PARIS/DUBAI: Leading French car maker Renault and Dubai’s Al-Futtaim Group have signed an agreement to set up a new state of the art car plant in Karachi to assemble and distribute Renault vehicles in Pakistan, the car maker announced on Monday.
“Group Renault is delighted to extend its international footprint by entering Pakistan, a fast-growing market with a 10% annual growth rate. By partnering with Al-Futtaim, a very professional and renowned automotive partner, Group Renault aims to become a major player in Pakistan. We aim to bring our latest products and cutting-edge technology and set new benchmarks of safety and quality in the market,” said Fabrice Cambolive, Senior Vice President, Chairman of the Africa Middle-East India Region of the Group Renault.
“We are very excited to represent Group Renault which is among the top automotive brands worldwide, and a leading European car manufacturer entering this market. We will endeavor to add real value to the Pakistani auto sector and consumer, and to create a world-class organisation in Pakistan. Al-Futtaim also looks forward to a very long and successful partnership with Groupe Renault,” said Len Hunt, President of Al-Futtaim Automotive.
The agreements will see Renault bring its latest products and technological know-how, whilst Al-Futtaim, through its new subsidiary Al-Futtaim Automotive Pakistan (Private) Limited, will establish a new manufacturing and assembly plant, and exclusively distribute Renault cars through its extensive knowledge of the market.
“The parties expect that the plant will be built starting the first quarter of 2018 in Karachi as per Groupe Renault standards, and car sales are planned to start in 2019, ramping up in 2020,” says the statement issued by Renault.
The Ambassador of Pakistan to France Moin ul Haque welcomed the development and termed it an extremely positive development which is an acknowledgment of Pakistan’s growing economic strength and conducive investment environment.
A leading car brand, Renault has been making cars since 1898. Today it is an international multi-brand group, selling close to 3.5 million vehicles in 127 countries in 2016, with 36 manufacturing sites, 12,700 points of sales and employing more than 120,000 people.