Local mobile phone manufacturing and assembly in Pakistan saw a significant slowdown in August 2025, with output dropping 46% month-on-month to 1.94 million units, according to data released by PTA. Despite this sharp decline, local manufacturers successfully met 94% of the country’s mobile phone demand during the first eight months of the year, demonstrating the sector’s continued ability to supply the domestic market even amid fluctuations in monthly output. Industry analysts noted that the slowdown reflected short-term factors rather than structural weaknesses.
Year-on-year growth in mobile phone production remains resilient, with a 30% increase recorded compared to August 2024. Last year’s numbers had been dampened by excessive pre-buying activity and the imposition of an 18% GST in the FY25 budget, which had weighed on sales volumes at the time. This year’s gains show a more balanced recovery, reflecting stabilizing consumer demand and improved capacity at local assembly plants. Analysts at Topline Securities attributed the month-on-month drop to consumers delaying purchases in anticipation of new model launches from global brands scheduled for September and October.
Between January and August 2025, a total of 19.77 million locally assembled phones were sold in Pakistan, representing a slight 3% decline compared to the same period last year. Of this total, 51% – about 10 million units – were 2G feature phones, while 49% – 9.7 million units – were smartphones, highlighting the ongoing shift toward smartphones but also the persistence of demand for basic connectivity devices. The mix indicates that while smartphone adoption continues to expand, a substantial segment of the population still relies on feature phones for affordability and accessibility reasons.
Among the top-performing brands in locally assembled units for 2025 so far are VGO Tel with 2.33 million units, Infinix with 2.24 million, Vivo with 1.75 million, Itel with 1.53 million, and Xiaomi with 1.16 million. Other active brands in the local assembly market include Tecno, Samsung, Q Mobile, Nokia, and G’Five, showing a diversified ecosystem of manufacturers catering to different price points and consumer segments. Analysts at Topline Securities project mobile phone sales to grow by 7% to 8% year-on-year over the next 12 months as inflation moderates and new models from brands like Samsung and Xiaomi enter the market. Companies such as Airlink Communication and Lucky Cement, which are active in the mobile distribution and assembly space, are also expected to benefit from the anticipated uptick in demand.
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