The Lucky Motor Corporation (LMC) has entered into a License and Technical Assistance Agreement with the Stellantis Group in order to assemble and distribute one of their European brand vehicles in Pakistan.
Earlier, LMC, manufacturer and distributor of Kia vehicles signed the pact with the Stellantis Group, the world’s fourth largest car group. The Stellantis Group is the world’s fourth largest car group which was recently formed and it contains a portfolio of 14 international brands.
In mid-2019, the LMC signed MoU and expression of interest (EoI) for European brand vehicles with Groupe PSA, which is now part of the Stellantis Group. Last year, before achieving the manufacturing license under the government’s new entrant policy, the LMC had informed the government of its intentions to partner with Peugeot, a brand of the Stellantis Group.
The CEO of LMC, Asif Rizvi, told the media that “LMC is set to create history in the automobile industry of Pakistan by manufacturing and distributing two different international brands under one roof and ushering in an era of multi-brand car companies”.
“We are planning to assemble vehicles of a Stellantis Group brand within the Automotive Development Policy (ADP) 2016-2021 period at our manufacturing facility in Bin Qasim Industrial Park (BQIP) where Kia vehicles are manufactured,” the CEO of LMC said.
He added, “Our strategy is to leverage our state-of-the-art facility for manufacturing small volumes of niche products on the back of high volume manufacturing of the Kia brand,” he further said by adding that such small volume niche products were very difficult to sustain on their own.
However, it is a strategic leap for Lucky Motors to get the opportunity to partner with Stellantis, a global leader for a number of brands under its flag. It can foster future partnerships with other brands of the Group such as Fiat, Chrysler, Jeep, Dodge, Citroen, Opel, Vauxhall, etc.