Islamabad, January 26, 2022 (PPI-OT): 20th meeting of the Standing Committee on Industries and Production was held under the chairmanship of Mr. Sajid Hussain Turi, at Hyundai Nishat Motors (Pvt) Ltd, Industrial Area Faisalabad. Mr. Norez Abdullah, CFO for Hyundai Nishat Motor welcomed the delegation at Hyundai Plant. He briefed the Committee about the investments, joint venture structure, key milestones, dealership network, employment creation, and localization progress of the institute.

He said the company was awarded status on June 21, 2017, for the production and assembling of LCVs, SUVs, and Passenger cars in Pakistan. Accordingly, the company signed an Investment Agreement with the Ministry of Industries and Production (‘MoI and P’) wherein the following conditional incentives were approved by MoI and P under Automotive Development Policy (2016-21):

Import of 100 CBUs each model at concessionary duties Import of plant and machinery at zero duties

Import of CKDs for 5 years at concessionary duties

He apprised the Committee that the company has assembled/manufactured 4x new CKD models since Jan 2020 which has set a new benchmark for the auto industry. He also presented the details of CBU’s import under ADP 2016-21 and production data for the last six months. Later on, the Committee Members witnessed the manufacturing facility of different models in detail at the plant.

The committee highly appreciated the performance of the Company. The members expressed their liking for the build quality and features of Hyundai Elantra and Hyundai Sonata. They were of the opinion that these two models will shortly take over a larger share of the market because of their unique position in terms of value for money.

The Committee members raised several questions regarding the ongoing booking process and issues being faced by the public, due to delays in the deliveries of TUCSON SUV. The CFO responded that delay in this regard was only due to the late delivery of ECU chips which is now a well-known global issue and to compensate the aggrieved customers no subsequent ex-factory price increases are being passed on to the customers (except govt levies). The issue of late deliveries is being addressed on an emergent basis and the CEO of the Company is out of the country on a visit to Hyundai Motor to escalate the same.

The Committee assured its full cooperation, in case of any issues from the Government sector including duties, taxes, policy implementation, etc. to Hyundai Nishat for the smooth and effective performance of the auto industry. The Chairman of the Committee thanked for the hospitality extended by the Hyundai Nishat management on the visit of the Committee.

For more information, contact:
Secretary,
National Assembly of Pakistan
Automation Centre, National Assembly Secretariat,
Parliament House, Islamabad, Pakistan
Tel: +92-51-9221082-83
Fax: +92-51-9221106
Email: assembly@na.gov.pk
Website: www.na.gov.pk