The landscape of Pakistan’s automotive industry is set for a dramatic transformation. Chinese auto giant Chery, in partnership with Master Group (Chery Master Pakistan), has officially announced its plan to begin local vehicle assembly by January 2026. This landmark move, backed by a formidable $150 million investment, signals a major commitment to the country’s burgeoning New Energy Vehicle (NEV) market.
The new manufacturing plant is not just about producing cars; it’s a significant leap forward in technological development, job creation, and sustainable mobility for Pakistan.
A $150 Million Investment in Pakistan’s Future
The manufacturing facility, strategically located in the National Industrial Park, Port Qasim, Karachi, will span over 60 acres. This substantial investment underscores Chery’s confidence in Pakistan’s economic potential and its strategic position in the regional market.
The key highlight of this project is its focus on New Energy Vehicles (NEVs), specifically Plug-in Hybrid Electric Vehicles (PHEVs). This aligns perfectly with global trends toward cleaner transportation and Pakistan’s push for increased EV adoption.
Introducing Chery’s Next-Generation NEV Lineup
Chery Master Pakistan has confirmed plans to locally assemble four flagship models from the Chery Tiggo SUV range. These vehicles will feature advanced Super Plug-in Hybrid Electric Vehicle (PHEV) technology, offering Pakistani consumers a blend of performance, fuel efficiency, and reduced emissions.
The models slated for local assembly starting in 2026 include:
Tiggo Cross (All-new)
Tiggo 7
Tiggo 8
Tiggo 9
The introduction of these new hybrid vehicles will inject much-needed competition and technological advancement into the local SUV segment.
Massive Job Creation and Skill Development
Beyond the significant capital injection, the Chery-Master Group venture is poised to be a major catalyst for human resource development. The facility is expected to employ over 2,000 workers, who will be specifically trained in advanced NEV technologies.
This focus on skilled employment will not only boost local job creation but also help cultivate a specialized workforce capable of supporting the shift toward electric mobility. It positions Pakistan to become a key player in the regional auto manufacturing supply chain for next-generation vehicles.
Expanding Market Reach
To support the launch of its locally assembled NEVs, Chery Master Pakistan is also establishing a robust retail presence. The company plans to open 10 dealerships across seven major cities in Pakistan throughout 2026. This extensive network is crucial for providing sales, service, and spare parts support, ensuring customer confidence in the new technology.
The partnership with Chery, China’s leading global automobile export brand, is a milestone for the domestic auto sector, promising a fresh wave of innovation and sustainable mobility options for Pakistani consumers.
The Bigger Picture: Elevating the Local Auto Industry
Chery’s $150 million investment represents more than just a new factory; it is a powerful vote of confidence that supports the government’s efforts to attract foreign direct investment and promote green mobility. The local assembly of advanced PHEVs will:
Reduce Import Bill: Shifting from CBU (Completely Built Unit) imports to CKD (Completely Knocked Down) local assembly will ease pressure on the country’s foreign exchange reserves.
Transfer of Technology: Local production of NEVs introduces cutting-edge hybrid technology and global best practices in modern automotive manufacturing to Pakistan.
Boost Localization: The establishment of a large-scale assembly plant creates opportunities for local vendors to develop and supply components for NEVs, strengthening the domestic parts manufacturing ecosystem.
The countdown to January 2026 has begun, and with it, a new chapter for the Pakistan auto industry. The partnership between Chery and Master Group is set to accelerate the transition to sustainable transport, create thousands of jobs, and drive the nation’s manufacturing sector into the future.
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