Here is the latest update for you, South Korean automaker Kia clarifies its agreement with Dewan Motor. Earlier this week, Dewan Farooq Motors announced that it has signed a Technology License Agreement (TLA) with South Korean automobile giant Kia Motors to assemble its vehicles in Pakistan. Following this agreement, Kia Motors clarified speculations about its agreement with Dewan and Lucky Motor Company (LMC) in Pakistan.
Kia Clarifies Its Agreement with Dewan and LMC:
As per the company letter details, Lucky Motor Corporation (LMC) is the sole manufacturer, assembler, market distributor, and seller of Kia cars and SUVs in Pakistan as per the technical cooperation and KD supply agreement between the two parties. While a contract recently signed by and between DFML and Kia is actually Kia’s special vehicle division and DFML will be limited to assembling, distributing, and selling Kia’s commercial vehicles in Pakistan.
Kia Motors corporation also said that in the future too, DFML will not launch Kia passenger vehicles in Pakistan as long as LMC and Kia maintain CKD business in the country. The company added that LMC is a trusted long-term exclusive CKD partner for Kia cars and SUVs in Pakistan, and acknowledges and appreciates LMC’s efforts to make the Kia brand successful in Pakistan.
Dewan Farooq Motors Statement:
The Secretary of Dewan Farooq Motor said that DFML’s corporation will manufacture and assemble only Kia Motors light commercial vehicles in Pakistan and will not enter the hatchback and crossover SUV segment for now.
