In a major boost to the country’s industrial sector, the government of Pakistan has finalized the Mobile and Electronics Manufacturing Framework 2026–33, which includes specific incentives to bring Apple Inc. into the local market.
According to Hamad Ali Mansoor, CEO of the Engineering Development Board (EDB), Apple is expected to begin with the refurbishment of iPhones for re-export before transitioning to full-scale local manufacturing.
Apple is preparing to begin iPhone manufacturing in Pakistan under a new framework. Officials say the initiative will create jobs, boost exports, and develop the country’s technology ecosystem.
Analysts believe local production could position Pakistan as a regional hub pic.twitter.com/tzSiVBHu9L
— Ch Haseeb Sarwar (@ChHaseebSarwar) February 20, 2026
The “Apple Model” for Pakistan
Mirroring its entry strategy in India, Indonesia, and Malaysia, Apple will follow a phased approach designed to train local manpower and test the supply chain.
- Phase 1: Refurbishment: Initial operations will focus on repairing and refurbishing 2 to 3-year-old iPhones.
- Revenue Goal: The government projects $100 million in re-export revenue from refurbished units in the first year alone.
- Phase 2: Manufacturing: Once the local technical ecosystem is established, operations will scale up to full assembly of newer models.
Key Incentives & Policy Framework
To secure Apple’s commitment, the government has incorporated three critical conditions into the new framework, which is currently awaiting final approval from Prime Minister Shehbaz Sharif:
| Feature | Details |
| Performance Incentive | Increased from the standard 6% to 8% for global giants. |
| Land Provision | Government-allocated land at discounted/concessional rates. |
| Localisation Targets | Manufacturers pledge to increase local parts from 12% to 35% in Year 1, and 50% later. |
| Technology Fund | A 6% export levy on high-end phones (>Rs. 100,000) to raise Rs. 62 billion for local tech R&D. |
Apple is planning to begin iPhone manufacturing in Pakistan under a new government-backed Mobile and Electronics Manufacturing Framework, according to a report.#Jaanlotv pic.twitter.com/eoWw6lH7Zv
— Jaanlo (@Jaanlotv) February 20, 2026
Broader Electronics & EV Shift
The EDB CEO also highlighted a wider push to transform Pakistan into a regional electronics hub:
- Chinese Investment: $557 million in MoUs already signed with Chinese firms for mobile and electronics manufacturing.
- Expansion: The policy aims to attract manufacturers of laptops, tablets, smartwatches, and airbuds.
- Cheap Electric Vehicles (EVs): A Lahore-based plant is reportedly being set up to manufacture electric four-wheelers (similar to the Suzuki Alto) priced between Rs. 700,000 and Rs. 800,000, supported by government subsidies.
Current Economic Impact
This news comes at a critical time as the Pakistan Stock Exchange (PSX) suffered a historic crash of 6,683 points yesterday due to global oil prices and regional tensions. The government hopes this multi-billion dollar tech investment will provide much-needed stabilization to the foreign exchange reserves and create high-tech jobs for the youth.
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