Local Smartphone Assembly Has Increased
In Pakistan, local smartphone assembly has increased over the past few years. In an effort to reduce local pricing for phones, several large businesses, including Samsung and Xiaomi, have established their mobile phone assembly facilities here.
According to a report by the Express Tribune, local phone assembly may, unfortunately, be coming to an end soon as numerous plants are close to shutting down. Due to a lack of dollars since May 20, letters of credit (LCs) for import are not being opened. As a result, there is a serious shortage of the raw materials required for assembly.
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SBP Claimed That Import Payments Had Not Been Halted
In a statement, the State Bank of Pakistan (SBP) claimed that import payments had not been halted and that commercial banks had sufficient dollar liquidity to cover all obligations. So far this month, the interbank market has processed import payments totaling $4.7 billion.
Aim Of Becoming A Mobile Phone Exporter
Naturally, this is giving many OEMs and their business divisions cause for concern. According to Aamir Allawala, CEO of Tecno Pack Electronics, this would eventually stop the production of low-cost mobile phones that are made locally, and only people who can afford to purchase foreign phones will be able to do so. We would have to bid our aim of becoming a mobile phone exporter farewell, according to ICT specialist Parvez Iftikhar.
Layoffs have also been announced by automakers like Proton, Toyota, and KIA.