Joint Venture With Pakistan Service Industries

On November 18, 2019, Chaoyang Long March Tyre Co., Ltd. and Pakistani tyre manufacturer Service Industries Ltd. held a joint venture signing ceremony in Lahore, Pakistan.

Mr. Abdul Razak Daoud, Advisor to the Prime Minister of Pakistan on Commerce, Textiles, Industrial Production and Investment, Mr. Long Dingbin, Consul General of the People's Republic of China in Lahore, Mr. Zubair Gilani, Minister of State of Pakistan, Chairman of the Investment Committee, Mr. Li Qingwen, Chairman of Chaoyang Long March Tyre Co., Ltd., Mr. Arif Saeed, Executive Officer of Service Industries Co., Ltd., and many representatives of the business community and media attended the signing ceremony.

The agreement is for Chaoyang Long March and Service Industries to jointly produce all-steel radial tyres for trucks and buses in Pakistan. The total planned investment of this project is 250 million US dollars, and the initial investment is 100 million US dollars. The project will be in Sindh Province, Pakistan.

Mr. Li Qingwen, Chairman of Chaoyang Long March Tyre said at the signing ceremony that this cooperation is a visionary decision jointly made by the management and shareholders of the two companies, which not only conforms to the business plans and commercial interests of the two companies, but also is in line with China's "One Belt, One Road" national strategy. After the project is completed, it will become an important cooperation achievement along the China-Pakistan Economic Corridor! It will play a huge role in promoting the development of Pakistan's economy and improving its economic structure. Both parties will build the new joint venture company into a manufacturing and R&D base for all-steel radial tyres in Pakistan, filling the hole in Pakistan's lack of all-steel tyre production. The factory is planned with rich product portfolio, which will eventually become a global tyre base that serves the world. Meanwhile, it will also cultivate more local professional and technical personnel for industrial production and operation.

Mr. Arif Saeed, Executive Officer of Service Industries Ltd. said that the cooperation with Chaoyang Long March Tyre has enabled us to find a quality partner with high technology and the same vision as ours. We will work together and complement each other to build a world-class company.