Production Surge and Solar-Powered Plant Drive Sazgar’s Growth Strategy Ahead of 2026
Sazgar Engineering Works Limited has announced its expansion into new international markets, including the Philippines, Mexico, and Afghanistan, as part of its growing three-wheeler export strategy. Despite recent floods, the company reported minimal disruption to supply operations, with delays only occurring during temporary closures of the Karachi-Lahore Road. Sazgar currently offers six vehicle variants—four of the Haval H6 and two of the Jolion—and noted that while margins dipped in Q4 due to low-margin products, they still outperformed industry averages.
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Strong bookings have extended delivery timelines from 2–3 months to 3–4 months. The company credited its marketing team for navigating the EV adaptation levy, which helped sustain demand. Sazgar’s four-wheeler production capacity has already exceeded its daily limit of 40 units, reaching 60, and plans are underway to scale up to 100–120 units per day, potentially adding double shifts to meet rising demand. Under the Greenfield auto policy, benefits for petrol and HEV variants will continue until June 2026, while PHEV models remain excluded.
Looking ahead, Sazgar plans to launch two new models—TANK and Canon Alpha—by March 2026, with the CBU version priced around Rs. 45 million and a more affordable CKD version also in the pipeline. The company is also investing in a new plant featuring a 5MW rooftop solar installation to boost efficiency. Management stated that the newly imposed 40% regulatory duty on imported used cars will not affect operations, as it primarily targets sedans, potentially reducing competitive pressure in the domestic market.
