International Finance Corporation (IFC) and Pakistani banks have announced a joint investment of $50.2 million in Armstrong ZE Private Limited to establish the country's newest tire manufacturing facility in Gharo, Sindh.
The green field project, backed by the Special Investment Facilitation Council (SIFC), aims to reduce Pakistan's dependence on imported tires while creating over 1,800 jobs in the region. The facility will produce tires meeting international standards for both domestic consumption and export markets.
"This investment marks a significant step towards import substitution and foreign exchange conservation," according to project documents. The facility will introduce locally manufactured tires that comply with global quality standards while offering competitive pricing for Pakistani consumers.
The project's strategic location in Gharo industrial area positions it to serve both local markets and potential export destinations. The technology transfer component of the investment is expected to enhance the sector's competitiveness in the international market.
The project is anticipated to contribute to foreign exchange reserves through export earnings and import substitution.
