Commerce Minister Jam Kamal Khan has invited Samsung to transform Pakistan into a regional manufacturing, refurbishment and export hub for mobile phones, assuring the company of government facilitation for exports, value addition and industrial investment, according to a statement on Wednesday.

During a meeting with Samsung Pakistan’s country head, Khan encouraged the company to export Pakistan-manufactured smartphones to emerging markets, particularly Africa. He said Pakistan should leverage its growing manufacturing base to become part of global supply chains rather than serving only local demand.

The minister appreciated Samsung’s proposal to establish certified refurbishment facilities in Pakistan. He said a regulated refurbishment ecosystem would strengthen local industry, create export opportunities, generate employment and promote technical expertise.

The Samsung delegation briefed the minister on the sector’s progress and highlighted changes in taxation and the narrowing tariff differential between Semi Knocked Down (SKD) and Completely Built Unit (CBU) mobile phones, which had significantly reduced the competitiveness of locally manufactured phones. They requested the government to maintain a reasonable tariff differential to encourage continued investment.

The delegation also expressed concerns over commercial imports of used mobile phones, stating it undermines domestic manufacturing despite sufficient production capacity. It proposed replacing commercial imports with certified refurbishment phones, under which original equipment manufacturers would establish authorised facilities in Pakistan.

Responding, Khan said future policy should focus on genuine manufacturing, higher local value addition, technology transfer and export growth. He acknowledged taxation concerns and said these would be examined within the broader fiscal framework, adding that any incentives should be linked with investment, localisation, exports and value addition.

Khan directed the industry to submit detailed proposals on certified refurbishment, export potential and investment commitments to support the revised Mobile Device Manufacturing Policy. He stressed that any decision on commercial imports of used phones should be evidence-based, phased and supported by certified locally refurbished alternatives.

Reaffirming the government’s commitment to industrial development, the minister said Pakistan offers significant opportunities for global technology companies and expressed confidence that stronger collaboration with Samsung would contribute to investment, employment and increased exports.