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Confirmed: MG to Begin Full Scale Local Assembly Soon

Of all the new automakers in Pakistan, MG has garnered the most attention and interest due to a variety of reasons. One of those reasons is regarding the launch of locally assembled MG vehicles in Pakistan.

Fortunately, that time is nigh as MG has revealed that it will begin commercial-scale local assembly soon. In his discussion with ProPakistani, a senior MG official who requested discretion recently confirmed that the company will begin locally assembling its vehicles by the second half of 2022.

Progress So Far

He highlighted that MG has invested $100 million in this project thus far. Out of that amount, it has already committed $86 million to the factory and is actively spending the remaining $14 million on its completion.

The official stated that the company is working closely with the Engineering Development Board (EDB) and is incorporating their recommendations to begin the assembly as soon as possible. He added that:

Each automaker needs four basic components to assemble cars in Pakistan — a welding section, a paint shop, an assembly line, and a testing section for thorough quality check. Our facility is 90 percent complete. The remainder is the home-stretch, which is always the most crucial and resource intensive.

MG has already assembled and tested several MG HS units in their local assembling facility, the official said, adding that, “once they go on sale, the customers will not be able to tell a difference between the local version and the Completely Built-Up (CBU) version in terms of quality.”

What’s Next?

So far, MG has only been selling CBU vehicles in Pakistan. The recent increase in tax rates, freight costs, and local currency devaluation caused the automaker to announce a massive price hike for its most popular SUV — MG HS.

According to market sources, the recent price hikes have deeply hurt the demand for HS. The senior official corroborated these reports and stated that MG will launch the locally assembled HS at a market competitive price to regain its market share. MG will begin selling the locally assembled HS units in Pakistan soon after the commencement of the local assembly, he concluded.



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