In a significant development for Pakistan’s automotive industry, Ghandhara Automobiles Limited (GAL) has disclosed that its distribution agreement with Chinese automaker Chery Automobile Co., Limited is undergoing a transition phase. The announcement, made through a statement to the Pakistan Stock Exchange, reveals that the existing agreements between the two companies expired on January 25, 2025, but negotiations for a smooth transition are ongoing.
GAL’s Distribution Agreement and KD Supply Agreement with Chery Automobile Co., Limited have reached their termination date. Both companies are currently in talks to finalize the terms of a transition. During this transition period, GAL will maintain its role in selling Chery brand vehicles and providing after-sales services to customers in Pakistan.
This development marks a pivotal moment in the partnership between the Pakistani and Chinese automotive entities, potentially reshaping the landscape of Pakistan’s car market.
The collaboration between Ghandhara Automobiles and Chery Automobile has been a notable example of international partnerships in Pakistan’s growing automotive industry. As the exclusive distributor and authorized representative of Chery in Pakistan, GAL has played a crucial role in introducing Chinese automotive technology to Pakistani consumers.
The continuation of sales and services during the transition period suggests that both companies are committed to minimizing disruptions for customers and maintaining market presence. This approach is likely to reassure current Chery vehicle owners in Pakistan and potential buyers who may have been considering a purchase. The content in this publication is expensive to produce. But unlike other journalistic outfits, business publications have to cover the very organizations that directly give them advertisements. Hence, this large source of revenue, which is the lifeblood of other media houses, is severely compromised on account of Profit’s no-compromise policy when it comes to our reporting. No wonder, Profit has lost multiple ad deals, worth tens of millions of rupees, due to stories that held big businesses to account. Hence, for our work to continue unfettered, it must be supported by discerning readers who know the value of quality business journalism, not just for the economy but for the society as a whole.To read the full article, subscribe and support independent business journalism in Pakistan