5G Smartphones to Arrive in Pakistan Following Spectrum Auction

Pakistan is preparing to enter the next phase of digital connectivity as 5G mobile smartphones will reach the local market soon. With the 5G spectrum auction scheduled for March 10, the government is aligning policy and industry efforts to ensure that both telecom infrastructure and compatible smartphones are available at the same time.

The Ministry of Industries and Production has finalised the Mobile and Electronic Devices Manufacturing Policy 2026-33. The policy was approved at a meeting chaired by Special Assistant to the Prime Minister Haroon Akhtar Khan. Officials described it as a major step toward strengthening Pakistan’s industrial base, starting with mobile phone manufacturing and gradually expanding to broader electronics production.

5G Smartphones to Arrive in Pakistan Following Spectrum Auction

The upcoming spectrum auction will cover several frequency bands. This will not only prepare the ground for 5G services in major cities but also expand 4G coverage to more towns and rural areas. As network capacity grows, the demand for smartphones will rise sharply. Many users who currently rely on basic feature phones may shift to smartphones to take advantage of faster data speeds and improved services.

Industry representatives have welcomed the timing of the new policy. According to members of the Pakistan Mobile Phone Manufacturers Association, telecom operators will need around five to six months after the auction to upgrade infrastructure and introduce 5G services in key urban centres. During the same period, manufacturers can adjust their production lines to focus more on 5G-compatible devices.

Several companies that previously produced feature phones have already started converting their facilities to manufacture smartphones. This transition reflects changing consumer preferences and the growing importance of mobile internet in daily life, from online education and digital banking to e-commerce and entertainment.

A central feature of the new policy is an 8 per cent export incentive on mobile phones. The government has also reduced customs duties on the import of parts used in local assembly. At the same time, higher duties will apply to completely built units (CBUs) and certain imported accessories such as chargers and hands-free devices. This approach will encourage local production while discouraging reliance on finished imports.

See Also: PTA Planned Separate 5G Auction for Gilgit-Baltistan and AJK

Pakistan currently has 37 licensed mobile phone manufacturers, with an annual production capacity of around 40 million units. In 2025, about 30.2 million phone sets were assembled locally, and nearly 40 per cent of these were feature phones. Since domestic demand can reach up to 40 million units per year, officials believe that export incentives are necessary to help manufacturers grow beyond the local market.

The policy also proposes the creation of a dedicated Mobile and Electronics Devices Cell within the Engineering Development Board (EDB). This cell will oversee implementation, coordinate with industry stakeholders, and address operational challenges.

As the country moves closer to launching 5G, the combined effort of government planning and private sector readiness may shape a more competitive and technologically advanced mobile industry. If executed effectively, the new policy could reduce imports, increase exports, and support long-term industrial growth in Pakistan’s fast-evolving digital economy.