French Govt is Backing Renault’s Entry into Pakistan

Since 2006, there have been reports that Renault is coming to Pakistan and now after 12 years, it is finally happening in part thanks to the Auto Development Policy (ADP) 2016-21 after the company, in partnership with Al-Futtaim Automotive Pakistan (Pvt) Ltd., availed the Greenfield Status.

This will allow the company to establish assembly units while the ADP will provide incentive-based growth opportunity.

Pascal Allizard, a French Senator confirmed this while addressing a press conference in Islamabad. He stated that Renault was keen to manufacture cars here and further said other businesses are excited to invest in various sectors of the economy.

The Senator is a member of a French delegation on a visit to Pakistan. They were briefed by members of Board of Investment (BoI) and have agreed to work together in various sectors. The Senator also remarked that Europe, including France, was strongly interested in China-Pakistan Economic Corridor (CPEC).

While the company had signed an MoU with UAE’s Majid Al Futtaim—an Emirati company – in 2017 to establish a manufacturing plant. However, work has been slow; Renault has bought land at M-3 Industrial area in Faisalabad’s special economic zone in June 2018, but work on it is yet to begin.

According to rumors, the company plans to launch its iconic Duster SUV in Pakistan, a move which will take the local market by storm and help broaden the current market.

In the backdrop of this deal, Volkswagen AG, the German automaker giant has inked a deal worth $135 million with Premier Motors Limited, a Karachi-based company to establish an assembly unit in Pakistan and produce new cars. It has been awarded the Greenfield Investment Status and hopes to establish the plant in Balochistan’s special economic zone.

Due to the ADP, multiple foreign automakers from around the world have partnered up with local or foreign companies to establish car manufacturing units here. Over 15 new automakers have received the Greenfield Status with a combined investment of USD 1,169 million. Whilst, automakers who have halted production, in a bid to start again have availed Brownfield Status including Dewan Farooque Motors and Ghandhara Nissan Ltd.


  • Senator Pascal Lazard its a great moment when Renault plans launch Duster SUV with Greenfield status. Renault, Nissan, Mitsubishi trio with lead from Renault Green Field investment status in Pakistan. Mitsubishi Motors with Proton Malaysia already operative in Pakistan and has to be converged for domestic and exports of autos in the Greenfield investment for eligibility from OICA Paris for digitalisation of auto industries worldwide. Honored with visit to Pakistan with Renault Greenfield, with Nissan, Mitsubishi, Proton on the same platform. Pakistan PM already visiting CPEC/BRI in China. Suggest the opening should be a gateway to the BRI/CPEC bilateral region for Renault from Pakistan to Chinese markets.


  • >