China’s BYD is planning a car factory in Karachi as part of its entry into Pakistan, by Reuters

KARACHI (Reuters) – Chinese electric vehicle giant BYD ( SZ:.SZ ) on Saturday announced plans to open a car manufacturing plant in Pakistan, where it will also start selling three models through a partnership with Mega Engines.

BYD is the first major electric vehicle (NEV) entrant in the Pakistani market, where there is a lack of charging infrastructure.

“Our entry into the Pakistani market is not just about bringing advanced vehicles to consumers,” said Liu Xueliang, BYD’s managing director for Asia Pacific.

“It’s about driving a broader vision of environmental responsibility and technological innovation.”

BYD also plans to open three “flagship stores and experience centers” in Karachi, Lahore and Islamabad, the company said at a launch event in Lahore, adding that it plans to start selling two SUV models and a sedan from fourth quarter of 2024.

Mega Motors is a unit of Pakistan’s largest private utility, Hub Power Co Ltd (HPWR.PSX), known as Hubco.

“We will set up Pakistan’s first NEV assembly plant… dedicated to the production of BYD’s next-generation new energy vehicles,” said Hubco Chief Executive Kamran Kamal, who described the deal as a “landmark investment”.

The new plant will start operating in 2026, Kamal told Reuters.

Hubco will install fast charging stations in major cities, highways and highways to improve Pakistan’s charging infrastructure.