By Muhammad Asad Tahir Bhawana ISLAMABAD, May 20 (INP-WealthPK): The introduction of locally manufactured Chinese cars will bring stability to the automobile industry of Pakistan and provide a competitive environment for investors, according to experts. They told WealthPK that the manufacturing of cars by Chinese company Cherry Automobile Corporation Limited in Pakistan would attract investment. The company has started manufacturing Chery Tiggo 4 Pro, and Chery Tiggo 8 Pro locally in collaboration with Gandhara Nissan Limited. Chery Tiggo 8 Pro is a C+segment 7-seater crossover, while Chery Tiggo 4 Pro is a B-segment 5-seater crossover SUV. These brands can compete in the local market with MG, ZS, Sportage Alpha, Toyota Fortuner and KIA Sorento. “Considering the huge potential of Pakistani market and the encouraging policies of government to attract foreign investment through the production of automobiles fetched by China-Pakistan Economic Corridor, we have launched Chery’s first right-hand-drive project in Pakistan,” Felix Hu, the country director of the company, told WealthPK during an interview. The manufacturing companies of automobiles are already contributing a lot to meet the local demand. They are also looking forward to exporting locally made vehicles to other countries. Master Changan Motors has recently exported its first car under Auto Industry Development and Export Policy (AIDEP 2021-2026). The experts believed that the establishment of new car manufacturing plants by Chinese companies will bring stability to the automobile industry by creating a competitive environment in the market. They also pinned hopes on the new plants for the decrease in the skyrocketing prices of vehicles in the country. They argued that the locally manufactured cars will be cheaper as these will be exempted from the customs duty imposed on imported cars. They believed that the new plants will meet local demand to help the country to save its foreign reserves. Pakistan Automotive Manufacturers Association (Pama) said in a recently released report that production of locally manufactured 1300cc and above cars has increased to 84,395 units from July to April in the current fiscal, compared to 62,571 units in the same period last year. The production of 1000cc cars has also increased to 38,170 units in the first 10 months of the current fiscal, compared to 23,734 units in the same period last year. Moreover, production of below 1000cc cars has reached 68,672 units, compared to 40,374 units in the corresponding period last year. The people associated with the industry say that local people have a liking for Chinese cars. It is a manifestation of confidence in the Chinese investors. The introduction of Chinese companies like Changan, Haval and now Chery in the local market will help to end Pakistan’s dependency on imported cars rather it will enable the country to export vehicles. The experts told WealthPK that Pakistan needed to devise more investor-friendly policies and reduce import duty on raw materials to promote the local automobile industry.