Pakistan’s three-wheeler maker enters Philippine market

MANILA: Pakistan’s Sazgar Engineering Works Limited has entered the Philippine market with the inauguration of a three-wheeler manufacturing and assembly plant, marking the company’s first production facility outside Pakistan.

Philippine President Ferdinand Marcos Jr inaugurated the facility, operated by Sazgar Philippines Inc, in Biñan, Laguna, on Friday, describing the investment as a step towards strengthening the country’s manufacturing sector and expanding the use of electric vehicles.

The plant is designed to assemble around 12,000 three-wheeled vehicles annually, including electric and internal combustion engine models, Marcos said in a speech at the inauguration.

The initial production mix is projected to comprise 60 per cent electric vehicles and 40 per cent conventional models, with the share of electric units expected to increase in line with market demand and industry development.

The project is expected to create jobs for Filipino workers and provide opportunities for local suppliers of components such as batteries, glass, upholstery, rubber and lubricants.

Marcos said at least a quarter of the value of each vehicle would initially be generated locally, adding that the company was expected to increase local sourcing and move towards manufacturing all parts domestically.

He said the plant would also serve as a manufacturing hub for the Association of Southeast Asian Nations (ASEAN) region. Sazgar had chosen the Philippines as its first base outside Pakistan and as a hub for Southeast Asia, he added.

The Philippine president said the electric three-wheelers could travel between 100 and 210 kilometres on a single charge, depending on the battery option, while a full charge would take around six to eight hours.

He said the vehicles could help reduce fuel expenses for drivers and lower the country’s dependence on imported fuel.

The facility is a partnership between Sazgar and Filipino investors, with Marcos saying the company was 60 per cent Filipino-owned.

Pakistan’s Ambassador to the Philippines Asima Rabbani congratulated Sazgar on the development. The Pakistan Embassy in Manila said it had facilitated the company’s entry into the Philippine market, where it is introducing passenger and commercial three-wheelers as well as electric vehicles.

Marcos said the investment was aligned with the Philippines’ electric vehicle industry roadmap and its target of achieving a 50 per cent electric vehicle fleet share by 2040.

He also urged Sazgar to expand its local supply chain and work with Filipino manufacturers, saying the government would support efforts to increase domestic production.