Pakistan Cuts Import Duties On Mobile Phones For FY2026-27

ISLAMABAD: The government has lowered regulatory duty (RD) and additional customs duty (ACD) on imported mobile phones for the fiscal year 2026-27, with premium smartphones costing more than $500 now subject to an RD of Rs17,600 per handset, down 20% from Rs22,000.

According to a Ministry of Commerce brief, ACD has also been reduced from 6% to 4% for the specified smartphone and cellular-phone categories as part of tariff rationalisation under the National Tariff Policy 2025-30.

For completely built-up (CBU) smartphones valued up to $30, the regulatory duty has been reduced from Rs300 to Rs240. Devices priced between $30 and $100 will now face an RD of Rs2,400, compared with the previous Rs3,000.

The duty on handsets in the $100-$200 price range has been lowered from Rs7,500 to Rs6,000, while smartphones priced between $200 and $350 will now carry an RD of Rs8,800 instead of Rs11,000.

For phones valued between $350 and $500, the regulatory duty has been reduced from Rs15,000 to Rs12,000. Meanwhile, devices priced above $500 will attract an RD of Rs17,600, representing a reduction of Rs4,400 per handset.

For smartphones and cellular phones imported in completely knocked-down (CKD) or semi-knocked-down (SKD) form, RD has been reduced from 5% to 4%, while ACD has also dropped from 6% to 4%.

The tariff changes come as Pakistan’s smartphone and cellular-phone imports increased to $1.888 billion during FY2025-26, compared with $1.497 billion in the previous fiscal year. Imports of CBU smartphones alone more than doubled, reaching $357.7 million.

The Ministry of Commerce also pointed out that the Mobile Device Manufacturing Policy 2020-25 has expired, while a replacement policy is still awaiting approval from the federal government.

Despite the expiry, incentives previously available to mobile manufacturers and assemblers remain protected under the Fifth Schedule of the Customs Act, 1969.