Apple to Manufacture iPhones in Pakistan

 Apple Inc. is expected to begin iPhone manufacturing in Pakistan under the proposed Mobile and Electronics Manufacturing Framework, as the government plans to offer discounted land, an 8% performance incentive, and permission to refurbish two- to three-year-old iPhones for re-export. According to Engineering Development Board CEO Hamad Ali Mansoor, the proposal awaits approval from Prime Minister Shehbaz Sharif. The government estimates that refurbished iPhone exports could generate around $100 million in the first year. Pakistan currently provides a 6% incentive to mobile manufacturers, which may increase to 8% to attract global tech investment. The policy also aims to boost localisation in mobile manufacturing from the current 12% to 35% initially and later 50%, while imposing up to a 6% export levy on high-end phones above Rs100,000 to generate Rs62 billion for technology development. In addition, the government expects $557 million in Chinese investment in electronics manufacturing and plans to expand electric vehicle subsidies from two-wheelers to affordable four-wheelers as part of its broader industrial and export growth strategy.

The government also plans to strengthen Pakistan’s electronics sector by increasing localisation in mobile manufacturing from 12% to 35% in the first year and eventually 50%, while attracting an estimated $557 million in Chinese investment. An export levy of up to 6% will apply to high-end phones priced above Rs100,000 to generate funds for technology development, while mid-range phones will remain exempt. Additionally, EV subsidies currently available for electric bikes may be expanded to affordable electric cars to support industrial growth and clean transportation.

Overall, the new policy aims to turn Pakistan into a regional hub for mobile manufacturing, electronics exports, and affordable electric vehicles.


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