under the banner of JW-Forland, they had a strong experience in Pakistan’s auto industry.

Recently, at MG Motors’ groundbreaking ceremony, Javed Afridi said that they had set up a joint venture with SAIC Motors, which means that the Chinese firm has also made investments in Pakistan.

MG Motors is one of the car companies that arrived in Pakistan after its 2016-21 Auto Development Strategy was declared by the government.

The policy will end in June 2021 and industry sources say car-making firms, dubbed ‘new entrants’ since they came to the country after the policy was announced, have been trying to introduce the maximum number of models before its expiry.

By launching cars during this time, under the government’s program, businesses would be able to obtain tax incentives for five years. The goal of the strategy is to improve the auto industry and foster competition. The dominant players before Kia, Hyundai, and Changan joined the market after 2016 were Japanese Suzuki, Honda, and Toyota.

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