EV boom reshaping local market

According to The Express Tribune, China's car industry has posted a record this year, with vehicle exports by August already above the whole of last year's total. The article argues Pakistan is among the main winners as Chinese manufacturers look abroad to counter tariffs in the West and surplus capacity at home. It adds that brands including Sazgar Haval, Changan, Chery, BAIC and Jetour have gained ground in SUVs and crossovers.

The article argues the shift is bigger than China replacing Japan, since Chinese, Japanese and Korean brands now vie over pricing, hybrid models, software and credit offers. It links this to Islamabad's New Energy Vehicle Policy 2025-2030, which aims for 30% of sales to be new energy vehicles by 2030 and uses a carbon levy on combustion vehicles to fund EV subsidies. It also names BYD, sold through Hubco's subsidiary Mega Motor Company, as a driver of EV demand.

The writer warns that Pakistan's forex gains depend on how much of the EV value chain is localised, because fully imported kits still raise component imports. Three tests are set out: moving from CKD assembly to local battery packs, wiring harnesses and castings, building charging networks, and greater rivalry as Japanese assemblers introduce their own hybrids. The article says success should be gauged through forex savings and local value creation, plus supplier growth and exports, rather than EV sales volume.