Pakistan’s auto industry is gearing up for a major transformation as NexGen Auto Pvt., a subsidiary of Nishat Group teams up with China’s Chery Automobile Co. to produce electric vehicles (EVs) locally.
The move comes with a $100 million investment for manufacturing and marketing operations, according to NexGen’s Chief Financial Officer Muhammad Aqib Zulfiqar, who confirmed the plan in an interview with Bloomberg. Local assembly is expected to begin by October 2025.
Details of Nishat Group Teams Up With Chery
At a launch event on August 1, the company is unveiling five EV models under Chery’s Omoda and Jaecoo brands — both focused on new energy vehicles (NEVs).
Just days earlier, Nishat Power Limited, another Nishat Group company, announced plans to invest up to Rs2.5 billion into NexGen Auto. The group has called an Extraordinary General Meeting (EGM) for August 13, 2025, to finalize the investment.
“This was a no-brainer,” Zulfiqar said, explaining how group officials met multiple Chinese manufacturers before selecting Chery. “In this category, China is far ahead of other auto manufacturing hubs in terms of technology and cost.”
EV Policy
He also urged the Pakistani government to speed up EV-related policy implementation, emphasizing that open competition without clear direction risks stalling progress.
Incorporated in August 2024, NexGen Auto has rapidly formalized operations for the import, local assembly, and nationwide distribution of Chery’s sub-brands in Pakistan.
This partnership strengthens Pakistan–China economic ties and aligns with Islamabad’s goal to reach 30% EV adoption by 2030. It also opens the door for regional EV exports, local job creation, and reduced fuel import costs, which currently total $12 billion annually.
Published in SouthAsianDesk, August 1st, 2025
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