Pakistan Producers Importing Chinese Appliances Sep 25, 2003

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Many leading Pakistan appliance producers are starting to import appliances from China and then sell them at cheaper rates, according to a report from Pakistan Press International (PPI). However, manufacturers claim that they are importing only those items that they do not assemble in Pakistan.

The huge influx of cheaper goods imported by two leading appliance makers has reportedly led to a price war in the market between Korean and Chinese products.

"We are doing business in a fashion that suit us better. There is no restriction for any assemblers or manufacturers to engage in the trading," said a spokesman for a leading appliance maker, who imports such products as microwave ovens, irons, toasters and vacuum cleaners.

In reply to a query as to why the manufacturers are opting for import rather than setting up assembly units of same products, the spokesman said: "It is not feasible to run a manufacturing unit when cheap Chinese products have already made deep inroads by grabbing a good market share." (PPI, Asia Pulse)

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