[IN PICTURES] Bangladesh set to launch first 'locally manufactured' car in 2021
The first phase of this launch includes finalizing the country’s Automobile Industry Development Policy 2020.
Bangladesh has geared up to launch its first locally manufactured car in 2021. According to Bangladeshi media, the vehicle will be launched by the state-run Pragati Motors in collaboration with Mitsubishi Motors.
The first phase of this launch includes finalizing the country’s Automobile Industry Development Policy 2020. Industries Minister, Nurul Majid Mahmud Humayun has finalized the draft of this policy; however, he has not disclosed the shape, name or features of the car as yet. The good news is that he ensured the development and testing of the car will start soon.
Bangladesh’s Auto Sector
Sources reveal that around 63 vehicles are sold in Bangladesh daily. Initially, the number was only one in 2019 when the auto market was just taking off in 2012. Bangladesh Recondition Vehicles Importers and Dealers Association (BARVIDA) reports:
The country’s automobile sector has grown 8% on average every year. Car sales amounted TK 5,000 crore in 2019. Currently, 23,000 cars leave showrooms in Bangladesh annually. Out of this total, 3,000 are new cars.
Experts believe that the automobile demand in the country will cross 100,000 per year once local production commences. Regarding this, BARVIDA said:
The Bangladesh automobile industry could even become a part of the global supply chain in the future.
Comparison with Pakistan’s Auto Sector
Pakistan’s automobile industry is nowhere near to developing its own indigenous car. Currently, the local manufacturers are selling vehicles with significantly less or no safety features.
However, after the first Auto Policy 2016-2020, new players have entered the local market. KIA and Hyundai have already launched their cars that showcase higher safety features and good quality.
The experts believe that with new players, the competition in Pakistan will increase. This will ensure good quality vehicles for the local consumers.
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