Electric vehicle industry in Pakistan

Pakistan already has a significant market for hybrid vehicles with Honda's Vezel, Toyota's Prius and Aqua, and other models seen on the roads. The Automotive Development Policy (2016–2021) and the launch of China-Pakistan Economic Corridor (CPEC) are encouraging foreign investments for the new automobile brands to enter Pakistani market, while the leading manufacturers in the automobile industry in Pakistan are not interested to introduc EV models or it's wide range of prices which target consumers of diverse income groups.[1] Several members of the international automobile industry including South Korea, China, and Japan also believe that Pakistan has a high potential market for EV technology, and local businesses are collaborating with them to bring EVs in Pakistan.[2] In the budget 2018–19, The government has given exemptions of 16 per cent customs duty on charging stations of electric vehicles, reduction of customs duty from 50 per cent to 25 per cent and an exemption of 15 per cent regulatory duty (RD) on electric vehicles. And on November, 05, 2019 Federal government of Pakistan approved First Draft of Electric Vehicles manufacturers Policy. The government has also reduced customs duty on kits of electric vehicles from 25 per cent to 1 per cent.[3]

Dynasty IT EV by Karakoram Motors.

Electric vehicle manufacturers in Pakistan

Electric car manufacturers
Dynasty IT was bought by Karakoram Motors of Pakistan, and now it is manufactured in Pakistan.[4]

Karakoram Motors is a Pakistani automobile manufacturer based in Karachi, Sindh, Pakistan. Karakoram Motors is the authorized assembler and manufacturer of Dynasty IT electric cars.[5]

Rahmat Group is bringing electric cars to Pakistan. As per Dawn News, the Group has already acquired 25 acres of land to establish Electrical Complex at Nooriabad. At the initial stage, the group will produce electric buses to tap the transport market, and in the second phase, a manufacturing plant would be established at the complex to produce electric cars and two-wheelers. As per the reports, Rahmat Group will partner with two Chinese manufacturers to turn its plans into a reality. One company will handle the electric car production while the other will assemble electric vans and trucks. The group also plans to develop lithium batteries for buses, cars and two-wheelers.[6] Rahmat Group has signed an agreement with Chinese EVs manufacturer BYD. [7]

Chongqing Changan Automobile Limited has signed an agreement with Master Motors of Pakistan to assemble and sell their cars in the country. Jinbei has collaborated with Zenith Automotive (Pvt) Ltd. to distribute and sell its Electric vehicles across the country.[3]

Al Haj Automotive Private Limited recently signed an agreement with Proton as the exclusive authorised distributor and assemblers of Proton vehicles in Pakistan and have plans to launch their Electric vehicles in the country. The agreement signing ceremony was held in Kuala Lumpur. [8]

BMW has introduced their top of the line electric cars, the i3 and the i8 in Pakistan. Nissan, Hyundai, Audi and Renault are already in talks with the Ministry of Industries and Production for producing locally manufactured electric cars in the country.[2] Audi is expected to launch its e-Tron 50 Quattro in Pakistan by April 2020.[9]

Economia Solar vehicles

Economia is a Pakistani-based company that specializes in the manufacturing of Solar vehicles. They mainly manufacture solar powered bikes, Rickshaws, Golf Carts, Vans, Cars and Central Air Conditioning units.[10]

Pakistan in collaboration with China has introduced its first-ever electric car company, Topsun Motors, which inaugurated its showroom in Jail Road of Lahore on 3 January 2020.[11]

Hybrid cars

Pakistan already has a significant market for hybrid vehicles with Honda's Vezel and Freed, Toyota's Prius and Aqua. However, these cars aren't being locally manufactured in Pakistan, but are directly imported from Japan.

In May 2019, An all-new Suzuki Swift was rumoured, presumably doing test rounds on the roads of Pakistan. The car was rumoured to be registered under Pak Suzuki’s name. The most important bit of information about this Swift was its hidden emblem presumably "Hybrid". Pak Suzuki, according to images, had hidden the emblem with tape on it. If the rumors are to be believed then this CBU Swift Hybrid could be available in Pakistan by the end of 2020. However, it cannot be conclusively said whether Pak Suzuki will launch the vehicle in the local market, as the company has not made any official statement in this regard. The spotted one was fourth generation Swift.[12]

Scooters, Motorcycles and Auto Rickshaws

On 2017, Jolta International had created the first locally manufactured electric motorcycle. The company is based just outside of Bahria Town Rawalpindi, and showcased three Jolta Chargeable Electrical Motorcycles in Gwadar.[13] Jolta also develops electric bike kits that can be retrofitted to any Chinese and Japanese bikes being assembled in Pakistan. Jolta is a subsidiary of Auj Technologies, a company based in Lahore.

Leading automobile manufacturers, including Super Power Motorcycles, Original Star Electric Bikes by SITARA AUTO IMPEX Industries Ltd have started introducing EV models. Neon, a Pakistan-based motorcycle assembler, has introduced an all-electric Neon M3 motorbike in Pakistan. The macho looking sports bike comes with emission-free and noiseless features.[14]

Economia is a Pakistani-based company that specializes in the manufacturing of Solar vehicles. They also manufacture solar-powered bikes and Rickshaws.[10]

Sunra, a Chinese electric bike manufacturer, also has a presence in Pakistan.[15]

On 31 August 2019, Federal Minister for Science and Technology visited Pakistan Council of Renewable Energy Technologies in Islamabad where he announced to introduce eco-friendly electric motorcycles and rickshaw to save the energy and environment.

The Chairman Pakistan Electric Vehicles manufacturers Association PEVMA Mr.Muhammad Sabir Shaikh gave a demonstration of e-bikes and e-rickshaws by driving them himself. He said that the PEVMA would roll out electric motorcycles and rickshaws across the country. He added that electric motorcycles and rickshaws are the future of the Pakistan's transportation system.[16][17]

On 9 October 2019, BBC Urdu reported that two motorbike manufacturers from Sahiwal and Lahore had launched an electric bike series by the name of "Jaguar". Auj Technologies – a Lahore-based electric motorcycle company – says they had started a joint venture with MS Group to produce the bikes. They claim that these are the nation's first both locally designed and manufactured electric bikes.[18][19]

On 24 January 2020, Sazgar unveiled Pakistan's first locally manufactured electric rickshaw. The unveiling ceremony was held on Sazgar car plant located at Sundar Road in Lahore.[20]

Railways

Pakistan Railways has 29 electric locomotives of class BCU30E numbered 7001–29. These are British-built locomotives of 3,000 horsepower for 25 kV AC. They are stored out of use because the overhead lines are unserviceable, owing to theft of copper.[21][22]

Challenges being faced

The industry of electric vehicles faces serious challenges in Pakistan. The major problem is the lack of awareness among common car buyers about the advantages of EVs over the combustion engine vehicles. The shortfall of electricity and lack of charging infrastructure are the major reasons why electric vehicles aren't considered by the public. Charging time required by the electric vehicles and the driving range that they offer are considered to be the negative factors that discourage the local consumers from buying EVs.[23]

Initiatives by Government of Pakistan

The Automotive Development Policy 2016–2021 and the launch of China-Pakistan Economic Corridor (CPEC) have been encouraging foreign investments for the new automobile brands to enter Pakistani market.[1]

In the budget 2018–19, The government had given exemptions of 16 per cent customs duty on charging stations of electric vehicles, reduction of customs duty from 50 per cent to 25 per cent and an exemption of 15 per cent regulatory duty (RD) on electric vehicles. The government had also reduced customs duty on kits of electric vehicles from 50 per cent to 10 per cent.[3]

On 6 November 2019, Pakistan's federal cabinet had approved the first-ever national Electric Vehicles (EV) policy in a bid to tackle effects of climate change and offer affordable transport. In the first phase, the government will focus on converting 30 per cent of the total number of vehicles, mainly cars and rickshaws, into EVs by 2030. According to policy, 100,000 cars and 500,000 bikes and rickshaws will be converted to EVs in next 4 years, and more than 3,000 CNG stations that have been shut due to gas shortage will be converted to EV charging stations. Pakistan is also planning to set up special units of electric car manufacturing in the Special Economic Zones being established under the China-Pakistan Economic Corridor.[24]

Industry associations
  • Pakistani Electric Vehicles manufacturers also established there organisation to deal with different Government departments. Pakistan Electric Vehicles manufacturers Association (PEVMA) its first Founder Chairman is Mr. Muhammad Sabir Shaikh who is a famous auto sector expert in Pakistan for the last three decades. Sabir Shaikh also the Chairman of Association of Pakistan Motorcycle Assemblers APMA.[25]

Charging infrastructure

The charging infrastructure for electric vehicles in Pakistan has not been fully developed yet.

In January 2017, Dewan Motors with BMW inaugurated Pakistan's first public charging station for electric and plug-in hybrid electric vehicles in Emporium Mall, Lahore. Dewan Motors had installed another station for plug-in hybrid and electric vehicles at Dolmen Mall in Karachi in February 2017.[26][27]

BYD has also plans for setting up charging stations in Pakistan which will be done in association with the leading oil company in the country, Total Parco.[28]

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See also

References
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