Sazgar Unveils Major Expansion Plans, Targets New Export Markets

September 25, 2025

Sazgar Engineering Works Ltd. is set for a significant expansion, introducing new products and targeting broader export markets. The company is focused on strengthening its position in Pakistan’s four-wheeler segment while expanding its three-wheeler exports to countries such as the Philippines, Mexico, and Afghanistan.

While Sazgar has already established a presence in Japan, the company noted that four-wheeler exports remain economically challenging without government incentives due to pricing gaps. Domestically, Sazgar plans to launch locally assembled (CKD) variants of the Tank and Cannon SUVs by March 2026, aimed at the premium off-road segment with less competition than mid-range SUVs.

To support growing demand, particularly for its Haval vehicles, Sazgar is doubling its production capacity from 40 to 100 vehicles per day and extending its assembly line for improved efficiency. The expansion also includes a broader dealership network, with a focus on Sindh.

In line with sustainability goals, the company is installing a 5MW solar plant at its new facility to increase reliance on renewable energy.

The company’s financial performance remains strong, with net profits doubling in FY25, driven by higher-margin vehicle sales. With over 80% localization for three-wheelers, Sazgar continues to reduce dependence on imported components, while its four-wheeler localization efforts are progressing steadily.

Sazgar’s management emphasized that planned expansions and product launches are designed to sustain growth and profitability, even as government incentives under the current Automobile Policy are set to expire in June 2026.