Local automotive industry: Haroon calls for a fundamental transformation

Business Recorder reported that Advisor to the Prime Minister for Industries and Production Haroon Akhtar Khan wants a basic overhaul of Pakistan's car sector. Speaking in Lahore at the unveiling of a new Changan model with local partners, he said assembly alone is no longer enough. The country, he argued, must develop engineering, technology and innovation skills to compete in overseas markets.

He laid out a progression from assembly to manufacturing, then engineering and innovation, aiming for Pakistani-designed products that can succeed abroad. Modern cars, he noted, blend software, electronics, artificial intelligence and connectivity, which he presented as both a hurdle and a significant chance for industry. He also said localisation should serve global competitiveness rather than just lifting the share of local parts.

On electric vehicles, he argued that Pakistan should build capacity in batteries, motors, charging, power electronics and software instead of relying mainly on imports. He welcomed growing Chinese investment, but stressed that technology transfer and local engineers working with global firms matter as much as capital. He added that protection ought to act as a stepping stone, while the Auto and Auto Parts Manufacturing Policy 2026-31 aims at an export-oriented, more competitive sector.