Sazgar Engineering Works Limited is preparing to bring two new vehicles to the Pakistani market—the Tank 500 SUV and the Cannon PHEV. Both models will be locally assembled and are expected to hit production lines before the end of March 2026. The announcement came through the company’s recently published 2025 annual report.
Strong Recovery in Vehicle Sales
Sazgar’s four-wheeler segment showed impressive growth in 2025, with sales nearly doubling year-on-year. The company sold 10,889 units compared to just 5,392 in 2024, marking a 101% jump. The rebound highlights improving demand in Pakistan’s auto sector after a challenging fiscal period that saw overall industry volumes shrink.
Aligning with Pakistan’s Clean Vehicle Push
The company’s future plans are tied closely to the government’s New Energy Vehicle (NEV) policy, which encourages automakers to invest in cleaner and more efficient technologies. In response, Sazgar has approved a significant round of investments aimed at expanding its EV and hybrid assembly capabilities.
These investments include:
- Purchase of land valued at Rs 1.54 billion
- Expansion of existing four-wheeler production facilities
- A revised project cost of Rs 11.50 billion (excluding land)
The new facilities will focus primarily on New Energy Vehicles, with completely knocked-down (CKD) models expected to roll out before March 2026.
Why It Matters
For Pakistan’s auto market, the move signals two important shifts: a recovery in consumer demand and a stronger push toward hybrid and electric adoption. With major players like Sazgar committing capital to NEV production, the local industry appears to be aligning with global trends where hybrid SUVs and plug-in vehicles are gaining traction.
If Sazgar delivers on its timeline, Pakistani buyers could soon have more locally assembled options in the premium SUV and hybrid segments—categories that remain relatively underserved.
