KARACHI: Indus Motor Company (IMC) on Wednesday unveiled plans of investing $100 million to launch the local production of hybrid electric vehicles (HEV) in Pakistan.
“We are pleased to announce that... the company has evaluated and plans to invest an estimated aggregate amount of $100 million, over the period of next 3 years for the local production of hybrid electric vehicle in Pakistan,” the makers of Toyota cars in Pakistan said in a bourse filing.
The $100 million investment will go towards localisation of components, plant expansion and production preparation for the first hybrid electric vehicle to be manufactured at IMC plant located at Port Qasim, Karachi.
Meanwhile, an IMC delegation led by vice chairman Shinji Yanagi met with the Prime Minister to unveil investment plans. Yoichi Miyazaki, CEO for Toyota Asia, also participated in the meeting via video link.
Prime Minister Imran Khan said Toyota/Japan has remained the most committed partner for Pakistan and welcomed the new investment for environmentally-friendly hybrid electric vehicles.
Miyazaki, CEO for Toyota Asia said the new investment would bring Toyota’s latest generation Hybrid Electric Technology to its customers in Pakistan.
"This choice will allow us to move towards carbon neutrality and electrification at scale," he said.
"We believe that each kind of electrified vehicle has its role and based on our global experience we are certain that Hybrid Electric Vehicles have the greatest potential to achieve mass electrification and effectively reduce CO2 emissions at the earliest timeframe, contributing to the Prime Minister’s vision of a “Clean and Green Pakistan.”
Kuninori Matsuda, Japanese ambassador to Pakistan said the new investment decision will take the economic ties between Japan and Pakistan to the next level.
“I hope that the Japanese auto technology will play a key role to realize the new Pakistani automobile development plan.”
Ali Asghar Jamali, chief executive IMC, said Toyota has multiple electrification technologies, and among those, the company believes "strong hybrids are a practical and sustainable solution for achieving mass electrification”.
“We are thrilled to bring the most efficient 4th Generation Hybrid Electric Vehicle to our customers, which will help reduce the carbon footprint of our vehicles,” Jamali added.
Toyota Motor Corp, IMC's parent company, in a recent statement said it was expected to spend more than $13.5 billion by 2030 to develop batteries and its battery supply system as the move to hybrid electric vehicles gathers steam.