Scania is the first European truck manufacturer to start up local assembly operations in Pakistan. In March, the first chassis will roll off the assembly line in the newly-built plant in Lahore.
Rolf Nilsson, head of Scania’s marketing operations in Asia and the Far East, comments that the local market is now expected to take off after several years of slow growth.
“For Scania, it is extremely important that we are firmly in place when the market now begins to expand in the near future. Our factory is dimensioned for fairly modest initial production volumes, but it will be able to expand to keep pace with the expected growth in demand.”
Pakistan has so far been dominated by Japanese manufacturers. Scania, represented locally by Scanpak PVT Ltd for the past year or so, will be the first European truck manufacturer to offer domestic assembly in parallel with sales and service.
Assembly of Scania chassis takes place in close cooperation with the importer, and the new factory is situated just outside Lahore side by side with the Scanpak site. Production will get under way at end January.
Scania is one of the world’s leading manufacturers of trucks and buses for heavy transport applications, and of industrial and marine engines. With 22,000 employees and production facilities in Europe and Latin America, it is one of the most profitable companies in its sector. In the first nine months of 1995, turnover totalled approx. SEK 25,400 million and profits after depreciation approx. SEK 3,500 million. Scania products are marketed in about 100 countries worldwide and almost 97% of total production is sold outside Sweden. Scania is a wholly-owned subsidiary of Investor, a Swedish public investment company.