Pakistan Calls on Samsung to Export Locally Made Smartphones to Emerging Markets

KARACHI: On Wednesday, Pakistan urged Samsung to export smartphones that are manufactured locally to emerging markets, as the government aims to transform the country from a mere assembly hub into a regional manufacturing and export center for technology products.

The proposal is part of Islamabad’s broader strategy to boost exports, increase domestic value addition, and attract foreign investment by encouraging multinational firms to integrate Pakistan’s growing manufacturing base into global supply chains, rather than producing solely for the domestic market.

Commerce Minister Jam Kamal Khan put forward the proposal during a meeting with a delegation led by Samsung Pakistan’s country head, according to a statement from the Ministry of Commerce.

“Jam Kamal Khan encouraged Samsung to look beyond Pakistan’s domestic market and export Pakistan‑manufactured smartphones to emerging markets, particularly to Africa and other regions,” the statement said.

“He said Pakistan should leverage its growing manufacturing base to become part of global supply chains rather than serving only local demand.”

The minister also invited Samsung to help develop Pakistan into a regional hub for mobile‑phone refurbishment, noting that a regulated refurbishment ecosystem could generate jobs, strengthen local industry, and create new export opportunities for professionally refurbished devices.

During the meeting, the Samsung delegation described the company’s investment in Pakistan’s mobile‑phone assembly sector but highlighted that recent changes in taxation and a narrowing tariff gap between semi‑knocked‑down (SKD) kits and completely built units (CBU) have reduced the competitiveness of locally manufactured phones.

“The delegation also raised concerns about the commercial import of used mobile phones, stating that it undermines domestic manufacturing despite Pakistan having sufficient production capacity,” the ministry said.

“It suggested replacing commercial imports of used phones with certified refurbished units, under which original equipment manufacturers would set up authorized refurbishment facilities in Pakistan, allowing consumers to purchase quality‑assured devices with warranties.”

In response, Jam Kamal noted that Pakistan’s mobile‑phone industry has made significant progress in recent years and that future policy should focus on genuine manufacturing, higher local value addition, technology transfer, and export growth. He added that incentives for the industry should be tied to investment, localization, exports, and value addition.

The minister also directed the industry to submit detailed proposals on certified refurbishment, export potential, investment commitments, and international best practices to support the government’s revised Mobile Device Manufacturing Policy.

Source link