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Outcome of the PAAPAM Symposium 2026

The 4th PAAPAM Symposium 2026, held alongside the Pakistan Auto Show in Lahore, brought together industry leaders, policymakers, automobile manufacturers, auto parts manufacturers, and academia to discuss the future of Pakistan’s automotive industry under the theme “The Future of Wheels in Pakistan: Competitiveness, Localization & Electric Mobility.” The discussions highlighted the need to strengthen domestic manufacturing, improve competitiveness, and create opportunities for sustainable industrial growth.

Pakistan has developed a significant automotive supplier base, including approximately 2,200 component manufacturers and 3,500 engineering SMEs, as discussed during the symposium. However, the industry continues to face challenges such as policy uncertainty, high production costs, expensive

financing, limited economies of scale, and barriers to international markets. The symposium emphasized that Pakistan must move beyond vehicle assembly towards genuine manufacturing, greater value addition, technology transfer, and improved product quality.

Policy stability was identified as a key requirement for long-term industrial development. Frequent changes in tariffs, taxation, and incentives discourage investment and make it difficult for manufacturers to plan capacity expansion and localization. A consistent, long-term automotive policy, supported by

clear objectives and regular performance reviews, is essential to build investor confidence and strengthen collaboration between OEMs and local suppliers.

The transition towards electric mobility presents new opportunities for Pakistan’s engineering industry. However, developing a competitive local EV ecosystem requires a phased localization roadmap,

investment in technology, battery testing for its reliability and safety, skilled manpower, and supporting infrastructure. Policies should encourage local manufacturing and technology transfer while ensuring that the transition does not weaken existing domestic supplier capabilities.

The symposium highlighted the importance of strengthening SMEs through affordable financing, modern machinery, technical training, research and development, and improved access to the international

markets. Greater cooperation between OEMs, auto parts manufacturers, government institutions, and academia can improve productivity, support innovation, and create a stronger industrial supply chain.

The symposium also emphasized the importance of promoting local production of essential raw materials used in the automotive industry, including Steel, Plastics, Rubber, Chemicals, and other key

industrial inputs and tool making facilities. Developing domestic capabilities in these areas can reduce reliance on imported materials, increase local value addition, lower manufacturing costs, and strengthen the competitiveness of Pakistan’s automotive supply chain.

Export development must remain a central priority. Pakistan’s automotive industry cannot rely solely on domestic demand to achieve sustainable growth. Competitive production costs, international quality standards, reliable supply chains, and access to global markets are essential for increasing exports and integrating local manufacturers into international automotive supply chains.

The symposium’s key message was that industrial progress requires shared responsibility. The government must provide stable policies and a competitive business environment, while industry must commit to productivity, localization, quality, technology development, and export growth. Policy support should be linked to measurable outcomes to ensure sustainable progress.

Pakistan’s automotive industry stands at a critical turning point. By aligning policy stability, electric mobility, supplier development, and export-oriented manufacturing, the country can strengthen its industrial base and create new opportunities for investment and skilled employment. Pakistan must move from assembly to manufacturing, from basic localization to competitiveness, and from dependence on the domestic market towards participation in global value chains.

This exclusive article has been published in Automark’s November-2026 printed and digital edition. Written by @Ifthikar Ahmed.

This week PAAPAM wrote to the Prime Minister with a number that deserves to be taken seriously: 1.5 million jobs, more than 1,200 companies, and $1.8 billion in annual import substitution, all of it tied to the draft Auto Policy 2026–31. I have spent my working life in this industry, and the anxiety is real — the people raising it are not wrong to do so. But after five decades on factory floors and a decade helping Pakistani firms sell into Europe, let me offer an uncomfortable second thought: a higher wall protects what we already have. It does not build what comes next.

The wall buys time. It doesn’t build anything.

Protection is not a strategy. It is a pause. It holds the line while the rest of the world keeps moving. And here is what I find striking about the current fight: the draft policy everyone is arguing over sets its own target of $6 billion in vehicle and auto-parts exports by 2031. Even the assemblers quoted in the coverage concede the real point — what the sector needs is predictable policy that rewards exports, genuine localisation and technology transfer, not a permanently sheltered home market.

We are spending our energy fighting over the tariff line and almost none on the export line. That is the wrong fight to win. A firm that survives only because imports are made expensive has not become competitive — it has become comfortable. And comfort is the most dangerous place to stand when the ground is about to move.

The ground is moving under the old model

And it is moving quickly. For forty years our supplier base was built around a handful of Japanese assemblers and the petrol engine. That world is ending. Chinese brands are arriving with new models and new price points. Battery-electric, hybrid and plug-in vehicles each carry different parts, different suppliers and different import dependencies.

A component engineered for an internal-combustion engine is, more and more, a component with an expiry date — and no tariff can push that date back. This is precisely the moment when hiding behind a wall is most dangerous, because the wall protects yesterday’s product. If a meaningful share of what our members build is designed for engines the world is walking away from, the question is not how to defend that output. It is where else on earth it can be sold — and what to build once it can’t be.

I have watched this work the other way

I am not arguing from theory. From 2004 to 2007, as CEO of the Engineering Development Board, my mandate was to take Pakistani industry into Europe. For the decade after that, as an engineering expert with the Netherlands’ CBI programme, I worked with more than 150 small and medium manufacturers across more than 40 countries, preparing them to meet European buyers on European terms.

The lesson from every one of those cases is the same. Exporting is not a lucky order picked up at a trade fair. It is a system — the right product, the right market, the compliance, the costing, the follow-through — built deliberately, one step at a time. The firms that treated it as a system broke into markets they had been told were closed to them. The firms that simply waited for protection are, many of them, still waiting.

What a Business Support Organization could do now

This is where an organisation like PAAPAM could change the story. Its weight with government is real, and its jobs argument is legitimate. But weight spent entirely on defending the home market is weight only half used. The other half is helping members earn foreign currency.

Imagine the same energy directed at export readiness: working out which members have a product a foreign buyer actually wants; which markets to enter, and in what order; what certification and quality gaps stand in the way; and how to position Pakistan as a credible “China+1” second source for Western buyers who are, right now, actively trying to de-risk away from a single supply country. That is not a theoretical opportunity. It is a door that is open today and will not stay open forever. A BSO that walks its members through it builds something a tariff never can — companies that can stand on their own in any policy weather.

The wall will come down. Be ready for it.

Policies change. Governments liberalise, then protect, then liberalise again — no wall in this country has ever stood forever. The firms still standing when this one shifts will not be the ones that built the highest barrier. They will be the ones that used the shelter to get export-ready while they had it.

So by all means, make the case to the Prime Minister. The jobs are worth fighting for. But fight for the second thing too. If you want to know where your own business actually stands on export readiness — before you spend a rupee — that is the conversation I spend my days having. The wall is a pause button. The smart move is to use the pause to build the plan.

This exclusive article has been published in Automark’s November-2026 printed and digital edition. Written by @imtiaz-rastgar.

Pakistan is navigating significant economic pressures, regional uncertainties, fiscal constraints, and the challenge of generating sustainable employment and foreign exchange. In this environment, small and medium enterprises (SMEs) can play a vital role in strengthening domestic production, expanding exports, developing technical skills, and creating employment opportunities.

The Government of Pakistan has recognized the importance of SMEs by setting ambitious targets for expanding access to finance. On October 13, 2026, Prime Minister Muhammad Shehbaz Sharif directed that SME financing should increase from Rs 1.1 trillion to Rs 2.2 trillion by 2028. This is a target for financing through the banking system, rather than a single government cash allocation.

The key question is: Will these funds simply increase lending, or will they help SMEs build a stronger productive economy?

In my opinion, financing must be linked with a comprehensive industrial development strategy that addresses not only access to credit but also land, factory premises, energy costs, technology, skilled labour, and market access.

1. Sector-Wise Financing With Measurable Targets

The government’s approach should distinguish between different economic sectors and their financing requirements. Agriculture, information technology, exports, housing, renewable energy, and industrial manufacturing all contribute to economic development, but their needs and expected outcomes are different.

Industrial manufacturing should therefore receive explicit recognition within the financing framework, with dedicated targets for priority subsectors.

Industrial SMEs need financing for machinery, tooling, raw materials, production facilities, automation, testing equipment, and international certification.

The government should establish a sector-wise framework that identifies:

• The financing target for each priority sector.
• The number of SMEs expected to receive loans.
• The investment and production capacity to be created.
• The number of jobs expected to be generated.
• The expected increase in domestic value addition and exports.
• The performance indicators and reporting timelines.

This would help policymakers assess whether financing is generating productive economic activity rather than measuring success only through the total value of loans disbursed.

2. The Missing Link: Affordable Industrial Premises

One of the most overlooked challenges facing Pakistani SMEs is the cost of establishing and maintaining a suitable business premises.

A survey reveals that 81% of entrepreneurs in the service and industrial sectors operate from rented premises.

For manufacturing SME enterprises, rent is only one part of the problem. Electricity, utilities, maintenance, transport, storage, security, and other operating expenses add to the monthly financial burden.

An SMEs may have spent 20 or 30 years developing its technical capabilities, customer relationships, workforce, and reputation. Yet it may still be operating in rented premises without the security of long-term ownership or an affordable pathway to establish its own factory.

When a business has to spend a substantial portion of its income to rent and overheads, fewer resources remain available for modernization.

An SME cannot build long-term industrial capacity if it spends its working life struggling to secure a sustainable place of manufacturing.

3. From Apna Ghar to Apni Factory

The government’s Apna Ghar housing initiative reflects the importance of helping eligible citizens access to housing finance and work toward home ownership.

A comparable concept deserves consideration for manufacturing enterprises:

Apni Factory an affordable industrial premises programme for SMEs.

The objective would be to help eligible manufacturing businesses move from rented workshops into affordable, properly planned industrial units.

An Apni Factory programme could therefore become an instrument of industrial development, employment generation, and SME formalization.

Its design should be based on affordability, transparent eligibility criteria, productive use of premises, capacity building and development of products to export.

4. Use Existing Government Industrial Land

Pakistan already has industrial estates and industrial development institutions across different regions. The federal and provincial governments should review available land, unused industrial plots, existing infrastructure, and opportunities to develop smaller industrial units.

Rather than relying entirely on new land acquisition, the government should identify suitable existing industrial land and assess how much can be made available to manufacturing SMEs.

A practical model could include the following features:

1. Small, ready-to-use industrial sheds

Develop affordable units of different sizes according to the requirements of micro, small, and medium manufacturers. Units should include essential infrastructure such as electricity, roads, water, drainage, and appropriate industrial utility connections.

2. Cluster-based development

Clustering can improve access to shared services, skilled workers, testing facilities, logistics, and supplier relationships.

3. Affordable long term financing

Eligible SMEs could be offered transparent lease to own or long term installment arrangements, subject to feasibility, credit assessment, and clear repayment terms. The objective should be to make ownership achievable without imposing an unsustainable financial burden.

4. Priority for productive manufacturers

Allocation criteria should prioritize genuine manufacturing activity, employment creation, investment commitments, and the ability to use the premises productively. Transparent monitoring would help prevent speculative purchases and ensure that industrial land serves its intended purpose.

5. Provincial and federal coordination

The federal government, provincial industrial development authorities, SMEDA, financial institutions, and industry associations should work together to identify locations, develop the operating model, and monitor implementation.

This approach could turn underutilized industrial assets into productive facilities while reducing the time and cost required to establish manufacturing operations.

5. Why Manufacturing SMEs Matter for Employment and Exports

Industrial SMEs are not merely small businesses. They are essential links in domestic supply chains.

A local engineering manufacturer may supply components to automotive assemblers, agricultural machinery producers, electrical equipment manufacturers, or larger industrial enterprises. With appropriate technology and quality standards, the same business may also supply international buyers.

When local manufacturing expands, the benefits can extend throughout the economy:

• More demand for locally produced raw materials and industrial inputs.
• Greater opportunities for technicians, machine operators, engineers, and skilled workers.
• Stronger domestic supply chains and reduced dependence on imported components where local production is competitive.
• Increased opportunities for subcontracting and technology transfer.
• Greater potential for exports and foreign-exchange earnings.

However, these outcomes require a supportive and predictable business environment. SMEs cannot be expected to make long term investments if financing is inaccessible, operating costs are prohibitive, industrial premises are unaffordable, and policy changes create uncertainty.

Industrial development must therefore be treated as a coordinated national objective rather than a collection of disconnected schemes.

6. A Practical Roadmap for Implementation

The government could begin with a phased programme.

Phase One: National assessment

Conduct an updated survey of manufacturing SMEs operating in rented premises, their industrial land requirements, employment levels, production capacity, and financing needs.

Phase Two: Land and infrastructure mapping

Identify available federal and provincial industrial land, including underutilized plots and facilities that could be adapted for SME use.

Phase Three: Pilot industrial clusters

Select suitable locations in consultation with provincial authorities and industry associations. Develop a limited number of ready to use industrial sheds, affordable lease to own or long term installment models.

Phase Four: Integrated financing

Coordinate industrial premises financing with machinery loans, working capital, technology upgrades, and technical assistance.

Phase Five: Performance monitoring

Measure the programme through indicators such as the number of factories established, jobs created, private investment mobilized, production growth, SME efficiency, local value addition, and exports.

At The End: From Lending to Industrialization

Pakistan’s SME financing target of Rs 2.2 trillion by 2028 creates an opportunity to strengthen the productive base of the economy. The impact of this initiative, however, will depend on how effectively finance reaches viable SME enterprises and how well it addresses their actual business constraints.

We must recognize that an SME entrepreneur needs more than a loan. The entrepreneur needs a suitable place to manufacture, reliable utilities, modern machinery, skilled workers, access to raw materials, and the opportunity to compete in domestic and international markets.

For many manufacturers who have spent 20, 30, or even 40 years building their businesses, the dream of owning an affordable factory remains out of reach. A properly designed Apni Factory programme could help turn that dream into a productive investment in Pakistan’s future.

My proposal is simple: link SME financing with affordable industrial premises, machinery, skills, and export development.

Let us measure the success of SME policy not only by the amount of financing provided, but also by the factories established, jobs created, products manufactured, and exports generated.

Pakistan needs entrepreneurs who can build businesses, skilled workers who can earn sustainable livelihoods, and manufacturers who can compete globally.

The real objective should be to transform SME financing into SME industrialization  and transform industrialization into sustainable employment, stronger exports, and national economic development.

This exclusive article has been published in Automark’s November-2026 printed and digital edition. Written by @mashood-khan, Director – Mehran Commercial Enterprises.

In my previous article of October titled Reflections from Auto Show 2026, I shared the insights of one of the most important platforms of the automotive industry in Pakistan, which witnessed participation of OEMs, suppliers, technology partners and industry stakeholders coming together to understand emerging trends, share their ideas and build the future of mobility.

However, the real importance of an auto show is much more than the activities carried out within its premises. The true success will be measured by our ability to make the most of the learning, connections and opportunities that such an event has created and transform them into action, better partnerships in the industry, manufacturing excellence, localization and sustainable business success. It is time for us to transition from reflection to action and shift our focus from what we have learned from Auto Show 2026 to what we can accomplish through it.

It is not what we show at the auto show that really counts, it is all about what we learn and improve on after the show that really matters. The auto show give us important lessons on changing customer needs, new technologies, industry trends, and the future of automotive production.

What matters now is how we capitalize on these lessons through better execution, better quality, excellence in operations, and innovation in response to the need of customers. It is not how much we have participated in the auto show that really matters; it is how much we improve our products and processes that really matters.

The conference proved that Pakistan already has a diversified automotive industry, consisting of automobile manufacturers, component suppliers, engineering firms, electric vehicle (EV) companies, and supportive industries. This might just be the biggest lesson we have learned from PAPS 2026: the future of the Pakistani automotive industry will not depend on the number of automobiles manufactured in Pakistan, but rather on the amount of technology, value, and competitiveness that Pakistan can produce.

From assembly to manufacturing, from localization to competitiveness in international markets, and from an automotive market in Pakistan to a manufacturing hub for the region, all this will require investments, collaboration, and dedication. The industry has already proven itself capable. Now the next step is to transform capabilities into globally competitive products and exports.

One of the major lessons learned from PAPS 2026 is that it is an excellent platform for genuine Business-to-Business (B2B) interactions, networking, and future business development. The exhibition has created a platform for OEMs, local and foreign suppliers, technology vendors, engineering firms, investors, and other industry players to meet and discuss possibilities and potential projects within the automotive industry.

What should be done next is to put in place a more systematic method of dealing with the opportunities that have emerged from PAPS. Companies that participated in the exhibition can keep track of their prospective customers, suppliers, technology partners, and investors. The following are some examples of how each opportunity can be analyzed in terms of its business potential, feasibility, investments, benefits, and timing of implementation.

For instance, a conversation with regard to development of suppliers can be followed by capability assessment, sample manufacturing, process approval, and eventually nomination for serial production. Similarly, an international business relationship can start with the evaluation of technology, followed by feasibility analysis, investments, and finally business agreement. On the other hand, an export opportunity can start with customer contact, product specification, costing, approval of samples, certification, and trial shipment. This will enable organizations to determine the value of their participation in industry events.

It is not just a matter of counting the number of meetings held and visitors that have been drawn. The goal should be to know how many productive business opportunities can be turned into real commercial and industrial successes. Besides the exhibition of cars and products, the talks held at PAPS 2026 indicated some of the priorities that will define the future of the Pakistani automotive industry. Higher localization, supplier capability building, supply chain resilience, new technology applications, investments, and export oriented manufacturing were among those that came out as future areas of development.

One very important message that came across is that the next step in localization is not just about substituting imported parts. It is about creating suppliers who have the engineering expertise, quality, competitiveness, manufacturing capability, and international standard compliance.

Increasing numbers of electric vehicles and new energy vehicles further underscored the change that was happening in the industry. The change provides Pakistan with the chance to build new capacities in domains like battery technology, electric drives, electronics, charging systems, light-weighting, and other new technologies. Building up these capacities now can put the local industry in good stead for future mobility needs. Yet another key lesson is that of the need for increasing supply chain resilience. The automotive sector has to be competitive, which means there must be a consistent supply of parts, an efficient vendor network, logistics, quality control, and cooperation between the Original Equipment Manufacturer and the supplier.

PAPS 2026 further emphasized the need to look beyond the domestic market. Manufacturing for exports needs to be considered in Pakistan’s strategy for automotive growth. With its strong manufacturing infrastructure, growing vendor network, engineering expertise, and access to regional markets, Pakistan has the potential to create products and parts that can compete in international markets. To realize this potential, Pakistan needs to make continuous investments in technology, quality, productivity, R&D, and skill development.

The high level of engagement and reaction to PAPS 2026 was a positive sign regarding the willingness of the industry to invest, collaborate, and venture into new possibilities. At the same time, the event made it very clear that the future of the auto industry cannot be shaped by one particular party. The collaboration of OEMs, vendors, technology partners, investors, government bodies, academia, and policymakers is needed to build an environment for innovation and localization.

In essence, the worth of PAPS goes beyond just the event itself. It offers a common platform where the stakeholders of the industry can come together to network, learn, collaborate, and turn their ideas into business. With Pakistan’s automotive industry entering a phase of technological and structural change, platforms like PAPS can play a more significant role in the coming times.

Take way from this article:

Therefore, the key message that should be drawn from PAPS 2026 is not merely about what the industry has exhibited, but rather what the industry can create together when PAPS 2026 ends. It all boils down to how well we are able to turn networking into partnership, partnership into manufacturing capability, manufacturing capability into competitive products, and finally, competitive products into sustainable business opportunities, both locally and internationally. PAPS 2026 has laid the groundwork. Now, it is up to the industry to make something out of it.

Exclusive written for Automark Magazine, November 2026 by Muhammad Rafique, Sr. General Manager Production and Maintenance Foton JW Auto Park (Pvt.) Limited.

Dear Readers, Pakistan is entering a new era of transportation. Electric vehicles (EVs) are becoming an important part of the global automobile market, and Pakistan is also moving towards cleaner and more affordable transport solutions. Rising fuel costs, dependence on imported oil, air pollution, and the need for sustainable mobility are encouraging the country to explore alternatives to traditional petrol and diesel vehicles.

The Government of Pakistan has introduced the New Energy Vehicle (NEV) Policy 2025–30, which aims to make 30% of new vehicle sales electric by 2030. The policy covers different categories, including motorcycles, rickshaws, passenger cars, light commercial vehicles, buses, and trucks. It also sets a target of developing 3,000 charging stations across the country during the policy period. These targets create a need for investment in charging infrastructure and open the door to new business opportunities for private investors.

However, promoting electric vehicles alone will not be enough. People and businesses must have access to reliable, safe, and affordable charging facilities. Without a proper charging network, customers may hesitate to purchase electric vehicles, especially if they regularly travel long distances or depend on vehicles for their business operations.

Commercial EV fast chargers can play a major role in meeting this need. They can support the growing EV market, improve public confidence, create business opportunities, and help Pakistan move towards its electric mobility targets.

1. Why Pakistan Needs Commercial EV Fast Chargers

One of the biggest challenges in adopting electric vehicles is the availability of charging facilities. While many EV owners may charge their vehicles at home or at their workplaces, this option is not practical for everyone. People living in apartments, commercial buildings, and rented properties may not have access to private charging points. Similarly, drivers who travel between cities need charging facilities along motorways and highways.

Commercial fast chargers can address these problems by allowing EV users to recharge their vehicles at public locations within a shorter period than conventional AC charging. Depending on the vehicle, battery size, charger capacity, and battery condition, DC fast charging can add a useful amount of driving range in a relatively short stop.

For example, a driver travelling from Lahore to Islamabad needs confidence that charging facilities will be available during the journey. Likewise, an electric taxi, delivery van, or commercial fleet cannot afford to remain idle for long periods while waiting for its battery to charge. Fast charging can help reduce downtime and keep vehicles in operation.

Pakistan therefore needs charging facilities in major cities, shopping centers, hotels, restaurants, office buildings, petrol stations, industrial areas, logistics hubs, and important road corridors. A well-planned network should serve both urban users and people travelling between cities.

The government’s target of 3,000 charging stations by 2030 reflects the importance of this infrastructure. The NEV Policy also provides for the gradual expansion of roadside charging facilities along major highways.

2. Why Fast Charging Is Important for Commercial Users

Commercial users have different requirements from private EV owners. For a private owner, charging may take place overnight at home. For a commercial operator, however, time directly affects income.

Consider a taxi operating throughout the day. If the vehicle must stop for several hours to recharge, the driver may lose valuable working time. A fast-charging station can help reduce this interruption, depending on the vehicle’s charging capability.

The same applies to delivery companies, ride-hailing services, and corporate fleets, buses, and logistics businesses. As these companies introduce electric vehicles, they will require charging facilities that can support regular and predictable operations.

Commercial fast chargers can provide several benefits:

• Reduced vehicle downtime: Faster charging can help commercial vehicles return to service sooner.
• Improved fleet management: Businesses can plan charging around operating schedules and routes.
• Better customer confidence: Drivers are more likely to consider an EV when reliable charging is available.
• Support for long-distance travel: Highway charging can help connect major cities and commercial centers.
• New service opportunities: Charging locations can attract customers to restaurants, shopping centers, hotels, and other businesses.

For Pakistan, this infrastructure will be particularly important as electric mobility expands beyond private passenger cars into public transport, delivery services, and commercial fleets.

3. EV Charging as a Business Opportunity

EV charging should not be viewed only as a technical requirement. It can also become a commercial service with the potential to generate recurring revenue.

A charging station provides electricity to EV users in return for payment. Depending on the business model, the operator may earn revenue through charging fees, parking charges, subscriptions, fleet contracts, or partnerships with property owners and other businesses.

The opportunity is not limited to large companies. Individual investors, small and medium-sized enterprises, petrol station operators, property developers, shopping mall owners, hotels, and industrial businesses can all explore suitable charging solutions.

The right business model will depend on the location, expected number of vehicles, available electricity supply, investment budget, and type of customers.

Public commercial charging stations

An investor can establish a public charging station at a suitable location and charge customers according to electricity consumed, charging time, or an approved pricing structure. Locations with convenient access, adequate parking, reliable electricity, and a steady flow of vehicles may offer stronger business potential.

Possible locations include busy urban roads, commercial centers, motorway service areas, and routes connecting major cities. However, investors should study local EV numbers and expected demand before selecting a site.

Charging facilities at existing businesses

Businesses that already own suitable land or parking facilities may be able to add EV charging as an additional service.

For example, a shopping mall can install chargers to attract EV-driving customers. A hotel can offer charging as a convenience to guests. A restaurant can encourage customers to spend time at its premises while their vehicles charge.

Similarly, an existing petrol station may use part of its available space to introduce EV charging. This approach can help traditional fuel retailers prepare for changes in the transport market while making use of their existing locations.

Dedicated fleet charging

Another business model is to provide charging facilities for companies operating electric taxis, delivery vans, buses, or other commercial vehicles.

Instead of depending entirely on customers arriving at random times, the charging operator may enter into an agreement with a fleet owner. Such an arrangement can provide more predictable demand, although profitability will depend on the agreed rates, utilization levels, electricity costs, and contract terms.

For investors, this model deserves attention because regular fleet operations may create repeat demand for charging services.

4. Business Potential for Private Investors

For private investors in Pakistan, EV charging offers an opportunity to enter a developing market at an early stage. As the number of electric vehicles increases, demand for convenient charging services may also grow. Investors who understand the market and select suitable locations could establish businesses that serve this demand over the coming years.

However, investing in EV charging requires proper planning. The purchase of a fast charger is only one part of the total cost. Other expenses may include land or rent, electrical connections, transformers, installation, civil works, maintenance, software, security, and applicable regulatory requirements.

Before investing, it is important to calculate how many vehicles are likely to use the station each day, how much electricity will be sold, and what operating costs will be incurred.

For example, a charger installed at a busy commercial location may receive regular customers throughout the day. A similar charger in an area with very few EVs may remain underused and generate insufficient revenue. Therefore, location selection and demand assessment are essential.

Investors should also compare different charger capacities. A high-capacity DC fast charger may be suitable for a busy highway or commercial fleet, while a lower-capacity charger may be more appropriate for a hotel, office, or parking facility where vehicles remain parked for longer periods.

The main objective should be to build a financially sustainable charging business rather than simply install chargers to meet a market trend.

5. Government Support and the EV Policy in Pakistan

Government policy can play an important role in developing Pakistan’s EV charging market. The NEV Policy 2025–30 establishes a national direction for electric mobility and includes plans for charging infrastructure development.

The policy targets 3,000 charging stations by 2030, covering different charging levels and battery-swapping facilities. It also envisages public and private sector participation in expanding the network. In addition, the policy specifies a commercial charging electricity tariff of Rs. 39.7 per kilowatt-hour, subject to the applicable regulatory and tariff arrangements. Investors should verify the latest notified tariff and all associated charges before preparing their financial plans.

These measures provide a policy framework for businesses interested in charging infrastructure. Nevertheless, policy targets should not be confused with guaranteed demand or guaranteed investment returns. Actual results will depend on implementation, EV adoption, electricity costs, charging prices, and customer behavior.

Investors should also review the relevant rules and licensing requirements issued by the National Energy Efficiency and Conservation Authority (NEECA), NEPRA, and the applicable electricity distribution company. Technical standards, electrical safety, site approvals, and reliable power connections must be considered before a project begins.

Government support can help create favorable conditions for investment, but a sound business plan remains essential.

6. Key Factors for a Successful EV Charging Business

A successful EV charging station requires more than suitable equipment. Investors should consider the following factors before making a financial commitment.

Location: The site should be easy to access and close to areas where EV users travel, work, shop, or stop during long journeys.

Electricity supply: The available electrical capacity must support the selected chargers. Upgrades to the power connection or transformer may increase project costs.

Charger compatibility: Chargers should support the vehicle models and charging standards commonly used by the intended customers. Investors should also consider future requirements.

Utilization: Revenue depends heavily on how frequently chargers are used. A station with high capacity but few customers may struggle to cover its costs.

Pricing and operating costs: Electricity, maintenance, rent, staffing, software, payment processing, and equipment financing must be included in the financial model.

Reliability: Customers expect chargers to work when needed. Regular maintenance, technical support, transparent pricing, and easy payment options can help build customer trust.

A phased investment strategy may be suitable for some investors. Starting with a carefully selected location and expanding as demand grows can help manage financial risk. The appropriate approach will depend on the investment budget and expected customer base.

7. Challenges and Risks to Consider

Despite its potential, the EV charging business in Pakistan faces several challenges. The number of EVs in a particular area may initially be too low to support a large charging network. Electricity supply limitations, high installation costs, uncertain customer demand, and changes in government policy may also affect business performance.

Another challenge is choosing between slow, medium-speed, and fast charging. Fast chargers can serve customers who need to continue their journeys quickly, but they generally require a larger investment and greater electrical capacity. They are not necessarily the most profitable option at every location.

Investors should therefore avoid making decisions based only on expectations of rapid EV adoption. A feasibility study should estimate conservative, moderate, and high-demand scenarios. It should also assess the break-even point, expected payback period, maintenance requirements, and risks of low utilization.

Partnerships with vehicle manufacturers, fleet operators, property owners, fuel retailers, and technology providers may help investors develop a stronger business model.

Conclusion

Pakistan’s transition towards electric mobility creates a growing need for reliable charging infrastructure. The government’s target of making 30% of new vehicle sales electric by 2030, together with its plan for 3,000 charging stations, provides an important direction for the market.

Commercial fast chargers will be particularly valuable for intercity travel, commercial fleets, taxis, delivery vehicles, and users who cannot charge their vehicles at home. They can reduce charging delays, improve convenience, and support greater confidence in electric vehicles.

At the same time, EV charging can offer a new business opportunity for private investors, existing businesses, and commercial property owners. Revenue may come from public charging, fleet agreements, partnerships, and additional services at charging locations.

The opportunity, however, must be approached with realistic expectations. Investors need to assess demand, electricity availability, installation costs, applicable tariffs, regulatory requirements, and long-term operating expenses before committing capital.

The future of electric mobility in Pakistan will depend not only on how many electric vehicles are sold, but also on how effectively the country develops the infrastructure needed to keep them moving. By investing in suitable locations, reliable technology, and financially sound business models, private investors can participate in this emerging market while supporting Pakistan’s wider transportation and energy goals.

This exclusive article has been published in Automark’s November-2026 printed and digital edition. Written by @Aqeel Bashir.