Pakistan Mobile Phone Assembly Hits 95% as FBR Confirms Sharp Drop in Imports

Pakistan’s mobile phone taxation landscape has shifted dramatically, with the Federal Board of Revenue (FBR) confirming that just 5% of Android phones are now subject to import duties, while 95% are assembled locally. The update came during a meeting of the Senate Standing Committee on Finance and Revenue, signaling a major transformation in the country’s smartphone supply chain.

The FBR Chairman told senators that an in-depth report on mobile phone import duties is currently under review in the National Assembly. Once cleared, it will be shared with the Senate Committee as directed. Lawmakers expressed interest in reviewing the report to determine whether current duty structures align with the evolving market—especially as local assembly becomes dominant and the government seeks stable revenue streams from the telecom and device ecosystem.

Senators noted that the shift toward local production has helped reduce Pakistan’s reliance on expensive imports but also questioned whether the duty framework still reflects market realities. With the majority of Android handsets now assembled within Pakistan, upcoming decisions on duty rationalization could have direct implications for device pricing, affordability, and revenue collection in 2025.

During the same session, the Committee examined the progress of Pakistan Single Window (PSW), a flagship trade facilitation initiative designed to digitize and integrate government services into a unified platform. Lawmakers praised PSW for streamlining trade documentation, reducing physical paperwork, and lowering processing times for importers and exporters.

PSW has so far integrated more than 23 government services, allowing traders to file customs, regulatory approvals, and clearance documents through a single digital interface. Senators said the platform’s impact on customs efficiency and transparency has been “notable” and recommended that PSW present a detailed progress briefing in the next meeting.

Several lawmakers highlighted that as the government reassesses duties on imported mobile phones and expands local manufacturing incentives, PSW’s digital integration will be critical to ensuring accurate data, faster clearance, and better compliance. They added that a fully functional PSW could minimize misdeclaration risks in mobile phone imports, an issue that has historically cost the exchequer billions.

The Committee concluded the meeting by requesting comprehensive updates on two areas in its next sitting: the mobile phone duty report currently being finalized by the National Assembly and a detailed presentation from PSW on the next stages of platform expansion.

With both mobile phone taxation reforms and PSW’s digital rollout at critical junctures, the Committee’s upcoming review is expected to influence device affordability, customs transparency, and Pakistan’s broader trade digitization agenda heading into 2025.