Pakistan Reduces Mobile Phone and Import Taxes to Boost Affordability

Pakistan is preparing major tax relief measures for mobile phone buyers. Starting July 1 2026, regulatory duties on imported phones will be cut by up to 20 percent, lowering prices by as much as Rs 15,000. The government will also let consumers pay PTA taxes in installments rather than a lump sum.

At the same time, the proposed National Tariff Policy for 2025‑30 aims to slash overall average tariff rates from 20.19 % to 9.70 %, a reduction of more than half. Customs duties will be capped at 15 % within five years, additional customs duties of up to 6 % will be phased out, and regulatory duties will be reduced to a maximum of 20 % before being eliminated. The reforms are expected to lower the cost of imported raw materials and machinery, improve industry competitiveness, and stimulate trade and investment, although they could create a revenue shortfall of about Rs 143 billion for the government.