In a joint-venture with LMC, Samsung set to assemble smartphones in Pakistan by December 2021
The cellphone production facility will be established at Lucky Motor Corporation's existing plant in Karachi's Bin Qasim Industrial Park (BQIP).
Samsung, the world’s largest smartphone maker, is set to assemble mobile phones in Pakistan by December 2021.
The South Korean tech giant has entered into a joint venture with Lucky Motor Corporation (LMC) for this ambitious project.
The news of this project was shared by the Federal Minister for Energy, Hammad Azhar, in a post on Twitter.
I congratulate Lucky Group and Samsung on entering into a JV to manufacture smart phones in Pakistan.
These positive developments are evidence of the success of DIRBS system that eliminated smuggling of phones. And then followed up by Mobile Manufacturing policy last year. https://t.co/UCEsF0dKVq
— Hammad Azhar (@Hammad_Azhar) July 16, 2021
Likewise, the Chairperson of the China Pakistan Economic Corridor (CPEC) Authority, Lt Gen (retd) Asim Saleem Bajwa, also lauded the development on the social media platform.
This landmark development coupled with a number of upcoming Chinese Mobile phone manufacturing facilities in Pakistan will expand our manufacturing base, help boost exports and create more jobs. Well done! https://t.co/LRA2Ub2Hh1
— Asim Saleem Bajwa (@AsimSBajwa) July 16, 2021
The cellphone production facility will be established at LMC’s existing plant in Karachi’s Bin Qasim Industrial Park (BQIP).
According to an LMC statement, the production facility is expected to be completed by December this year.
Even though the LMC asserts that the company is yet to discuss investment with Samsung, analysts claim that it could be around $100 million.
According to the Chief Executive Officer (CEO) of Topline Securities, Muhammad Sohail, the venture can generate around $300-600 million annually.
Moreover, the project is forecast to make net profits of ₨. 1 billion to ₨. 1.5 billion in its formative phase.
About the Lucky Group.
The LMC is a subsidiary of Lucky Cement, which is part of the Yunus Brothers Group — one of the largest business groups in Pakistan.
In recent years, the cement company has diversified its developments in the automobile sector by manufacturing, assembling, marketing, and distributing KIA and Peugeot vehicles.
It also sells spare parts and accessories for these cars in the Pakistani market.
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