According to a Reuters report on September 6, BYD Pakistan, a joint venture between Chinese automaker BYD and Pakistan's Mega Motors, stated that by 2030, up to 50% of all vehicles sold in Pakistan will be electrified in some form, aligning with global targets.
Last month, BYD announced its entry into the Pakistani market. BYD Pakistan launched three models in August and plans to open a local assembly plant by early 2026.
On September 5, Kamran Kamal, CEO of Pakistan's power utility company Hub Power (HUBCO), which is the parent company of Mega Motors, and spokesperson for BYD Pakistan, said in an interview with Reuters: "I believe the adoption rate of New Energy Vehicles (NEVs) will be as high as 50% by then."
BYD Pakistan is the country's first major NEV manufacturer. Arif Habib Limited's automotive industry analyst, Muhammad Abrar Polani, stated that it is feasible for NEVs to reach a 30% penetration rate in Pakistan by 2030, but achieving the 50% target may be more challenging due to infrastructure obstacles.
Kamran Kamal mentioned that the Pakistani government plans to introduce incentives to address charging infrastructure issues. In August, local media reported that the Pakistani government was considering providing affordable electricity for EV charging stations, and the country's Ministry of Power had drafted standards for such stations.
Kamran Kamal also stated that BYD Pakistan is collaborating with two oil sales companies to build a charging infrastructure network, with plans to establish 20 to 30 charging stations during the early stages of the vehicle rollout.
Initially, BYD Pakistan will sell fully assembled imported vehicles, which are subject to higher import duties compared to vehicles assembled locally from imported parts. When discussing the challenges of importing and selling fully assembled vehicles under Pakistan's current tariff structure, Kamran Kamal said, "Our main goal is to get locally assembled cars on the road as soon as possible."
He added that BYD Pakistan is still considering the scale of the new plant, but details regarding investment and the partnership with HUBCO will be disclosed later.
Achieving a 50% market share for NEVs is an ambitious goal for Pakistan's automotive industry, which has historically been dominated by Japanese automakers like Toyota, Honda, and Suzuki. In the fiscal year ending June 2023, Pakistan saw its lowest vehicle sales in 15 years.
Recently, South Korean automaker Kia has started competing for market share alongside Chinese automakers Changan and MG Motors, all of which offer hybrid vehicles. Last year, sales of hybrid vehicles in Pakistan more than doubled.
