Apple is preparing to begin manufacturing and refurbishing iPhones in Pakistan under a newly proposed government backed Mobile and Electronics Manufacturing Framework aimed at expanding the country’s electronics production base. The initiative includes specific incentives sought by the company, such as discounted land provisions and an eight percent performance based incentive. Initially, the focus will be on refurbishing two to three year old iPhones, with the refurbished devices intended for export markets. Officials estimate that this phase alone could generate around 100 million dollars in export revenue during the first year. The proposal is currently awaiting final approval from Prime Minister Shehbaz Sharif and is part of a broader strategy to attract leading global technology manufacturers to Pakistan.
Under the proposed framework, refurbishment operations are expected to serve as a foundation for eventual full scale manufacturing of new iPhone units in the country. Authorities believe this phased approach will help develop technical expertise, create skilled employment opportunities, and strengthen supply chain capabilities before transitioning to assembly operations. The Engineering Development Board has indicated that incentives under the updated policy will be enhanced to encourage greater participation from international brands, with the performance incentive for mobile manufacturers proposed to increase from six percent to eight percent. Officials are hopeful that the revised structure will not only facilitate Apple’s entry but also attract additional global electronics companies to set up operations in Pakistan.
The Mobile and Electronics Manufacturing Framework is designed to position Pakistan as a competitive hub for the production and export of smartphones and other consumer electronics, including laptops, tablets, and wearable devices. A key component of the policy is the push for higher localisation. Currently, local value addition in mobile phone manufacturing stands at approximately 12 percent. Industry stakeholders are aiming to increase this figure to 35 percent within the first year of expanded operations, with a longer term target of reaching up to 50 percent. Plans are also under consideration to introduce an export levy on higher value mobile devices to generate funds for technology investment and industry development.
Government representatives have expressed strong support for the initiative, viewing it as a strategic step toward strengthening Pakistan’s industrial base and enhancing its presence in global technology supply chains. In addition to Apple’s planned operations, authorities anticipate increased investment from other international manufacturers, particularly from Asia, following recent high level engagements. If implemented as outlined, the framework could help reduce reliance on imports, boost export earnings, and contribute to job creation in the technology and manufacturing sectors. The potential entry of Apple into local production is seen as a significant development that may encourage further foreign direct investment in Pakistan’s growing electronics ecosystem.
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