Chinese electric vehicle manufacturer BYD is set to establish a factory in Karachi in collaboration with a local partner, aiming to tap into Pakistan’s expanding EV market. The company plans to unveil three models, including an SUV and a sedan, at its brand launch event. According to a source who requested anonymity due to media restrictions, BYD intends to introduce further models, including battery-electric and plug-in hybrid vehicles, in the future.
A BYD spokesperson confirmed the company's intention to enter the market with both battery-electric and plug-in hybrid vehicles. However, they did not provide details regarding plans to invest in a factory in Pakistan or other specifics. As the world's fifth-largest country by population, Pakistan has recently seen entries from Chinese companies such as Great Wall Motor, SAIC Motor, and Chongqing Changan Automobile, competing against local units of Japanese firms like Toyota Motor and Honda Motor. Despite this, EV sales in Pakistan remain a small fraction of overall auto sales.
BYD has teamed up with one of Pakistan’s largest business groups, Mega Conglomerate, in a partnership deal that goes beyond the usual dealership model they have in most markets, the source said. The Chinese company will be working in a joint venture with Mega Motors, a subsidiary of Hub Power, Pakistan’s largest independent electricity producer.
The new factory will be located near Port Qasim in Karachi, an area already home to assembly plants for other automakers such as Toyota, Suzuki Motor, and Kia’s local units. The factory is expected to be completed in the first half of 2026, with specific details still being finalized, according to the source. BYD plans to open showrooms in Karachi, Lahore, and Islamabad, with sales set to begin in the fourth quarter of this year.
China’s top-selling car brand, which sold three million units in 2023, is aggressively expanding its presence, particularly in Southeast Asia, Europe, and Latin America, to leverage its reputation as a leading EV and hybrid manufacturer. The Shenzhen-based company, active in over 80 countries, has secured agreements with Hungary, Turkey, and Brazil to begin EV production. Last month, it also inaugurated its first factory outside China in Thailand.