Comments on: These Cars in India are Cheaper than Alto- the Cheapest Car of Pakistan https://carspiritpk.com/these-cars-india-are-cheaper-than-cheapest-car-pakistan/?utm_source=rss&utm_medium=rss&utm_campaign=these-cars-india-are-cheaper-than-cheapest-car-pakistan Pakistan's Trusted Automobile Blog Sun, 05 Mar 2023 13:58:22 +0000 hourly 1 https://wordpress.org/?v=6.7.1 By: % localization different opinion of PAMA & PAAPAM https://carspiritpk.com/these-cars-india-are-cheaper-than-cheapest-car-pakistan/#comment-13613 Sun, 05 Mar 2023 13:58:22 +0000 https://carspiritpk.com/?p=65773#comment-13613 In reply to Ali Khan.

Quote: ‘the default argument that India is making “all parts in house” and that is why prices there are so low’ /Unquote

Ok so what is stopping Pakistan from making “all parts in house” to keep the prices low?

Quote: ‘Our three grifters are always banging on about “over 70%” localization.’

See page 68 of PAAPAM Anuual Report 2021-22 here: https://paapam.com/files/PAAPAM-Annual-Report-2021-2022.pdf to see the %age localization story from PAAPAM’s viewpoint. As always, Monroney label can help standardize the localization calculation: https://carspiritpk.com/can-we-settle-the-localization-debate-with-this/

]]> By: Ali Khan https://carspiritpk.com/these-cars-india-are-cheaper-than-cheapest-car-pakistan/#comment-13607 Sun, 05 Mar 2023 07:31:09 +0000 https://carspiritpk.com/?p=65773#comment-13607 Our auto industry was/is never about volumes or innovation or creation. It has/is all about the quickest way to short term profits for the elites. Its that simple. With a captive market, They will sell outdated and obsolete products earning outrageous profits. And as they have legally isolated the market and have also flooded it with parts, imported, smuggled or made locally, everyone is dependent on them and no one can do or is willing to do a damn thing. This has been the norm for over three decades. The problem has now become a generational one. I'm sure a lot of readers here will go to the default argument that India is making "all parts in house" and that is why prices there are so low. The simple fact of the matter is that that is simply not the case. Yes, It does make most of the parts in house, however some parts still have to be imported. Even local auto companies in the US and Europe etc. import some parts that they need. it is just good business and a good way to keep costs down. Our three grifters are always banging on about "over 70%" localization. Well here we can clearly see what the prices should be in a country with true over 70% localization. This article just highlights the hypocrisy and lies of the old cartel even more in Pakistan. Shame really how our government reps are so easily "convinced" to look the other way.]]> 🤯
Our auto industry was/is never about volumes or innovation or creation. It has/is all about the quickest way to short term profits for the elites. Its that simple. With a captive market, They will sell outdated and obsolete products earning outrageous profits. And as they have legally isolated the market and have also flooded it with parts, imported, smuggled or made locally, everyone is dependent on them and no one can do or is willing to do a damn thing. This has been the norm for over three decades. The problem has now become a generational one.

I’m sure a lot of readers here will go to the default argument that India is making “all parts in house” and that is why prices there are so low. The simple fact of the matter is that that is simply not the case. Yes, It does make most of the parts in house, however some parts still have to be imported. Even local auto companies in the US and Europe etc. import some parts that they need. it is just good business and a good way to keep costs down.

Our three grifters are always banging on about “over 70%” localization. Well here we can clearly see what the prices should be in a country with true over 70% localization. This article just highlights the hypocrisy and lies of the old cartel even more in Pakistan. Shame really how our government reps are so easily “convinced” to look the other way.

]]>