Chinese firm to set up lithium battery plant in Punjab

LAHORE:A leading Chinese lithium battery manufacturer, anticipating electric vehicle boom in near future and investment plan of BYD, the world largest EV producer in the world in Pakistan l, has shown a keen interest to establish an assembly and manufacturing factory in Punjab.

This was disclosed by a delegation of Chinese investors who called on Minister Industries Chaudhary Shafay Hussain here on Thursday. The delegation was led by a prominent lithium batteries manufacturer Eenovance CEO Shi Yukun in the meeting with the minister. Yukun during the meeting specifically requested up to 8 acres of land in the Quaid-e-Azam Business Park Sheikhupura for the project. Yukun stated that ‘our group is committed to investing in lithium battery production in Punjab’.

He highlighted that this investment would lead to technology transfer and create new employment opportunities. Talking to the delegation, Shafay Hussain stated that the Chinese investment group will be given all possible support to set up the lithium battery plant in Punjab, including the required land.

He emphasised that Punjab’s industrial estates are equipped with world-class industrial infrastructure. Additionally, investments in Punjab’s Special Economic Zones come with incentives such as a 10-year income tax exemption and one time duty-free import of machinery. He remarked that this is an ideal time for both local and foreign investments in Punjab, with full protection guaranteed for Chinese investors and their investments. The minister assured that efforts are underway to bring more Chinese companies to Punjab. He mentioned that a Chinese company, Aiko, has already signed an agreement to establish a solar panel assembly and manufacturing plant in Punjab. He added that the government will continue encouraging further investments from Chinese companies in the energy sector. The meeting, held at the Punjab Investment Board's committee room, was attended by CEO of the Punjab Investment Board Jalal Hassan, Directors Imran Hashmi and Talha Tariq, along with officials from the Chinese company.

Meanwhile, the Chinese Business Council has expressed interest in setting up a waste-to-energy plant in Punjab. In this regard, the President of the Chinese Business Council Chen Qian Jiang met the Local Government Minister Zeeshan Rafiq in his office.

Agha Ali Haider MPA and other officials of Chinese Business Council were also present. During the meeting, the project of generating energy from waste in Punjab was discussed. The Chinese delegation expressed interest in setting up a plant to generate energy from waste in Lahore.

Welcoming the offer, the minister said that the work on the next phase of Suthra Punjab programme has been started. A project to produce diesel and gas from waste is under consideration in Punjab, he added. He said that four to five thousand tons of waste is generated daily in Lahore alone.

‘The Punjab government is ready to provide land for energy plant to Chinese company. We will welcome setting up waste energy plant in other cities too’, he resolved. He further said that recycling of waste will also help in solving environmental problems.

The minister said that through the income from waste recycling, expenditure on the Suthra Punjab programme can be recovered. ‘I request Mr Chen Qian Jiang to make a financial model to evaluate further progress’, he said. Moreover, he pointed out that generating energy under public private partnership will not burden the exchequer.

President of Chinese Business Council Chen Qian Jiang, while presenting the initial feasibility to the minister, said that their main goal is not commercial, but clean environment will be the main focus. ‘Setting up a plant near dumping site will reduce the cost’, he said. President Chinese Business Council Chen Qian Jiang sought time for another meeting with the minister. The minister directed LWMC CEO Babar Sahib Din to prepare a presentation for further progress.