The new auto policy will lure European investment :Mian Zahid Hussain

Lahore:  Senior Vice Chairman of the Businessmen Panel of FPCCI Mian Zahid Hussain on Monday said government has preferred interests of masses in the new auto policy.

The new auto policy will lure European investment which will trigger healthy competition among automakers that will improve quality and reduce prices, he said.

Mian Zahid Hussain lauded the decision of the government to allow tax breaks and import duty relaxations to new entrants to attract investment which will tackle issues like frustration of consumers, poor quality of cars, and lack of driver’s safety, obsolete technology and unjustified annual price hike.

He said that three Japanese automakers are working in the country that have failed to focus on anything but profits which resulted in low quality product and unsatisfactory localisation that could have saved foreign exchange and provided jobs.

The situation turned against the interests of consumers and tilted heavily towards automakers which prompted the government to take decision to lure European automakers which will result in healthy competition.

He said that local automakers are too much focused on profits which has resulted in smuggling of vehicles worth billions and import of old models of cars which are regarded as superior than the local brands by consumers.

Government should consider announcing incentives for Japanese automakers who have yet not stepped into Pakistani market, he said, adding that duty slapped on steel products should be reconsidered as it will damage the slow process of localisation.