Pakistan invites Samsung to set up regional mobile manufacturing and export hub

Pakistan has extended an invitation to Samsung to transform the country into a regional center for mobile phone manufacturing, refurbishment, and export. The proposal came during a meeting between Pakistan's Commerce Minister Jam Kamal Khan and a Samsung delegation led by its Country Head.

The minister encouraged Samsung to look beyond Pakistan's domestic market and target emerging markets, particularly in Africa, with Pakistan-manufactured smartphones. He emphasized leveraging the nation's growing manufacturing capabilities to integrate into global supply chains.

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Pakistan should leverage its growing manufacturing base to become part of global supply chains rather than serving only local demand.

Samsung's proposal to set up certified mobile phone refurbishment facilities in Pakistan was also welcomed. The minister highlighted that a regulated refurbishment ecosystem would strengthen the local industry, create export opportunities for professionally refurbished devices, generate employment, and foster technical expertise.

The Samsung delegation shared insights on the progress of Pakistan's mobile phone manufacturing sector and their investments in local assembly. However, they also raised concerns about the taxation structure and the narrowing tariff differential between Semi Knocked Down and Completely Built Units, which they stated has reduced the competitiveness of locally manufactured phones. They requested the government maintain a reasonable tariff differential to support continued investment and local production. The delegation also expressed worries that the commercial import of used mobile phones undermines domestic manufacturing capabilities.

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A regulated refurbishment ecosystem would not only strengthen local industry but could also create export opportunities for professionally refurbished devices while generating employment and promoting technical expertise.