Chery and Nishat to start local EV production in Pakistan

ISLAMABAD: Pakistan’s business tycoon Mian Mohammad Mansha is making a major move into the local electric vehicle (EV) market. His conglomerate, the Nishat Group, is partnering with China’s Chery Automobile Co. to set up a local factory that will assemble electric and hybrid cars, marking a major push towards clean mobility in the country.

NextGen Auto Pvt., a subsidiary of Nishat, plans to unveil five new vehicles under Chery’s Omoda and Jaecoo brands. According to the company’s CFO, Muhammad Aqib Zulfiqar, production is expected to begin by October, with a total investment of around $100 million to get the operation off the ground.

“This wasn’t a hard decision,” Zulfiqar told Bloomberg. “We visited several Chinese automakers, but Chery stood out, China is clearly ahead of the curve in EV manufacturing, both in terms of technology and cost efficiency.”

Nishat’s not new to the game

This isn’t Nishat’s first foray into the auto industry. The group began selling Hyundai vehicles in 2017 and now boasts one of the widest vehicle line-ups in Pakistan. But this latest venture reflects a more aggressive bet on electric mobility, aligning with Pakistan’s national goal of making EVs account for 30 percent of total vehicle sales by 2030.

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Zulfiqar said that while government incentives exist, they need to move faster, especially in approving more licences for charging infrastructure. “The new generation of cars is here, and policies need to catch up,” he said. “Leaving the space unregulated isn’t the answer, we need structured competition.”

Chery did not immediately respond to a request for comment.

BYD to assemble EVs in Pakistan

Meanwhile, China’s biggest EV player, BYD, is also gearing up for Pakistan. Just last week, BYD announced it would begin local assembly of its first car by July or August 2026. The project, a joint venture with Mega Motor Company is already under construction near Karachi.

Initially, the BYD plant will operate two shifts and aim to produce 25,000 vehicles a year. While the key components will be imported, several non-electric parts will be sourced locally to support the domestic supply chain.

Chinese brands have been leading the EV push in Pakistan, with several companies entering the market over the past year. And with names like Chery and BYD now setting up local assembly, the country’s electric future may be closer than expected.

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