Manufacturing of EVs: SMEDA plans to promote sub-contracting in SME sector

LAHORE: The Small and Medium Enterprises Development Authority (SMEDA) is taking measures to promote subcontracting in SME sector for gearing up manufacturing of Electric Vehicles (EVs) in Pakistan.

The initiative has been undertaken under SMEDA’s Vendor Development Program and is in line with the Government of Pakistan’s new Electric Vehicle Policy 2025-30.

Socrat Aman Rana, Chief Executive Officer of SMEDA, assured full support to e-vehicle manufacturers in developing a robust subcontracting network within the MSME sector.

He made this assurance during a meeting with representatives of China’s BAIC Group, actively engaged in introducing and localizing EV technology in Pakistan. Senior officials of SMEDA also attended the meeting.

Speaking on the occasion, Rana stated that Prime Minister Shehbaz Sharif had revitalized SMEDA to accelerate the growth of Micro, Small and Medium Enterprises across the country. In line with the Prime Minister’s vision, SMEDA is prioritizing subcontracting promotion, particularly in the automobile and textile sectors, to enhance growth of MSMEs, he added.

He emphasized that SMEDA will extend comprehensive support to e-vehicle manufacturers in building a strong vendor network through MSMEs, while relevant trade bodies such as the Pakistan Association of Automotive Parts & Accessories Manufacturers (PAAPAM) will also be engaged in the process.

The initiative is expected to open new avenues for technology transfer, local capacity building and sustainable industrial development within Pakistan’s growing electric vehicle ecosystem.

It is notable that the BAIC group of China plans to set up an E-Vehicle manufacturing unit in Faisalabad.

Copyright Business Recorder, 2025