The Service Group has announced a significant expansion into Pakistan’s automotive components industry with an $80 million investment to establish a passenger car tyre manufacturing facility in Nooriabad, Sindh.
This move marks the group’s first foray into tyre production, diversifying beyond its established presence in footwear and industrial rubber products.
The new plant will be operated by Service Long March Tyres Limited, a subsidiary of Service Global Footwear Limited and Service Industries Limited.
It will focus on producing passenger car radial tyres, catering to both domestic demand and export markets. The company plans to utilize existing infrastructure in Nooriabad to accelerate project execution and enhance operational efficiency.
Industry experts highlight that Pakistan currently relies heavily on imported passenger car tyres, especially in the radial segment. By producing tyres locally, the initiative aims to reduce import dependence, stabilize supply chains, and offer more competitive pricing to consumers.
Additionally, the company intends to capitalize on export opportunities in regional markets where tyre demand remains robust.
The choice of Nooriabad is strategic due to its established industrial base and logistical advantages, including proximity to Karachi’s ports. Leveraging these factors is expected to streamline supply chain integration and optimize costs.
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While the company has not disclosed a timeline for the plant’s completion, the investment underscores confidence in Pakistan’s manufacturing potential despite prevailing economic challenges. The Service Group anticipates that global demand for tyres will continue to grow, positioning the new facility as a sustainable revenue source in the coming years.
