China's vivo sets up smartphone production unit in Pakistan

Chinese smartphone manufacturer vivo has set up its first production unit in Pakistan, said Advisor to Prime Minister on Trade and Investment Abdul Razak Dawood.

Dawood, in a series of tweets, congratulated vivo, hailing the development as one that will not only create employment opportunities but also make smartphones more accessible to people across the country.

“I congratulate Vivo Pakistan Mobile on setting up a production unit in Pakistan, which is its first in Pakistan. This is a vindication of the Mobile Phone Manufacturing Policy formulated under the "Make in Pakistan" philosophy’’ he said.

The next step is export of mobile phones manufactured in Pakistan, which will begin in the coming month, he added.

Last year, vivo had announced that it would establish a manufacturing facility in Pakistan.

Just this week, the Pakistan Telecommunication Authority (PTA) issued Mobile Device Manufacturing (MDM) authorisation to Lucky Motor Corporation Limited to manufacture Samsung-branded phones in the country.

“The company had applied for authorisation to set up a mobile device manufacturing plant in Karachi, Pakistan where it will manufacture Samsung brand mobile devices,” said the PTA.

The authority said this is a landmark achievement and “will further revolutionise the vibrant mobile manufacturing ecosystem in the country by ensuring presence of major local and foreign players in the market".

PTA issues MDM approval to Lucky Motor Corp for Samsung phones

Last month, it was reported that Xiaomi, the second biggest smartphone company in the world, is also planning to set up its assembly unit in Pakistan in the next 3-4 months.

Another Chinese smartphone manufacturer, Realme, announced setting up its smartphone manufacturing plant in Lahore.

Pakistan's young population has become an attractive market for mobile phone manufacturers. However, the push to set up plants in the country comes in tandem with high import and regulatory duties as authorities look to encourage a 'Make in Pakistan' approach.

The government has already stated its intention to promote manufacturing/assembly with the auto sector, smartphone industries being in the spotlight in recent weeks.