Chinese EV major BYD to roll out first car assembled in Pakistan by 2026
The world's largest EV maker aims to capture growing demand for electric and plug-in hybrid vehicles in Pakistan.
The automaker has been expanding rapidly outside its home market, where it is in a strong price war.
The Pakistan assembly plant addresses rising demand from emerging markets and allows the company to take advantage of incentives offered by the Pakistani government.
The plant has been under construction since April near Karachi in a partnership between BYD and Mega Motor Company, a subsidiary of Pakistani utility Hub Power, Danish Khaliq, vice president of sales and strategy at BYD Pakistan, told Reuters.
Initially, the facility would have the capacity to produce 25,000 units a year on a double shift. It will start by assembling imported parts, with some local production of non-electric components, said Khaliq.
He added it would initially produce vehicles for the domestic market, with potential to export to right-hand drive countries in the region depending on freight costs and business economics.
"We do not foresee excess capacity in our system as demand in Pakistan will catch up," he also said.
BYD is hoping that the market size of EVs and plug-in hybrid cars in Pakistan would grow three to four times in 2025 from around 1,000 total units in 2024.
The automaker is targeting a 30-35 per cent share of the segment.
The carmaker will launch its Shark 6 plug-in hybrid pickup truck in Pakistan on Friday.
China's MG already sells a PHEV SUV, while rival Haval is set to join the segment soon.
China's BYD will delay mass production at its new electric vehicle factory in Hungary until 2026 and will run the plant at below capacity for at least the first two years, Reuters reported, citing sources.
At the same time, China's No. 1 automaker will start making cars earlier than expected at a new plant in Turkey where labour costs are lower, and will vastly exceed its announced production plans, one of the sources said.
Shifting production away from Hungary in favour of Turkey would be a setback for the European Union, which has been hoping that its tariffs on EVs made in China would bring in Chinese investments and well-paid manufacturing jobs.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Mint
21 minutes ago
- Mint
Oil steadies as investors assess US-EU deal
LONDON (Reuters) -Oil prices edged higher on Monday as investors assessed a trade deal between the United States and the European Union, while a stronger US dollar and lower oil imports by India weighed on prices. Brent crude futures were up 30 cents, or 0.4%, to $68.74 a barrel by 0813 GMT, while U.S. West Texas Intermediate crude stood at $65.43 a barrel, up 27 cents, or 0.4%. The U.S.-European Union trade deal and a possible extension in the U.S.-China tariff pause are supporting global financial markets and oil prices, IG markets analyst Tony Sycamore said. Sunday's U.S.-EU framework trade pact sets an import tariff of 15% on most EU goods, while U.S. President Trump said the deal calls for $750 billion of EU purchases of U.S. energy in coming years. Senior U.S. and Chinese officials will meet in Stockholm on Monday, aiming to extend a tariff truce before an August 12 deadline. Oil pared most of its gains on Monday after Brent futures rose above $69 a barrel earlier in the day. Oil retreated from those levels as focus shifted to a stronger US dollar and lower oil imports by India, following the removal of another uncertainty with the US-EU deal, PVM analyst Tamas Varga said. On the supply side, an OPEC panel is unlikely to alter existing plans to raise oil output when it meets on Monday, four OPEC delegates told Reuters on July 25. ING expects OPEC will at least complete the full return of 2.2 million barrels per day of the additional voluntary supply cuts by the end of September. Also on the supply side, Venezuela's state-run oil company PDVSA is readying to resume work, once Trump reinstates authorisations for its partners to operate and export oil under swaps, company sources said. In the Middle East, Yemen's Houthis said on Sunday they would target ships of companies that do business with Israeli ports, regardless of nationality, in what they called a fourth phase of military operations against Israel over the Gaza conflict. (Reporting by Enes Tunagur in London, Florence Tan in Singapore and Sam Li in Beijing; Editing by Clarence Fernandez, Jacqueline Wong and Giles Elgood)
Mint
21 minutes ago
- Mint
Forget Cartier: Made-in-China luxury captivates Chinese consumers
China's Laopu, which specializes in gold jewelry, sees a gap in the European-led luxury market. Well-off Chinese used to chase Western luxury bags and jewelry as symbols of status. Now, in a challenge to the likes of Cartier and Yves Saint Laurent, they are turning to homegrown brands. Little-known in the West, names such as Laopu, Mao Geping and Songmont are winning over Chinese customers with a pitch that combines locally inspired designs and cultural pride. Beijing auditor Zhou Linanfang, 35, noticed long lines outside a store selling Laopu gold jewelry from her hospital room last year when she was about to give birth. Her social-media feeds added to the buzz around the brand. Zhou, like many in her generation, considered gold jewelry unfashionable but changed her mind after seeing the filigree flower rings, gourd-shaped pendants and phoenix hairpieces in Laopu designs. Soon after the arrival of her baby boy, her husband lined up at a Laopu store in Beijing for an hour to buy her a butterfly-shaped pendant for $1,600. 'It's just stylish," Zhou said. 'Now that we have luxury gold pieces, as someone who loves fashion, how could I not get one?" Also taking notice are Western luxury-brand CEOs such as Johann Rupert, chairman of Cartier parent Richemont. He was asked in May whether Laopu was a threat. The brand is 'tied to nationalism and tied to patriotism, and they have a lot of wins in their favor," Rupert said. However, he added, 'Cartier is universal." For Hermès, the resale value of its bags remains an advantage over Chinese rivals. Sales of luxury products in mainland China, mostly Western brands, fell around 20% last year to less than $50 billion, according to consultants at Bain. They said China accounted for about one in eight dollars spent on luxury globally. For the year ended March 2025, Richemont's sales in China fell 23%. Laopu listed its shares in Hong Kong last year and its stock surged, giving the company a market capitalization of more than $15 billion. By contrast, shares of Gucci owner Kering have declined more than 20% compared with a year earlier as the China growth hopes that formerly drove luxury shares have faded. In June, NBA player Victor Wembanyama was seen wearing Laopu's signature gourd-shaped pendant at a sports-card show in New York after visiting China. Zhou said she liked the idea of buying gold jewelry because it might retain its value better in an era of growing economic uncertainty. She said she no longer bought a luxury handbag or jewelry every six months like she used to. 'I might lose my job tomorrow, so I definitely need to cut back," she said. Laopu's chairman, Xu Gaoming, told shareholders in April that the company has carved out a niche with little direct competition. Chinese gold jewelry makers aim for the mass market, while European fine jewelers don't specialize in gold. Laopu's black-and-white stores offer a minimalist ambience, while pampering customers as they wait with Evian water and Godiva chocolate. A Laopu store in Beijing. As those perks suggest, European brands still have a cachet that is hard to match. People in the luxury business said the Chinese brands might even serve as a feeder to get younger consumers interested in luxury. Vanessa Piao, a luxury-bag reseller in China, said more buyers are treating their purchases as an investment, and they often prefer prestigious names such as Hermès, Chanel and Louis Vuitton. 'They are happy to pay $20,000 for a Birkin 25 because they can resell it in a few years without losing much," Piao said, referring to the Hermès bag. 'They won't pay that money for a luxury bag or any fashion item from a domestic brand, no matter how exquisite and rare it is, because that, to some, is the equivalent of throwing $20,000 down the drain." Sophia Zhang, 32, was a loyal customer of Lancôme and Estée Lauder until she became a fan of Mao Geping, the namesake brand of a Chinese makeup artist. Its cream and foundation typically cost half or less the price of the international brands. A 100-gram jar of its signature moisturizer costs $139, compared with $280 for a smaller jar of a top-of-the-line Lancôme moisturizer. 'In the past I figured I'd splurge on skin care, believing those big names were the best, and I'd dismiss local products just because they were cheaper," said Zhang, who, like Zhou, said she still buys some European brands. Now that she has found a less-expensive alternative that suits her, she said, 'it'll be tough to go back." Backstage at a Mao Geping show during Beijing Fashion Week. China is also developing some accessible luxury brands priced comparably to Coach and Michael Kors. One is Songmont, known for its simple and modern designs in products such as a $529 shoulder bag. Twelve-year-old Songmont was co-founded by Fu Song and Wang Jie, designers who graduated from China's top art schools. Some of their first products, with Chinese brocade linings depicting auspicious Chinese motifs like dragons, phoenixes and butterflies, were fashioned by Fu's grandmother and other craftspeople in western Shanxi province. Like many other niche brands around the world, Songmont emphasizes sustainability and its sourcing of threads and oils for its leather bags from Germany and Italy. Its stores incorporate pine trees and rocks, and it brought on tennis star Li Na to promote the brand to channel a bold vibe. The next question is whether the Chinese brands can go global. Shein and Temu have succeeded in e-commerce with rock-bottom prices on mostly Chinese-made goods, and some Americans have taken to Labubu, the viral troll-like toy from China's Pop Mart. Laopu, the jewelry retailer, opened its first overseas store in Singapore in June and will venture to Japan next, but a person close to the company questioned whether Western consumers were ready to embrace marketing based on traditional Chinese culture and aesthetics. Bain consultant Claudia D'Arpizio said Labubu's success suggested Gen-Z consumers were open to buying Chinese. However, she said, 'for more of the core high-end luxury customers in the U.S. and in Europe, made-in-Europe is still very important." Write to Shen Lu at
Time of India
27 minutes ago
- Time of India
From 'Yeh Sindoor Ki Rani…' to 'Results Matter': Top 10 quotes from Rajnath Singh's Operation Sindoor speech in parliament
Defence Minister Rajnath Singh on Monday addressed the Lok Sabha as he opened the debate on Operation Sindoor, India's swift counteroffensive against Pakistan. He described the mission as a symbol of bravery, strategic precision, and restraint, shutting down allegations that India acted under any external pressure. Explore courses from Top Institutes in Please select course: Select a Course Category Product Management Data Science Data Science Digital Marketing Artificial Intelligence Data Analytics Degree PGDM MBA healthcare Finance CXO Others Operations Management Leadership Design Thinking Management Public Policy Project Management Cybersecurity Skills you'll gain: Product Strategy & Roadmapping User-Centric Product Design Agile Product Development Market Analysis & Product Launch Duration: 24 Weeks Indian School of Business Professional Certificate in Product Management Starts on Jun 26, 2024 Get Details Skills you'll gain: Product Strategy & Competitive Advantage Tactics Product Development Processes & Market Orientations Product Analytics & Data-Driven Decision Making Agile Development, Design Thinking, & Product Leadership Duration: 40 Weeks IIM Kozhikode Professional Certificate in Product Management Starts on Jun 26, 2024 Get Details Here are the top quotes from his parliament speech: The important quote: "No important military asset of ours was damaged." In a poetic tribute to the spirit of the armed forces, Singh began with a line that set the tone of the discussion: 'Yeh sindoor ki rani, shaurya ki kahani hai, Bharat ke mastak par veerta ki nishani hai.' ('This sindoor is a story of courage, a symbol of bravery on India's forehead.') 'The entire operation was concluded within 22 minutes,' Singh said, highlighting the surgical efficiency of the strike that targeted terror infrastructure across the border. He dismissed claims that the mission was halted under global pressure, stating: 'India paused its action because the pre-decided political and military objectives were achieved… Saying that this operation was paused under any pressure is baseless and absolutely wrong.' 'In my political life, I have always tried not to speak lies ever.' 'We had many options, but we chose the one that caused maximum damage to terrorist camps while avoiding harm to innocent civilians in Pakistan.' Singh applauded India's advanced air defence systems for thwarting Pakistani retaliation: 'S-400, Akash missile system, air defence guns, these proved to be very useful and completely foiled this attack by Pakistan.' Responding to the Opposition's criticism, Singh recalled the BJP's own conduct during previous conflicts: 'In 1992, when we (BJP) were in Opposition, we did not ask the then government how many tanks and machines we lost; same was the case during the war of '71.' He urged everyone to focus on the bravery of soldiers rather than war statistics: 'Machino aur topo ki chinta na karein, apne sainikon ki kariye.' (Don't worry about machines and guns, honour our soldiers instead.) Singh ended with a pointed remark aimed at critics: 'Results matter in any exam.' Rajnath Singh said, "India wants friendly relations with Pakistan and other countries, successive governments have made efforts in this regard." "If we know how to make efforts for peace, we also know how to speak and explain in the language that the vicious understand," he added. "We have learnt from Lord Krishna that in the end, one needs to pick the Sudarshan Chakra to protect 'Dharma'. We saw the 2006 Parliament attack, 2008 Mumbai attacks- and now we have said enough is enough, and picked the Sudarshan Chakra..."
