Ban on import of used mobile sets: ‘Mobile and Electronic Devices Manufacturing Policy 2026’ unveiled
ISLAMABAD: While unveiling its Mobile and Electronic Devices Manufacturing Policy 2026-33, the Ministry of Industries and Production on Monday announced that the government will ban the import of used mobile sets under the new policy.
The new Mobile and Electronic Devices Manufacturing Policy 2026-33 has been prepared by the Engineering Development Board (EDB) in collaboration with local mobile phone manufacturers, which targets global brands, export-led growth through local production in line with other countries such as India, Vietnam, and Bangladesh.
The policy was presented here during a high-level meeting chaired by the Special Assistant to the Prime Minister (SAPM) on Industries and Production, Haroon Akhtar Khan, to review progress and align stakeholders on the policy’s objectives and implementation framework.
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The meeting was attended by Secretary Industries and Production Saif Anjum, CEO Engineering Development Board (EDB) Hammad Mansoor, and representatives of the Pakistan Mobile Phone Manufacturers Association (PMPMA).
A detailed presentation on the policy was given, including an assessment of the comparative benefits of local assembly versus complete imports. Addressing the meeting, Haroon Akhtar Khan stated that the primary objective of the policy is to create employment opportunities at the local level and to strengthen Pakistan’s industrial base.
As per the policy, (i) mandatory export targets are counterproductive (the auto sector is an example), (ii) quality certification is mandatorily required for exports, but it should not be applied by force, (iii) Local labs should be set up by the government, (iv) Penalties on performance targets and EDB must define the minimum number of parts in a SKD kit for smartphones,40 parts per SKD kit, and for feature phones,15 parts per SKD kit, (v) Valuation rulings need to be institutionalised with participation of EDB and PMPMA together with the Customs valuation directorate, (vi) To avoid under-invoicing, CBU, as well as locally manufactured mobile phones recommended to be placed in 3rd schedule of sales tax, (vii) Export targets should be directly linked with Tax Increment Financing (TIF) implementation,(viii) Tariff gap between CBU and SKD should be a minimum of 30 percent, (ix) Tax Increment Financing Levy may be applicable on CBU as well as SKD imports, (x) E-Waste management is a complex subject.
He emphasised that phased localisation will be adopted to encourage foreign investment in high-tech manufacturing, ensuring sustainable industrial growth. Under the policy, special emphasis will be placed on the local manufacturing of key components, including motherboards, PCBs, electronic parts, and display components.
Haroon Akhtar Khan reiterated that Prime Minister Shehbaz Sharif’s vision is to transform Pakistan into an export base for global brands, enabling the country to integrate into global value chains. Representatives of mobile manufacturers informed the meeting that leading global brands such as Samsung, Xiaomi, Oppo, Vivo, Nokia, and others are potential candidates for investment in Pakistan under the new policy framework.
It was highlighted that growth in the mobile sector will have a positive spillover effect on other electronic industries, fostering broader industrial development. The Special Assistant further stated that the new policy will introduce an export-oriented, globally competitive industrial framework, aligned with international standards.
He noted that strict compliance mechanisms will be enforced, and incentives will be withdrawn and penalties imposed in cases of violations related to localisation targets, reporting requirements, or operational obligations. In cases of non-compliance, suspension of import licenses and financial penalties will also be applicable, as decided by the committee.
Mobile manufacturers stressed the importance of quality certification for exports and recommended the establishment of local testing and certification laboratories at the government level to facilitate compliance with international standards.
Haroon Akhtar Khan directed that both the public and private sectors must work closely together to ensure the successful implementation of the Mobile and Electronics Device Manufacturing Policy and to achieve Pakistan’s goals of export-led growth and industrial transformation.
Copyright Business Recorder, 2026