Chinese MAAC Delegation visits Karachi


A high powered 16 member trade delegation representing the “Motorcycle Accessories Association of Chongqing” (MAAC) also consisting of the representation from the Chongqing Foreign Economic and Trade Commission E-Commerce Department and Chongqing Jiangjin Business Bureau under the Leadership of Mr. Kang Li visited Pakistan. During their stay in Karachi they called on the Office Bearers and members of the All Pakistan Motorcycle Spare Parts Importers & Dealers Association (APMSPIDA) to discuss matters of mutual interest. The interactive session was followed by lunch held on April 7, 2016 at the Pearl Continental Hotel Karachi.

Mr. Kang Li, Vice Chairman & Secretary MAAC thanking the Office Bearers and members of the APMSPIDA cherished the relationship that MAAC has enjoyed with APMSPIDA in past and believed that the relations would further strengthen up if efforts are made in right direction. While introducing MAAC, the head stated that it consists of exporters, manufacturers and assemblers and represents the biggest city of China when it comes to motorcycle industry. He agreed to the idea that in order to further strengthen up the bilateral trade in this sector, exchange of frequent delegations is a must and for that both associations should put in extra effort in arranging the same.

On the issue of ‘EDES’ he added that the delegation is aware that the Chinese Custom is planning to bring in new rules and regulations, however, until the same are introduced, it would too early to make a comment on it. He agreed the proposal for inking a MoU between MAAC & APMSPIDA.

Earlier, in his welcome address Mr. Muhammad Farhan Hanif, Chairman APMSPIDA briefed the delegation about APMSPIDA that it’s the sole representative forum of Motorcycle Spare Parts Importers and Dealers based all over Pakistan consisting of 220 members with affiliation with Karachi Chamber of Commerce & Industry (KCCI) and the Federation of Pakistan Chambers of Commerce & Industry (FPCCI).

While talking about the Motorcycle sectors in both the countries, he added that Pakistani importers discovered the Chinese export market in 1984 and developed relations with Chongqing city which is presumed to be the biggest manufacturing, assembling and exporting center of the motorcycle spare parts in 2000s. Before the said unearthing Pakistani importers mostly used to import from Japan, Thailand and many other eastern countries. However, with exploration of the Chinese market by Pakistani Importers, the same certainly helped the local industry to boom.

He emphasized that Pakistan lately has started to manufacture 85% of the spare parts locally, whereas, previously the trend was way too less, thus, the Chinese Investors should consider in engaging in Joint Ventures with Pakistani Counterparts. He added that in next couple of years the maximum of manufacturing would be done in Pakistan, therefore, it’s the need of the hour, so this proposal may be considered expeditiously/favourably and the time near when Pakistan will be exporting with the help of China.

Government of Pakistan is also inclined in slashing the duty tariff for import of the semi-finished items; therefore, China can certainly consider this as an option too, he added. He also emphasized on the need of frequent exchange of Trade Delegations between the two countries which would enable the businessmen to get to know each other in a more befitting manner.

While expressing APMSPIDA’s concerns over the presumed implementation of the ‘Electronic Data Exchange System (EDES)’ between Pakistan and China, he added that there are endless repercussions entailing it, thus, the visiting Chinese Delegation should certainly take up this issue with its Government to address the concerns. He added that with implementation of the EDES there is likelihood that Chongqing market could ultimately get erased from the Pakistani market for its prices being on the higher end/side.

Therefore, if no cogent measures are taken in time, there may be a chance that China may lose the Pakistani market in the days to come as the Customs of both the countries will be sharing the invoice (which is considered to be a secret document) with each other, thereby, establishing the actual purchase price and will be imposing the duty of the same. While concluding his remarks, the Chairman proposed that in order to materialize all the proposals that he had made during his speech it is important that a MoU be inked between APMSPIDA and MAAC so that the goals envisaged of our relations could be achieved.

-Published on pages#20 & 21 April-2016 edition of MOBILE WORLD Magazine