Pakistan asks Samsung to export locally made smartphones to emerging markets
KARACHI: Pakistan on Wednesday urged Samsung to export smartphones manufactured locally to emerging markets, as the government seeks to transform the country from an assembly destination into a regional manufacturing and export hub for technology products.
The proposal reflects Islamabad’s broader push to boost exports, increase domestic value addition and attract foreign investment by encouraging multinational companies to integrate Pakistan’s growing manufacturing base into global supply chains rather than producing solely for local consumption.
Commerce Minister Jam Kamal Khan made the proposal during a meeting with a delegation led by Samsung Pakistan’s country head, according to a statement issued by the Ministry of Commerce.
“Jam Kamal Khan encouraged Samsung to look beyond Pakistan’s domestic market and export Pakistan-manufactured smartphones to emerging markets, particularly to Africa and other regions,” the statement said.
“He said Pakistan should leverage its growing manufacturing base to become part of global supply chains rather than serving only local demand.”
The minister also invited Samsung to help develop Pakistan into a regional hub for mobile phone refurbishment, saying a regulated refurbishment ecosystem could create jobs, strengthen local industry and open new export opportunities for professionally refurbished devices.
During the meeting, the Samsung delegation outlined the company’s investment in Pakistan’s mobile phone assembly sector but said changes in the taxation structure and a narrowing tariff differential between semi knocked down (SKD) kits and completely built units (CBU) had reduced the competitiveness of locally manufactured mobile phones.
“The delegation also expressed concerns over the commercial import of used mobile phones, stating that it undermines domestic manufacturing despite Pakistan having sufficient production capacity,” the ministry said.
“It proposed replacing commercial imports of used phones with certified refurbishment phones under which original equipment manufacturers would establish authorized refurbishment facilities in Pakistan, enabling consumers to purchase quality-assured devices backed by warranties.”
Responding to the proposals, Jam Kamal said Pakistan’s mobile phone industry had made significant progress in recent years and future policy should prioritize genuine manufacturing, higher local value addition, technology transfer and export growth. He added that incentives for the industry should be linked to investment, localization, exports and value addition.
The minister also directed the industry to submit detailed proposals on certified refurbishment, export potential, investment commitments and international best practices to support the government’s revised Mobile Device Manufacturing Policy.
