Yamaha Motors will invest US$150 million in auto sector of Pakistan to produce two-wheelers in the country.
This was stated by Sumioks, Senior Executive Officer of Yamaha Motors Pakistan (YMPK) while addressing a press conference here on Thursday.
He said that the company would start production of motorcycles with engine capacity of 100cc and above from 2015.“We have already submitted the application for registration to Securities and Exchange Commission of Pakistan (SECP) and 18 months after getting approved from the SECP, the company would start its production”, Sumioks added.
He said that initially, YMPK will produce 40,000 units which will be gradually increased and after five years the production would reach to 400,000 units per year.
He said that company would have its own factory and office of 50 acres at Bin Qasim Industrial Park Karachi.
“We will have high ration of localization in manufacturing starting from 25 percent since the first day of commercial production up to 85 percent in five years,” he added.
He said the investment will help boosting economic activity, increasing foreign direct investment, creating job opportunities, developing human resources and broadening the base of parts supplier industry.
He said the investment will create nearly 2000 job opportunities directly and 25,000 indirectly.
He said that he motorcycles would be fuel efficient and they would have new technology with Euro-II & Euro-III compliance which were not yet manufactured in Pakistan.
On the occasion, Feroz Shah, Honorary Councilor of Board of Investment (BoI) in Japan said that after producing motorcycles, Pakistan would be able to export them.
“The Annual production of motorcycle is around 1.8 m in Pakistan but almost all domestic models, so export is negligible.
This plant will bring the opportunity not only for the export motorcycles but also vendors will be able to export their parts as well,” he added.
Copyright APP (Associated Press of Pakistan), 2013