ISLAMABAD: Pakistan’s local car assembling capacity per year has increased from 270,000 units to 500,000 within the past six years as a result of the implementation of Auto Policy 2016-21, Chief Executive Officer (CEO) Engineering Development Board (EDB) said.

While briefing the Senate Standing Committee on Industries and Production, which met here under the chairmanship of Senator Khalida Ateeb, the CEO of EDB said that following the implementation of 2016-21 auto policy almost 60 percent of the spare parts being used in vehicles are locally manufactured and rest are being imported.

The committee reviewed matters regarding the excessive rise in steel prices and measures taken to reduce it; exorbitant vehicle prices and delayed delivery; imposition of minimum turnover tax on Special Economic Zones and withholding of LCs; allocation of industrial plots by the PIDC; issues and problems faced by Karachi Tools, Dies and Moulds Centre; and retrenchment of employees of Pakistan Steel Mills.

The EDB CEO said that the institute has taken various steps to timely ensure the delivery of vehicles to clients, adding that government imposes penalty on a car manufacturer if it is delaying delivery over two months.

Reviewing exorbitant vehicle prices and delayed delivery to customers the committee stressed the need for timely delivery. It was asserted that customers that have completed payments must not be charged any further difference that might occur due to fluctuating dollar rates and other local or international factors.

Copyright Business Recorder, 2022