The Volkswagen factory in Hub, Balochistan, to produce 30,000 cars annually
Volkswagen and Skoda cars are expected to be launched in Pakistan by the mid of next 2023 as the first Volkswagen manufacturing plant will soon begin operations in Pakistan.
Volkswagen is investing around $135 million to set up an assembly unit in Pakistan. The production of Volkswagen and Skoda crossover and SUVs in Pakistan has been described as a “major breakthrough” for Pakistan’s automotive sector.
The plant located in Hub, Balochistan, will mark the entry of locally assembled Skoda and Volkswagen premium cars for the first time in the country” said Premier Motors Limited (PML), a licence assembly partner of the German auto giant Volkswagen Group. PML is the authorized importer of Audi vehicles in Pakistan.
PML said that the Volkswagen Group plans to enter CKD assembly with Premier Motors Limited with a cutting-edge, fully integrated production plant.
The factory will have a capacity to produce 30,000 vehicles annually. The construction of the plant began in July 2021 and is continuing in full swing.
The company recently appointed AKD Securities Limited as its financial adviser for achieving the financial close of its CKD Assembly Plant Project in Pakistan.
Volkswagen AG signed the final legal agreement for manufacturing commercial vehicles with Premier Motors Ltd in Hanover, Germany, in 2018.