Islamabad (GNP): Federal Minister for Commerce Jam Kamal Khan has invited Samsung to help transform Pakistan into a regional hub for mobile phone manufacturing, refurbishment, and export, assuring the company of government support for boosting exports, value addition, and industrial investment.
The invitation came during a meeting between the minister and a Samsung Pakistan delegation, led by the company’s country head, at the Ministry of Commerce, with senior ministry officials also in attendance.
Expanding Beyond the Domestic Market
Kamal Khan encouraged Samsung to look beyond Pakistan’s local market and consider exporting Pakistan-manufactured smartphones to emerging markets, particularly in Africa, arguing that the country’s growing manufacturing capacity positions it to become part of global supply chains rather than serving domestic demand alone.
He also welcomed Samsung’s proposal to establish certified mobile phone refurbishment facilities in Pakistan, suggesting that a properly regulated refurbishment sector could strengthen local industry, create export opportunities for professionally refurbished devices, and generate employment while building technical expertise.
Industry Concerns Raised by Samsung
The Samsung delegation updated the minister on the progress of the company’s local manufacturing operations, while raising concerns about recent changes to Pakistan’s tax structure — specifically, the narrowing gap between tariffs on Semi Knocked Down (SKD) and Completely Built Unit (CBU) phone imports, which they said has reduced the competitiveness of locally manufactured devices. They urged the government to maintain a meaningful tariff differential to encourage continued investment in local manufacturing.
The delegation also flagged concerns over the commercial import of used mobile phones, arguing that this practice undermines domestic manufacturing despite Pakistan having sufficient production capacity. They proposed shifting away from imported used phones in favor of certified refurbishment programs, under which original manufacturers would set up authorized refurbishment facilities in Pakistan, offering consumers quality-assured, warranty-backed devices.
Minister’s Response
Kamal Khan acknowledged the progress made by Pakistan’s mobile phone industry in recent years, stating that future policy should prioritize genuine manufacturing, greater local value addition, technology transfer, and export growth. He noted that the country’s manufacturing capacity has matured to a point where industrial policy should focus on encouraging investment rather than reliance on imported used products.
He said the industry’s concerns about taxation would be reviewed within the broader fiscal framework, though he stressed that any incentives offered should be tied to measurable outcomes such as investment, local value addition, and export performance.
The minister directed industry representatives to submit detailed proposals covering certified refurbishment programs, export potential, investment commitments, and international best practices to help shape the government’s revised Mobile Device Manufacturing Policy. He emphasized that any decision on commercial imports of used phones should be evidence-based, implemented gradually, and supported by the availability of certified local refurbishment alternatives to protect consumer interests.
Reaffirming the government’s commitment to industrial growth, Kamal Khan said Pakistan offers substantial opportunities for global technology companies and expressed confidence that stronger collaboration with manufacturers like Samsung would help drive investment, job creation, and export growth.
Sohail Majeed is a Special Correspondent at The Diplomatic Insight. He has twelve plus years of experience in journalism & reporting. He covers International Affairs, Diplomacy, UN, Sports, Climate Change, Economy, Technology, and Health.
