As the South Asian nation strives to mitigate the impacts of climate change through the transition to electric vehicles, the Ministry of Industries and Production has issued licenses to 31 businesses for the manufacturing of electric vehicles.
According to representatives from the Engineering Development Board within the ministry, as many as six enterprises are currently engaged in assembling electric two-wheelers within the country.
To promote local investment in electric car manufacturing, the federal government endorsed the “Electric Vehicle Policy 2020-25” in 2019. This policy offers incentives and tax exemptions. Pakistan aims to achieve a 50% increase in new electric motorcycle sales and a 90% increase in new electric three-wheeler sales by 2030 and 2040, respectively.
Officials believe that the incentives outlined in the electric car policy will yield positive outcomes, not only reducing greenhouse gas emissions but also generating employment opportunities.
Zyp Technologies, an emerging player in the electric mobility market, announced earlier this year that it secured a $1.2 million seed capital investment led by Indus Valley Capital. The urgency to electrify transportation in Pakistan has never been greater, given the challenges of climate change and soaring fuel costs. With Zyp’s solutions, motorcycle fleet owners can potentially reduce fuel expenses by up to 70% while eliminating air pollution emissions, thus transforming their businesses into environmentally friendly and successful ventures.