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Pakistan sets 50% localization target under new electronics policy

Plan aims for $2.5 billion in exports, 75,000 skilled jobs and deeper supply-chain integration by 2033

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Business Desk

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Pakistan sets 50% localization target under new electronics policy
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Pakistan’s new electronics manufacturing policy sets ambitious targets for domestic value addition, workforce development and export integration over the next seven years, as the government attempts to reposition the sector within the regional supply chain.

The Mobile and Electronic Devices Manufacturing Policy 2026-33 aims to increase domestic value addition from about 10% today to 50% by 2033. Interim projections foresee gradual gains beginning in fiscal year 2027-28 and accelerating toward the end of the policy period.

The government also plans to train 75,000 skilled workers, establish 10 new surface-mount technology (SMT) and component facilities, formally recycle 70% of electronic waste by 2033, and set up four internationally accredited testing laboratories.

A dedicated Mobile and Electronic Devices (MED) Cell will be established within the Engineering Development Board with an annual operational budget of approximately PKR 50 million, while an R&D Support Fund of about PKR 500 million will be financed through the Technology Investment Fund levy.

The policy draws comparisons with Vietnam’s Samsung-led expansion and India’s Apple-linked PLI model. Pakistani officials say they are considering comparable investment arrangements under the Special Investment Facilitation Council framework to attract a major anchor OEM.

Analysts caution that achieving the $2.5 billion export target will likely require at least one globally significant manufacturer to commit to export-scale production within the first two years of implementation.

If successful, the policy could move Pakistan from a low-value assembly hub toward a mid-tier regional electronics manufacturing base with meaningful export participation. But officials acknowledge that enforcement discipline, political continuity and timely infrastructure development will determine whether the targets materialize.

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