Sazgar eyes EV launch

Karachi: Local assemblers are set to introduce more new energy vehicles (NEVs) as Sazgar Engineering Works Ltd (SEWL) plans to launch ARCFOX NEVs in Pakistan. This expansion will bolster its NEV portfolio. In a stock filing, SEWL revealed that ARCFOX, a high-end intelligent electric vehicle brand from the BAIC Group, boasts premium design and advanced technology.

Collaborations with Magna and Huawei have been instrumental in engineering and technology advancements. According to a corporate briefing, ARCFOX occupies a premium position in the semi-premium segment, ranking among the top brands among China's 109 automotive brands. SEWL's decision to introduce ARCFOX via CKD (Completed Knock-Down) instead of CBU (Complete Built-Up Unit) depends on the new auto policy.

The government is expected to support PHEVs (Plug-in Hybrid Electric Vehicles) moving forward, influencing future product launches. SEWL anticipates launching Canon Alpha soon, priced competitively. The company showcased a diverse lineup of NEVs, including Tank 300 and Jolion Max, at the Pakistan Auto Show (PAPS) recently. Analyst Sania Irfan of Topline Securities stated that SEWL is currently managing the GST increase, anticipating a favorable auto policy with lower taxes.

The company is not increasing prices, as they are based on existing notified taxes, and is waiting for the new auto policy to make major pricing decisions. SEWL has announced a Rs22bn expansion, including a new paint shop, expected to be completed within 9-10 months, with Rs17bn financed by debt and the rest through equity.