Pak Suzuki shuts down plant, incurring ‘billions’ in losses due to govt restrictions
- EDB says restrictions come due to company's 'non-compliance' with safety regulations
Pak Suzuki Motor Co. Ltd on Thursday said it has shut down its plant due to the government’s refusal to release its CKD (Completely Knocked Down) kits from the port, resulting in billions of rupees in detention and demurrage charges.
Pak Suzuki’s Head of Corporate Affairs Shafiq Ahmed Shaikh said CKD kits have been lying at the port for 45 days, disrupting production.
“The government is also not receiving any taxes and duties due to no production and sales,” Shaikh stated.
25% sales tax: Pak Suzuki increases price of Swift GLX CVT in Pakistan by Rs304,000
“The industry has requested the government to follow the auto policy 2021-26, otherwise, new investors will not come and existing ones will also face a critical situation.”
However, an official at the Engineering Development Board (EDB) told Business Recorder that the issue arose as Pak Suzuki is currently “non-compliant with known safety regulations”.
Comments
Comments are closed for this article.