Auto makers ink MoU

KARACHI: The Pakistan Association of Automotive Parts and Accessories Manufacturers (PAAPAM) has signed a memorandum of understanding with its counterpart association in Mexico to pave a future for mutual understanding and cooperation.

Mashood Ali Khan, the former chairman of the association and expert auto sector, initiated the link with the help of Shabana Aziz, Pakistan’s Trade and investment Counsellor based in Mexico. She interacted with the Mexican auto parts association initially. Khan said they needed to make such association links across the world to use such links to understand the recipe for industrial growth.

Under the MoU, both associations would share information about their vendors, standards, dynamics of doing business and gaps in the industry, etc. The MoU would also help host delegations from both industries to mutually meet at platforms such as Pakistan Auto Show in Lahore or Karachi and vice versa in Automechanika Mexico.

Although the Mexican auto industry was very much advanced than Pakistan’s auto industry, there would be areas of huge learning for them. Mexico was the sixth-largest global passenger vehicle manufacturer, producing approximately three million vehicles annually. Mexico exported 89 percent of its vehicles, with 80 percent destined for the US.

Established automakers in Mexico include Audi, Baic Group, BMW, Ford, General Motors, Honda, Kia, Mazda, Nissan, Toyota, and Volkswagen.

He expected more MoUs to be signed in the future with other auto parts associations around the world.