SLM to invest Rs30bn in expansion

KARACHI: Service Industries Limited has announced an investment of Rs30 billion in tyre manufacturing, aiming to double its production capacity and bolster exports to $100 million by 2025.

“Service Long March Tyres (Private) Limited (SLM) as a subsidiary/associated company of Service Industries Limited has announced further expansion plans,” the company said in a statement to the PSX on Monday.

SLM is a joint venture project, which manufacture and sell all steel radial truck, bus, light truck and off the road tyres in Pakistan. The company and its subsidiary company, Service Global Footwear Limited, holds 32.09 percent and 18.91 percent equity stake, respectively, in SLM.

The statement said that Service Long March Tyres has committed a further investment of Rs30 billion to double its capacity and to increase exports to $100 million in 2025. SLM has also shown an intent to start a new project exporting specialised tyres from Pakistan to the EU and the USA.

Chairman Jin Yongsheng and CEO Omar Saeed called on Prime Minister Shehbaz Sharif to thank him for the government’s support to the tyre industry, the statement added. PM Sharif promised continued support from all departments and instructed relevant ministries to help export-led growth in the country.