KARACHI: Due to delay in the agreement with Gandhara Nissan Limited (GNL), the French carrier company Renault has agreed to partner with Arab company Al-Futtaim group for assembling and selling of vehicles in Pakistan. Renault Group and Al-Futtaim group signed a new planting agreement in Karachi to assemble vehicles. However, the delivery of the amount between them depends on the conditions set by the governmental agencies.
On both sides, the hope is that the construction of new plants will be started in early 2018, while the sale of vehicles will be started at the end of 2019 or 2020. Both companies avoided to tell the investing money and neither tell a number of vehicles to be manufactured through this new plant in a year. However, the Al-Futtaim group said, “We will invest so much that this project can succeed, but as a private company, we can not share our financial details.” The statement said that the Renault Group has stepped into Pakistan to bring itself internationally, which is an annual growth market up to 10 percent. Renault said that with Al-Futtaim’s contribution, Renault wants to play a role in Pakistan.
“We want to bring innovative products to Pakistan and want to set a new example on the safety and quality of the market,” said Fabrice Cambolive, senior vice president of the Renault Company and Africa, Central Asia and the Indian region. Al-Futtaim auto head Lane Hunt said that with a 20-million population, Pakistan is a rapidly growing economy and stepping into such a rapidly growing market is a very important strategy.
He said that Renault Group is one of the world’s largest brands and Europe’s leading carriers company is now stepping into our market. He said that we will try to establish a World Class Institute in Pakistan.
According to the agreement, Renault Group will bring information about its innovative products and technology to Pakistan, while Al-Futtaim Group will launch a new manufacturing and assembly plant with its sub-company Al-Futtaim Automotive Pakistan Limited, which will be manufactured by Renault vehicles.