Market NewsQuick read

Can the humble motorcycle be replaced by electric two-wheelers?

Dawn • • 1 min read

Can the humble motorcycle be replaced by electric two-wheelers?

Dawn reported that electric two-wheelers cost less to run than the Honda CD 70, but the purchase price remains the main obstacle in Pakistan. A conventional CD70 is priced at Rs168,000, whereas a lithium-powered electric bike sells for more than Rs300,000. Faraz Zaidi, chairman of Wasl Mobility Modaraba, estimates that fuel savings could recoup the extra outlay in around 1.5 years.

Adoption remains low, with some 150,000 electric two-wheelers sold last year, a rate the report puts at under 10 per cent of annual motorcycle sales. Industry figures cite around 40 manufacturers, uneven quality and no common standards, and batteries make up roughly 40 to 45 per cent of a bike's cost. Charging is another hurdle, as ChargePK founder Fahad Hassan says at most about 100 DC chargers exist nationwide and many do not accept bikes.

Delivery riders are a key test, as Foodpanda CEO Muntaqa Peracha says only about 150 of roughly 40,000 bikes in its fleet are electric, largely because charging takes around 30 minutes. Supply is also constrained, since assemblers depend on Chinese imports, and Ammar Habib Khan estimates an assembler at 1,000 units monthly per OEM needs roughly Rs200 million of working capital before any sale. The feature suggests lower running costs alone may not be enough to replace petrol motorcycles until a stronger ecosystem is developed.

At a glance

  • A lithium-powered electric bike costs more than Rs300,000, against Rs168,000 for a CD70.
  • Around 150,000 electric bikes and scooties were sold last year, under 10 per cent of annual sales.
  • Only around 150 of Foodpanda's roughly 40,000 bikes are electric, largely due to charging times.
Sectors:Automobile Assembler

Originally reported by Dawn

This page is Investify's own summary. The full report, with all details and context, is on the publisher's site.

Read the full story

Want the full article here?

Log in to read the full article in the Investify reader, in English or Urdu.

Investify summarizes Pakistan Stock Exchange news in its own words and links each story to its original publisher. We always credit the source so you can read the full report and verify the details before making financial decisions.

Built for PSX investors

Business news.Every filing, summarised.

Top stories from Pakistan's business press and key findings from every PSX announcement.

Investify announcement summary with key findings from a PSX filing
Investify app home screen with Pakistan business news and PSX filings