According to sources, MNCs are shutting down their mobile phone assembly units in Pakistan due to lack of dollars. Three major phone manufacturers have reportedly shut down their assembly units, raising concerns among mobile phone dealers in Lahore.
President of Lahore Traders Rights Sardar Azhar Sultan expressed serious concern during the interview:
Due to the lack of dollars, mobile phone companies are having trouble sending capital to their headquarters abroad. The business community is also facing difficulties in importing mobile phone accessories. Letters of credit (LC) are not opened. The goods do not arrive. How will businesses work?
The report does not mention exactly which companies are stopping local production in Pakistan. Major phone manufacturers in the country include Samsung, Xiaomi, Vivo, Infinix and several others, but there is no official word on which of these brands have stopped production.
How does it affect us?
This means only bad news for Pakistani customers. Local assembly of smartphones was the main reason why cell phone prices were affordable for some models a few years ago. But with the recent closure of assembly plants and import prices skyrocketing like never before, smartphone prices are also skyrocketing as a result.
For example, the Redmi Note 10 Pro was launched for around Rs. 45,000–50,000 in Pakistan. But its successor, the Redmi Note 11 Pro currently costs more than Rs. 80,000. The same goes for flagship phones from Apple, Samsung, Vivo and others. However, this has more to do with ridiculous import taxes and not local production, as flagships were rarely produced here.