Pakistan announces import duty cut on mobile phones
- By Web Desk -
- Jun 23, 2026
ISLAMABAD: The government of Pakistan has announced a 20 percent reduction in regulatory duties on imported mobile phones, as part of the federal budget 2026-27, following which it was expected that consumers could save up to Rs. 14,000 per mobile phone from 1 July 2026.
Speaking to the Standing Committee on Finance of the National Assembly, the Chairman of the Federal Board of Revenue (FBR), Rashid Mahmood Langrial, has said that under the tariff rationalization policy, the reduction would primarily benefit buyers of luxurious imported smartphones.
Presenting proposals regarding the Finance Bill 2026, the Chairman of FBR added that any further tax relief should be focused on lower-priced handsets valued between $31 and $200, arguing that such measures would help first-time smartphone users and middle-income consumers.
According to statistics presented by FBR officials to the standing committee, imported mobile phones valued between $101 and $200 are subject to a 40 percent tax, while phones priced between $201 and $350 face a 38 percent tax, and a 40 percent tax is charged on handsets worth between $351 and $500.
The Chairman of FBR revealed that 95 percent of mobile phones used in Pakistan are locally assembled, while only 5 percent are imported.
During the last year, imports of mobile phones have risen sharply, and the numbers increased by 61 percent, climbing from 640,000 units to 1.04 million units.
He also said that the value of mobile phone imports surged by 137 percent during the same period, because of which the government has generated a record Rs. 36.9 billion in duties and taxes.
FBR data shows that flagship smartphones priced above $500 represent only 16 percent of total mobile phone imports. However, they contribute 58% of the total tax revenue collected from imported handsets.
Rashid Mahmood Langrial, while defending the existing taxation framework of Pakistan, described it as balanced and equitable. “The more expensive the phone, the higher the tax paid by the buyer,” he said.