Al-Futtaim on Tuesday announced it had acquired land to construct an automotive plant for the exclusive manufacture and assembly of Renault vehicles in Pakistan.
To be setup at the M-3 Industrial City in Faisalabad within Pakistan’s largest Special Economic Zone, the new plant aspires to create new jobs and bring foreign investment to the country.
“Al-Futtaim is fully committed to the Pakistani market and to this project,” said Colin Cordery, senior managing director of Al-Futtaim Automotive International. “We, together with Groupe Renault, are delighted to have completed the land acquisition, which is an important milestone in the project. We believe this to be the optimal location for the manufacturing and assembly plant, and look forward to working with Faisalabad Industrial Estate Development & Management Company to develop a world-class and modern factory here. This project will bring significant Foreign Direct Investment to Pakistan, and also create many direct and indirect jobs.”
Fabrice Cambolive, SVP, chairman of Africa, Middle-East India Region of Renault, added: “The land acquisition in Faisalabad is an important step in our project with Al-Futtaim Automotive to bring the Renault vehicles to the Pakistani customer.”
According to a press release, the formal launch of construction of the new facility is expected for the fourth quarter of this year. Once construction is completed, the assembly plant will have a total installed capacity of over 50,000 units per annum. Al-Futtaim and Renault expect the factory will commence production in 2020.
“Renault is renowned for the safety and quality of its cars, and we want to develop exactly the same technology and know-how in Pakistan. We will bring cutting-edge and leading European technology to the Pakistani consumer through a modern distribution and dealership network with a focus on engaging customers through unique and memorable experiences and great service,” said Yasser Alvi, CEO of the Al-Futtaim Renault Pakistan project. “We want to add value to the brand and provide Pakistani consumers with a dynamic and vibrant product offering, tailored to local needs.”
Established in the 1930s as a trading business, Al-Futtaim today, is one of the most diversified and progressive, privately held regional businesses headquartered in Dubai, United Arab Emirates. It employs over 42,000 employees across 29 countries in the Middle East, Asia and Africa. Groupe Renault has been making cars since 1898 and in 2017 sold close to 3.76 million vehicles in 134 countries, with 36 manufacturing sites, 12,700 points of sales and over 180,000 employees.