Samsung Strikes Deal To Expand Mobile Phones Manufacturing In Pakistan

Samsung Electronics has reportedly entered an agreement with Lucky Motors Corporation in Pakistan to expand its mobile device manufacturing capabilities and the purpose of manufacturing phones locally.

According to a notice from Lucky Motor Corporation, the company will manufacture Samsung mobile phones at its automobile plant at Port Qasim. The factory will, of course, be repurposed for the task.

Samsung's decision to expands its phone manufacturing in Pakistan has a lot to do with the government’s Mobile Device Manufacturing Policy (MDMP) launched in 2020.

The Ministry of Industries and Production created the MDMP program to strengthen the local economy and facilitate growth in manufacturing.

The program aims for 80% of all mobile phones sold in Pakistan to be manufactured locally by 2022. That won’t mean 80% of all Samsung phones sold in the country will be manufactured by Lucky Motor Corporation, but a large chunk will.

This is expected to enable Samsung to have a stronger local supply chain and lower production costs which will lead to more affordable launch prices for mobile phones in Pakistan.

Samsung has joined other Chinese rival companies such as Vivo, Oppo, and Realme to build phones locally in Pakistan.