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Wednesday, May 22, 2024

Volkswagen to enter Pakistani automobile market in 2022

Volkswagen the world's largest car-manufacturer will enter the Pakistani car market in 2022 providing consumers with further diversity

Volkswagen (VW) has announced that it will start production of vehicles in Pakistan by 2022. Volkswagen’s entry into the Pakistani automobile market will give Pakistani consumers much-needed diversity.

Volkswagen is the biggest car producer in the world. It is also one of the oldest and well-known car manufacturers in the world. The German carmaker has several renowned brands under its wing including Lamborghini, Porsche, Audi, and Bugatti.

Volkswagen to produce pickup Amarok, and Transporter van initially

The company will initially be producing pickup Amarok, which comes with single The company will compete with the existing pickup Truck and Transporter van market initially. It will produce pickup Amarok and a Transporter van similar to Toyotta’s Hilux Revo and Suzuki’s APV respectively.

According to news reports, however, passenger cars may also still be on the table.

Other competitors of the VW’s introductory vehicles will likely be the Isuzu D-Max, as well as Kia Grand Carnival and Hyundai Grand Starex.

Volkswagen has acquired the greenfield status to enter Pakistani market

The automaker will be working under the greenfield status, as per the Automotive Development Policy (ADP) 2016-21.

Initially, the assembly plant will work with a capacity of around 28,000 vehicles annually. The setting up of the plant however has suffered a delay of 8 months due to the coronavirus pandemic.

Read more: Volkswagen to end iconic ‘Beetle’ cars in 2019

The car manufacturer will partner with Premier Motors in its entry into the Pakistani car market.

There is no word as to when and if the automaker will compete in the passenger car segment of Pakistan, however.

“The Beetle”

According to the History Chanel on May 28, 1937, the government of Germany–then under the control of Adolf Hitler of the National Socialist (Nazi) Party–forms a new state-owned automobile company, then known as Gesellschaft zur Vorbereitung des Deutschen Volkswagens mbH. Later that year, it was renamed simply Volkswagenwerk, or “The People’s Car Company.”

Originally operated by the German Labor Front, a Nazi organization, Volkswagen was headquartered in Wolfsburg, Germany. In addition to his ambitious campaign to build a network of autobahns and limited access highways across Germany, Hitler’s pet project was the development and mass production of an affordable yet still speedy vehicle that could sell for less than 1,000 Reich marks (about $140 at the time).

Volkswagen sales in the United States were initially slower than in other parts of the world, due to the car’s historic Nazi connections as well as its small size and unusual rounded shape. In 1959, the advertising agency Doyle Dane Bernbach launched a landmark campaign, dubbing the car the “Beetle” and spinning its diminutive size as a distinct advantage to consumers.

Read more: Volkswagen and three others set to launch operations in Pakistan

Over the next several years, VW became the top-selling auto import in the United States. In 1960, the German government sold 60 percent of Volkswagen’s stock to the public, effectively denationalizing it. Twelve years later, the Beetle surpassed the longstanding worldwide production record of 15 million vehicles, set by Ford Motor Company’s legendary Model T between 1908 and 1927.

GVS News Desk