ISLAMABAD – Pakistan is moving closer to establishing its first lithium-ion battery manufacturing facility as the National Lithium-Ion Battery Manufacturing Policy 2026–31 enters the final stages of approval, officials said on Saturday.
The proposed plant, to be set up in Karachi, is expected to mark a significant step towards developing a domestic battery industry to support electric mobility and energy storage systems.
The initiative is being coordinated through the Engineering Development Board (EDB) in consultation with industry stakeholders, including the Pakistan Solar Association (PSA).
Officials said that once approved by the National Tariff Board, the policy would be submitted to the prime minister and later placed before the federal cabinet for final approval. It is expected to be incorporated into the Budget 2026–27 after clearance from the finance ministry.
The policy aims to reduce reliance on imported battery units while building local capacity for energy storage solutions, particularly for electric vehicles and solar power systems.
Currently, Pakistan depends heavily on imported lithium-ion batteries used in electric bikes, scooters, electric vehicles and backup power systems, including UPS installations in sensitive facilities such as banks.
A Karachi-based engineering firm, EV Technologies, has submitted its production plan to the EDB and is preparing to establish a manufacturing plant in the Korangi Industrial Area. The facility is expected to become operational within two to three months, in line with the anticipated policy approval timeline.
Company officials said the plant would initially have a production capacity of four megawatts, enabling it to supply batteries for around 2,000 electric bikes and scooters per month.
They added that growing adoption of solar energy and electric mobility is driving demand for locally produced lithium-ion storage solutions in both household and commercial sectors.
EDB Chief Executive Hammad Mansoor said during a stakeholder meeting that the policy had been forwarded to the Ministry of Industries and Production and would soon be reviewed by the National Tariff Board. The proposal also includes a reduction in import duties on components required for assembling and manufacturing lithium-ion batteries.
