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Pakistan to Expand Electric Vehicle Collaboration with China, Eyes Local Manufacturing and Tech Transfer

  • August 6, 2025
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Federal Minister for Planning, Development and Special Initiatives Ahsan Iqbal has reaffirmed Pakistan’s commitment to expanding its electric vehicle sector through closer collaboration with China. Speaking at a press briefing at the Pakistani embassy in Beijing, the minister described electric vehicles as a key area for future industrial and technological cooperation between the two countries.

Iqbal noted that EVs are rapidly becoming a central focus in global transportation policy and stressed the importance of Pakistan aligning with China’s advancements in the field. He pointed out the technological maturity China has achieved in electric mobility, particularly in the development of next-generation battery technologies like sodium-ion batteries, which are being recognised for their potential advantages over traditional lithium-based systems.

The minister announced that EVs will be among the core focus areas at the upcoming Pakistan-China Business Conference, scheduled for September 4 in China. The event will bring together more than 250 companies from Pakistan and over 200 Chinese firms, with sector-specific matchmaking planned in electric vehicles, renewable energy, chemicals and agriculture. Iqbal said the conference will offer a significant opportunity to establish new partnerships that can drive industrial growth in Pakistan.

He emphasized that establishing EV production facilities within Pakistan could offer a cost-effective proposition for Chinese investors, while also supporting Pakistan’s efforts to cut reliance on fossil fuels. Encouraging Chinese firms to explore localisation and technology transfer, Iqbal positioned Pakistan as a viable market and manufacturing base for the EV industry in the region.

Pakistan’s new National Electric Vehicle Policy 2025–2030, recently approved, supports this ambition by mandating that 30% of all new vehicle sales be electric by 2030, with a long-term goal of achieving net-zero transport emissions by 2060. The policy provides multiple incentives, including tax relief, subsidies, and infrastructure development support, while placing strong emphasis on local assembly and production.

Chinese firms such as BYD and Chery are already participating in the local EV ecosystem through assembly projects and infrastructure investments. Their engagement is seen as essential in helping Pakistan scale up its domestic EV industry and potentially position itself as a hub for electric mobility in the region.

Iqbal underlined the importance of the upcoming conference in driving forward these objectives and called for proactive participation from both sides to achieve shared economic and environmental benefits. He reiterated that EVs not only represent an economic opportunity but also a strategic move toward energy independence, employment generation, and sustainable development.

As policy, technology and investment converge, the collaboration between Pakistan and China in the EV sector is poised to support Pakistan’s broader energy and industrial goals, while providing a pathway for green growth and innovation in the country’s transport sector.

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Related Topics
  • Ahsan Iqbal
  • BYD
  • Chery
  • China Pakistan EV cooperation
  • Electric Vehicles
  • EV manufacturing Pakistan
  • EV policy Pakistan
  • green mobility
  • Pakistan-China Business Conference
  • sodium-ion batteries
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