Pakistan Reduces Import Duties on Premium Smartphones for FY27
Duty Reductions for Premium Devices
In a significant move to rationalize tariffs under the National Tariff Policy 2025-30, the Pakistani government has reduced the regulatory duty (RD) on premium smartphones priced above $500. The duty has been cut by 20%, falling from Rs22,000 to Rs17,600 per unit.
Broad Tariff Adjustments
Additionally, the Additional Customs Duty (ACD) has been lowered from 6% to 4% across several smartphone and cellular-phone categories. This reduction aims to streamline imports and reflect current market demands within the mobile sector.
Impact on Mid-Range and Budget Phones
The duty cuts extend across various price brackets. For devices valued between $350 and $500, the RD has been reduced to Rs12,000 from Rs15,000. Those priced between $200 and $350 now attract a duty of Rs8,800, down from Rs11,000.
Lower-End Segment Relief
Budget handsets have also seen relief. Phones priced between $100 and $200 now have a RD of Rs6,000 (down from Rs7,500), and those between $30 and $100 now face a duty of Rs2,400 instead of Rs3,000. For the lowest bracket under $30, the duty has dropped to Rs240 from Rs300.
Market Context and Growth
The Ministry of Commerce reports that smartphone imports surged to $1.888 billion in FY2025-26, a substantial increase from $1.497 billion the previous year. These changes come as the government seeks to update its Mobile Device Manufacturing Policy, which had expired in 2020-25.