Chinese enterprise ADM Group has committed $350 million to Pakistan’s expanding electric vehicle (EV) sector, marking a significant investment in the country’s transition to greener transportation, Pakistani state media reported on December 21.
A key component of this initiative is the establishment of over 3,000 EV charging stations across Pakistan. According to the Radio Pakistan broadcaster, the allocation includes 1,000 stations in Sindh, 1,500 in Punjab, and 750 in Khyber Pakhtunkhwa and Balochistan provinces.
“The ADM Group will allocate $250 million for the establishment of an electric vehicle manufacturing plant in Pakistan,” the report detailed, with an additional $90 million dedicated to developing the necessary charging infrastructure.
The upcoming electric vehicles, capable of covering 300 kilometers on a single charge, are projected to reduce carbon emissions and decrease Pakistan’s reliance on traditional fuel sources. This aligns with the government’s goal to convert 30% of all vehicles to electric power by 2030.
Pakistan’s Privatization Minister Abdul Aleem Khan underscored the importance of this shift during the UN COP29 summit in Baku.
“Pakistan aims to convert 30 percent of its vehicles to electric by 2030,” Khan stated, emphasizing the government’s active efforts to promote EV adoption, including the installation of charging stations.
The demand for electrified transport is evident as hybrid electric vehicle sales have more than doubled in the past year.
BYD Pakistan, a partnership between China’s BYD and Mega Motors, predicts that up to 50% of vehicles sold in Pakistan by 2030 will be electrified, aligning with global trends. In August, Warren Buffett-backed BYD also entered Pakistan’s market, signaling its confidence in the nation’s potential.
Under Pakistan’s New Energy Vehicle (NEV) policy, announced last month, the government has introduced subsidies of Rs50,000 for electric motorcycles and Rs200,000 for three-wheelers, allocating Rs4 billion for this purpose.
These subsidies will be auctioned, with two companies already granted licenses and 31 applications under review. Additional measures include free electric bikes for top-performing students, reduced duties on EV components, and the establishment of a New Energy Fund and Center to bolster the initiative.