Al-Haj, Hyundai enter partnership to produce heavy commercial vehicles
KARACHI (Web desk )- Pakistan’s conglomerate Al-Haj Group and South Korean automobile giant Hyundai has entered into partnership for producing top-of-the-line heavy commercial vehicles through a technology transfer contract (TTC), under the subsidy Al-Haj Hyundai Pvt. Ltd.
In the initial phase of the joint venture, Al-Haj group will produce a heavy duty truck XCIENT, with different variants, UNIVERSE Luxury buses, for intercity travel, and MIGHTY medium and light duty trucks.
Al-Haj group would establish a state-of-art manufacturing cum assembling plant in Karachi for which 30 acres of land has already been bought near National Highway. The project is expected to become operational by May-2018.
“Hyundai preferred us because of our experience in production of heavy vehicles,” said Al-Haj Hyundai CEO Bilal Khan Afridi. The price of these heavy vehicles would be higher than Chinese variants but would be at least 10pc to 15pc cheaper than Japanese brands.
It is being anticipated that 4pc of the global trade would pass through China-Pakistan Economic Corridor (CPEC) by 2020 owing to which a hike in demand of heavy vehicles is expected.
Hyundai’s annual production capacity stands at 16,00,000 units whereas over 193 countries across globe use its vehicles.