Pakistan issues 57 EV manufacturing licenses amid growing auto sector

(Web Desk): Pakistan's electric vehicle (EV) ecosystem is slowly developing under the Automotive Industry Development and Export Policy 2021-26, and so far, 57 manufacturers have been issued licenses to produce 2 and 3-wheeler electric vehicles.

This initiative is being supported by financial incentives, tax exemptions, and reduced charging tariffs offered under the government's 'Clean Green Pakistan' and 'Make in Pakistan' plans.

According to the Economic Survey for Fiscal Year 2024-25, 13 new manufacturing certificates were issued, and the production of 2 and 3-wheeler electric vehicles reached 32,923 units, bringing the total production since fiscal year 2022 to 76,979 units.

The survey states that although tractor production decreased by 35 percent, falling from 36,425 units to 23,581 units, the overall growth of the auto industry remained healthy, ranging between 29 percent and 88 percent.

Despite the growth, regulatory challenges have prevented the auto sector from achieving its full supply and demand potential.