KARACHI: Pakistan’s electric vehicle (EV) ecosystem is steadily gaining momentum under the Automotive Industry Development and Export Policy 2021-2026 and to date, 57 manufacturers have been granted licences for producing electric two- and three-wheelers, supported by fiscal incentives, tax exemptions, and reduced charging tariffs aligned with the government’s ‘Clean Green Pakistan’ and ‘Make in Pakistan’ initiatives.

According to the Economic Survey FY25, 13 new manufacturing certificates were issued, and production of EV two- and three-wheelers reached 32,923 units, taking the total production since FY22 to 76,979 units.

Barring a 35pc drop in tractor production to 23,581 from 36,425 units, the growth of the auto industry remained healthy, ranging between 29pc and 88pc, the survey revealed.

Despite gaining momentum, the auto sector’s full supply and demand potential could not be realised due to regulatory challenges.

Published in Dawn, June 10th, 2025