Overview
- Government officials agreed to extend the existing auto policy for one year after negotiations with the IMF and the Tariff Policy Board failed to produce a new framework on July 14, 2026.
- A ministerial deadlock over who sets tariffs and duties — the Tariff Policy Board versus the proposed Automobile & Auto Parts Manufacturing Policy — has forced a panel to seek the prime minister’s guidance.
- Ministries of Science and Technology and Industries disagree on which body should set vehicle safety standards for four-wheelers, and a parliamentary subcommittee criticised the lack of coordination.
- Draft rules for EV charging stations prepared in 2024 remain blocked by coordination problems between the Engineering Development Board and NEECA, and no public charging stations have been built yet.
- Local battery production supplies roughly 5 percent of demand, informal residential battery assembly raises safety concerns, and industry groups say persistent policy uncertainty is deterring investment in Pakistan’s bid to become a regional EV hub.