Friday, May 24, 2024
HomeBusinessSmartphone Industries Face Major Setbacks due to the Economic Crisis in Pakistan

Smartphone Industries Face Major Setbacks due to the Economic Crisis in Pakistan

Several mobile phone manufacturers in Pakistan have halted their operations due to various reasons. It includes the non-opening of Letters of Credit (LCs) and a shortage of raw materials.

One of these companies is Transsion Techno Electronics, which is a joint venture between a Chinese and a Pakistani company. The company produced around 0.3 million smartphones per month. It provides employment to numerous employees, including 12 Chinese managers, 400 Pakistani engineers, and 2500 male and female workers.

However, due to the raw material shortage and component unavailability, the company has been forced to shut down.

The former Chairman Board of Investment (BoI), Azfar Ahsan, has written a letter to PM, Shebaz Sharif. The letter highlights the challenges that mobile phone manufacturers are facing in Pakistan.

According to the letter, 30 other companies, including Samsung, Xiaomi, Vivo, OPPO, Nokia, Tecno, Infinix, and Itel, are also facing similar issues. These challenges are affecting the economy and putting employees at risk.

Azfar has urged the Prime Minister to take immediate action to resolve the issue. He further added that layoffs are worsening the situation, and the industry needs $100 million per month to remain operational and retain the 35,000-40,000 direct and indirect jobs.



Please enter your comment!
Please enter your name here

Most Popular

Recent Comments