KARACHI: KIA Lucky Motors has launched Pakistan’s first all-wheel 2000 CC SUV, KIA Sportage with a price range of Rs4.9 to Rs5.4 million.
KIA Sportage is Pakistan’s first All-Wheel Drive car with 100,000 km or 4 years warranty, said CEO of Kia Lucky Motors, Asif Rizvi while addressing the media at a local hotel Wednesday.
It come in two models- top of the line being an All-Wheel Drive (AWD) version, which is a first of its kind in Pakistan among locally manufactured vehicles.
KIA Sportage limited quantity, introduced at introductory prices, was sold out in just 10 days.
Apart from being the first All-Wheel Drive locally assembled vehicle, KIA Sportage will have panoramic sunroof and several smarts features.
The KLM has invested US$175 million on setting up a new state of the art Auto plant having a capacity of 50,000 units per year.
KIA vehicles will have Euro II engines as per the fuel options available in Pakistan.
He said currently there was potential of producing 450,000 cars in Pakistan, but in year 2018 only 280,000 cars were sold.
There is potential of selling 0.5 million cars by 2025 in Pakistan and 1.0 million cars by 2030. “There is installed capacity of 350,000 cars, which will come to 600,000 after capacity of new entrants. Still more capacity is required,” he said.
In order to achieve such targets and increase revenue, he demanded the government to withdraw recently imposed federal excise duty, additional custom duty should be removed and CKD and auto parts duty should be reduced.
Asif Rizvi informed that currently KLM has 15 dealers across Pakistan and KIA has a 3-year program to expand its dealers’ network in all major cities of the country.
He said that earlier, Pakistani consumers had limited choices of brands and models. There were long waiting periods and some consumers even had to pay premium to get their vehicles delivered early, but after the new entrants come in the market, consumers will not have to pay any premium nor will they have to wait months for delivery of vehicles.
“With the introduction of the new entrants in the local auto sector, customer satisfaction will also improve and we are confident that overall the consumers will benefit,” he said.
Talking about the tax concession for new entrants, Rizvi said that the concessions have been given to attract new investment in the auto sector and thus increase the choices and options of locally produced vehicles for the Pakistani buyers.
The existing players have a huge localization advantage over the new comers in this sector. He said it would take any new entrant at least five years to achieve similar levels of localization, hence the tax concession given by the government to ensure level playing field for all auto players.
KIA Lucky Motors is a partnership between Kia Motors and Younus Brothers Group, which is a reputable entrepreneurial business group.