Local news sources indicate that a consortium of Chinese businesses has pledged $340 million to grow Pakistan’s electric vehicle (EV) industry.
The investment will enhance manufacturing capabilities and charging infrastructure. The announcement was made during a press conference celebrating the launch of a partnership between Malik Group and China’s ADEN Group.
Sindh province’s Energy Minister, Syed Nasir Hussain Shah, has stated that the Sindh government will acquire more than 20% of the vehicles manufactured at the Karachi facility if the company manufactures electric vehicles in Pakistan.
Malik Khuda Bakhsh, chairman of Malik Group, has revealed plans to import 30 charging plants from China within the next ten days. The project shows significant progress. Bakhsh emphasized that Pakistan aims to finish the essential infrastructure tasks by the end of this year.
Pakistan’s Electric Vehicle Sector Set for Major Growth with 72,000 Annual Output Target
With its global headquarters in Singapore, ADEN Group is expected to allocate $90 million to establish 3,000 charging stations and $240 million to an electric vehicle production facility.
“EV production will commence in December, with an annual output target of 72,000 units,” stated Yasser Bhambani, CEO of ADEN Group. “We also intend to export vehicles to Bangladesh, Sri Lanka, and the Middle East.”
Pakistan has recently experienced positive development in foreign direct investment (FDI). The State Bank of Pakistan’s August 2024 data indicated that FDI had increased monthly compared to 2023.
In July 2024, it experienced a 64% increase in net FDI, totalling $136.3 million, compared to July 2023.
However, foreign direct investment (FDI) inflows remain considerably lower than in the early 2000s. An underperforming economy and ongoing political instability have hindered the nation’s ability to attract foreign investment.
Prime Minister Shehbaz Sharif announced earlier this month that Pakistan was the first country to adopt the Digital Foreign Direct Investment Initiative (DFDII) and the Digital Cooperation Organization (DCO) of the World Economic Forum.
Salman Ahmad is known for his significant contributions to esteemed publications like the Times of India and the Express Tribune. Salman has carved a niche as a freelance journalist, combining thorough research with engaging reporting.
