January 13, 2020: Minister for Parliamentary Affairs Muhammad Azam Khan Swati on Monday informed the Senate that the government had approved new autos policy and some 18 vehicle manufacturing units had also been set up in the country.
Winding up discussion on a motion regarding situation arising out of decline in the sale of cars and other vehicles in the country, the minister said as many as five units had already in production lines. Two Korean and five Chinese auto companies were also included in setting up their units in Pakistan, he added.
He conceded that earlier, the auto companies were only assembling vehicles in the country rather than manufacturing although there was zero rated tax on import of manufacturing machineries.
The Minister said safety elements would be ensured in the new vehicles and the manufacturing units would be bound to follow the international safety standard.
Regarding prices of vehicles, the minister said the prices depended on demand and supply of the commodity.
The prices of vehicles also witnessed upward trend due to depreciation of Pakistani rupees, he added.
He requested the chair to refer to the matter to concern standing committee for detailed discussion owing to its importance.
The Chairman Senate referred the matter to the concerned standing committee.
Earlier moving the motion, Kalsoom Parveen said Honda and Toyota had shut down their units resulting crisis in auto sector. She said hundred of thousand workers had lost their jobs. Import of second hand vehicles had also been banned resulting further aggravating the situation, she said.
Taking part in the debate, Atiq Sheikh said the auto production was closed under pre –plan strategy. He said prices of vehicles were very high in the country due to certain mafia. Nauman Wazir, Mohsin Aziz and Zeeshan also spoke on the occasion.