Thursday, January 8, 2026

Pakistan advances National Lithium-Ion Battery Manufacturing Policy

High-level meeting reviews progress, aims to reduce import dependence; approves lithium, iron, and phosphate (LFP) battery technology for initial localisation, focusing on testing, certification, and recycling for long-term sustainability

Pakistan advances its National Lithium-Ion Battery Manufacturing Policy for 2026–2031, with a high-level meeting, chaired by Special Assistant to the Prime Minister Haroon Akhtar Khan, reviewing the progress. The policy aims to reduce reliance on imports and promote domestic manufacturing through phased localisation, tariff reforms, and performance-based incentives. 

The committee approved lithium, iron, and phosphate (LFP) battery technology for initial localisation, stressing the importance of a comprehensive framework for testing, certification, and recycling to ensure long-term sustainability.

The SAPM emphasised that the new energy storage policy should align with Pakistan’s national energy security framework, as directed by the prime minister. He underscored the importance of collaborating with the private sector and global investors to establish a sustainable energy future for Pakistan.

He highlighted that a dedicated working group for the National Battery Policy was formed on December 12, 2025, as part of the government’s efforts to drive the project forward. The meeting was informed that the policy will focus on phased localisation, tariff reforms, and performance-based incentives aimed at boosting domestic manufacturing and attracting investment.

Khan also noted that Pakistan has significant reserves of phosphate, iron, and manganese, which could support battery manufacturing and reduce the country’s reliance on imports. He stressed the need for the Pakistan Standards and Quality Control Authority (PSQCA) to play a central role in maintaining global standards for battery safety and performance.

Lithium-ion batteries, with applications in solar energy, electric vehicles, backup power systems, and mobile towers, are key to the country’s energy future. The committee approved lithium, iron, and phosphate (LFP) battery technology for initial localisation, and emphasised the importance of a comprehensive framework for battery testing, certification, and recycling to ensure long-term sustainability.

The meeting also highlighted successful business-to-business (B2B) agreements with China, valued in the millions of dollars, that include collaborations on battery manufacturing. Further discussions with federal and provincial mineral departments are expected to strengthen coordination in the sector.

Haroon Akhtar instructed the EDB to ensure that the new energy storage policy aligns with Pakistan’s energy security objectives. He also shared that ongoing consultations with global experts reflect the government’s commitment to making Pakistan a regional hub for battery manufacturing.

The meeting was attended by key officials, including Secretary Industries and Production Saif Anjum, CEO of the Engineering Development Board (EDB) Hammad Mansoor, and private sector representatives.

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