ISLAMABAD — Pakistan’s local mobile phone manufacturing sector recorded a decline in production during December 2025, according to data released by the Pakistan Telecommunication Authority, signalling a temporary slowdown after months of relatively stable output.
Industry figures showed that fewer handsets were assembled locally during the month compared to previous periods, reflecting softer demand and operational pressures faced by manufacturers. The downturn comes amid ongoing economic uncertainty, rising input costs, and subdued consumer purchasing power.
Domestic Assembly Faces Headwinds
Officials familiar with the data said local assemblers continued operations but at a reduced pace, as market conditions affected both production planning and inventory movement. While smartphones remained a significant portion of output, feature phone assembly also saw a noticeable dip.
Industry representatives pointed to fluctuating exchange rates, higher costs of imported components, and cautious consumer spending as key factors behind the decline.
Yearly Performance Still Strong
Despite the December slowdown, authorities noted that overall local manufacturing volumes for 2025 remained substantial, with millions of devices assembled domestically over the course of the year. Pakistan’s mobile assembly programme has significantly reduced reliance on imported finished phones and supported job creation in recent years.
Officials said short-term fluctuations were expected and did not undermine the broader policy objective of encouraging domestic manufacturing.
Outlook for 2026
Analysts expect production to stabilise in the coming months as market demand adjusts and manufacturers recalibrate operations. Continued government support, regulatory clarity, and consumer recovery are seen as critical to sustaining growth in the sector.
The PTA reaffirmed its commitment to promoting local manufacturing and strengthening Pakistan’s digital and telecom ecosystem through supportive policies.
This story has been reported by PakTribune. All rights reserved.