Syed Saif Ul Hassan 
Nov 05, 2025
An undated image of Crown electric bike. — Crown Group
In what appears to be a discouraging development in Pakistan's electric automotive manufacturing, electric bike (e-bike) manufacturers have spoken up against the recent increase in sales tax from 1% to 18%.
During a meeting with the special assistant to the Prime Minister on industries and production, representatives from Pakistan's e-bike makers warned that this significant tax hike could hinder the growth of Pakistan's electric mobility sector.
They argued that the increased costs will make EVs less affordable for consumers, eventually slowing the adoption rates of e-bikes in the country.
EV manufacturers also outlined that these taxes might put the government's goals for environmental sustainability and fuel savings at stake if electric bikes become prohibitively expensive.
To reduce reliance on imported components and create job opportunities in the country, the promotion of local production was advocated.
The special assistant assured industry leaders that the government is committed to supporting local EV manufacturers by addressing their challenges.
He highlighted that it is crucial to enhance local manufacturing capabilities to strengthen Pakistan’s economy and promote cleaner, more affordable transportation options.
Industry stakeholders called on the Engineering Development Board (EDB) to collaborate closely with EV vendors to devise solutions that ensure stable growth in the EV sector.
