Islamabad, Feb 7: Pakistan’s mobile phone manufacturing industry experienced a remarkable surge in 2024, with locally produced and assembled units reaching 2.95 million in December alone. This marks a 28% increase compared to the previous month, according to the latest data from the Pakistan Telecommunication Authority (PTA).
The fourth quarter of 2024 (4Q2024) witnessed an even more significant rise, with 8.79 million mobile phones manufactured or assembled locally, reflecting a 67% quarter-on-quarter (QoQ) increase from the 5.25 million units recorded in the third quarter (3Q2024).
Annual Growth Driven by Policy and Market Dynamics
For the entire year, Pakistan’s total local mobile phone production stood at 31.38 million units, representing a substantial 47% growth compared to 2023. This remarkable expansion is primarily attributed to government policies restricting mobile phone imports, encouraging local assembly, and imposing higher taxes on imported devices. Additionally, factors such as economic recovery and a growing population have contributed to the increasing demand for locally manufactured mobile phones.
Smartphone Production Grows Amid Rising Demand
Out of the 31.38 million units assembled in 2024, 59% (18.64 million units) were smartphones, while the remaining 41% (12.74 million units) consisted of 2G feature phones. This shift highlights the growing preference for smartphones in the country, fueled by expanding digital connectivity and increasing affordability of locally produced devices.
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Local Manufacturing Meets 95% of Demand
Pakistan has significantly reduced its reliance on imported mobile phones, fulfilling 95% of its total demand through local manufacturing and assembly in 2024. This marks a sharp rise compared to the five-year (2019-2023) average of 67% and the eight-year (2016-2023) average of 47%. This transition is a testament to the success of policies promoting local production and the industry’s rapid evolution.
Future Outlook
With the government’s continued support for domestic manufacturing and increasing investments in the mobile phone industry, Pakistan is poised to further strengthen its position as a key player in the global mobile market. The trend suggests that local production will continue to grow, reducing dependency on imports and boosting the economy through job creation and technology transfer.
The impressive growth of the local mobile phone industry not only reflects Pakistan’s commitment to self-reliance but also paves the way for further advancements in the country’s digital infrastructure.