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Pakistan’s leading tyre manufacturer, Service Industries Ltd., and
Chinese giant, Chaoyang Long March Tyre Co. Ltd., signed a Joint Venture
Agreement to manufacture All Steel Radial Truck & Bus Tyres in Pakistan.
Chaoyang Long March Tyre Co. Ltd. was established in January 2003, after
purchasing the original Liaoning Tyre Group Co. Ltd. which was
established in 1966, with all-steel radial tire production lines. After
a period of immense success and growth, they currently export their
products to over 90 countries.
Service Industries Limited was established in 1961, and is Pakistan’s
leading footwear and tyre company. Servis is a market leader in bicycle,
motorcycle and three wheelers. Most recently Servis has entered the
tractor tyre market. The company is Pakistan’s leading exporter of
footwear and tyres.
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Under the agreement, Service Industries Limited will own 51% and
Chaoyang Long March Tyre Co Ltd will own 49% of the newly formed
company, Service Long March Tyres Pvt. Limited.
Phase 1 of the $250 m project will begin with a $100m investment in SITE
Sindh. Land for the project has been purchased and design of the plant
has been initiated.
Mr. Arif Saeed, CEO of Service Industries Limited said “We have 50 years
of experience in the tyre industry, and we have the most recognised
brand and largest distribution network in the country. In Long March we
have found a top notch partner, with leading technology and a vision
similar to ours. Together, we will complement each other and intend to
build a world class company.”
Mr. Li Qingwen, Chairman, Chaoyang Long March Tyre Co Ltd while speaking
at the JV signing ceremony said “Long March is a global brand. For our
expansion we looked at many countries and decided that Pakistan offered
the best opportunity with a sizeable domestic market, investor friendly
policies and a good, skilled workforce. I am very excited to be working
with Service Industries Limited as our local partner. Their experience
and the 3,000 skilled workers they have will be a huge asset for the JV
company. We look forward to exporting tyres around the world from our
new factory.”
Mr. Abdul Razak Dawood, Advisor Commerce, Industries, Textile and
Investment, was the Chief Guest and the signing ceremony was also
witnessed by Mr. Long Dingbin, Consul General of People’s Republic of
China, Mr. Zubair Gilani, Chairman BOI, members of the business
community and media.
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