As 2022 draws near, the government is working on early enactment of the new auto policy, with the Ministry of Industries and Production likely to present the policy draft to the federal government for approval within two weeks, according to Business Recorder.
The news came directly from the Secretary of Industries and Production Jawwad Rafique Malik who notified the parliamentary panel of this development yesterday. He told the Public Accounts Committee that the new policy will mandate additional security features in vehicles and dissuade the ‘own money’ culture that is plaguing the Pakistani auto industry.
The report detailed that the Chairman of the Public Accounts Committee (PAC) Rana Tanveer Hussain sought an explanation from the Competition Commission of Pakistan and the Engineering Development Board for their roles in monitoring and improving the automotive industry.
He highlighted that the industry is still being monopolized despite the presence of the Competition Commission of Pakistan (CCP) and Engineering Development Board (EDB) that are supposed to curtail this trend.
Munazza Hassan, a member of the committee, pointed out that the industry is still ruled by preexisting car companies, and that the new Toyota vehicles are not getting any modern features despite prices hikes. The company has also refused to make their vehicles Euro-5 compliant irrespective of the government’s instructions, she added.
The government has asked the car manufacturers to hold the price hikes but they are planning to disregard the directive and increase the prices of their vehicles because of the rising production costs.
With the new auto policy on the horizon, it will be intriguing to see how things play out for the automakers.