History of Pakistan Automobile Industry

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The automotive assembling in Pakistan started in 1950 when National Motors Limited, a public limited company and the pioneer in the industry, came into existence. Established by General Motors of USA National Motors assembled passenger cars as well as commercial vehicles which carried “General Motors” brands such as Bedford, Vauxhall, Chevrolet and Holden.

A regular car industry started in the country in 1983, when Suzuki commenced production eyeing the small and LCV car segment of 800cc-1000cc range, and introduced Suzuki car which targeted the middle-income group (constituting the larger segment of the market) by providing an affordable car. Then there was a long gap until the early 90’s when Indus Motor Company was established to manufacture Toyota vehicles in Pakistan. Soon after Honda Atlas came with the Civic and Gandhara Nissan entered the market with Sunny. Some years later Dewan Motors set up a plant to manufacture Hyundai and Kia vehicles in Pakistan. Since then the market has changed all together.

After struggling through nineties, a decade full of uncertainties and frequent policy the Pakistani Auto Industry has been able to achieve double digit growth consistently since the last 4 years. The industry operates under franchise and technical cooperation agreements with Japanese, European and Korean manufacturers. The contribution to economy by automobile industry in Pakistan is as follows

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