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Atlas Honda Limited Announces an Ambitious Expansion Plan

by Jawad Ali

The company has announced an investment plan of $100 million, generating 1,800 direct jobs and a further 5,000 jobs at its associated companies and manufacturing partners at Pakistan Auto Show being held in Lahore.

The first motorcycle of Atlas Honda Limited new line is expected to roll off by the beginning of October this year under the company’s expansion project.

“The expansion would lead to the generation of 1,800 direct jobs and a further 5,000 jobs at its associate companies and part manufacturing partners,” announced Razi-ur-Rehman, Director Corporate Affairs of Atlas Honda while talking to media at Pakistan Auto Show being held in Lahore.

The company has recently announced an investment plan of $100 million for the expansion of its motorcycle operations in Pakistan.

“A three-year expansion plan has already been implemented to double the installed capacity of its Sheikhupura factory, near Lahore, from the existing 0.6 million to over 1.2 million units per annum,” he added.

“In this regard, an investment of around $50 million would be made directly by Atlas Honda, whereas $30 million would be invested by Atlas Honda’s associated companies and a further $20 million by the company’s parts suppliers to expand their own respective facilities,” he confirmed.

The company’s mother plant is based in Karachi spread over 5 acres. “Atlas Group signed technical agreement with Honda in 1963 and plant started commercial production subsequently. In 1964, production began with 7 motorcycles per day. Now plant production has reached 525 units a day,” he said.

Besides manufacturing Honda CD 70, he added, the plant produces various value added auto parts for in-house consumption as well as catering the demand of after sale market. “The larger of the two plants is situated in Sheikhupura city, Punjab. This plant has the country’s largest in-house manufacturing facility,” he asserted.

The plant was built in 1981 and spread over an area of 27 acres with the establishment of modern and synchronized 500K plant in 2006. “Presently, the plant is equipped for producing 850k units per annum. The plant manufactures all six models i.e., CD 70, CD Dream 70cc, Pridor 100cc, CG 125, CG Dream 125cc and CG 125 Deluxe,” he added.

AHL, is a joint venture between Atlas Group and Honda Motor Co. Ltd., Japan. “Established in 1963, AHL is engaged in progressive manufacturing and marketing of Honda motorcycle in Pakistan. The company has an annual capacity of 900,000 units at two plants, located at Sheikhupura and Karachi,” he stated.

AHL’s portfolio includes Honda CD-70, CD-Dream 70cc, Pridor 100cc, CG-125, CG-Dream 125cc, CG-125 Dlx and also launched imported CBR series in 150cc and 500cc. “Over the years, the Company has enjoyed phenomenal success. With products of highest quality, state of the art manufacturing facilities, largest dealership network and impeccable after sale service, the Company today is considered the flag bearer of the motorcycle industry in Pakistan and is steadily leaping ahead,” he endorsed proudly.

Today, the company is widely recognized as the impetuous behind the large and growing two-wheeler industry of Pakistan as it brought about technology transfers and laid the ground for a huge and technically capable vendor base to train well human resource in the area.

“The foundation of the company’s progress over all these years is guided by the belief to achieve growth through strong local roots. The dedication to manufacturing excellence, human resource fostering, focus on indigenization and development of a network of sales and service outlets across the country is being done with the focus on continuing to be the nation’s ride,” he concluded.

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