KARACHI: Pak Suzuki Motors on Wednesday announced to stop production by shutting down plant due to raw material shortage.
In a communication sent to Pakistan Stock Exchange (PSX), the company said that due to continued shortage of inventory level, the management of the company has decided to shut-down automobile plat for February 13, 2023 to February 17, 2023.
However, motorcycle plant will remain operative, it added.
The automobile companies that are operating in Pakistan are facing shortage of raw material after a ban imposed by the government in May 2022.
The auto manufacturing company are unable to open Letter of Credit (LCs) for import motor vehicle kits.
Although recently the State Bank of Pakistan (SBP) withdrew the condition of prior permission for commercial banks in case of opening letter of credit for import proceeds.
Industry is hoping that after ease in condition the import of raw material will be released. However, some quarters still believe that banks are running out of foreign currency so they are not opening the LCs.