Tokyo, August 15, 2025 – Senior officials from Islamabad and Tokyo have engaged in high-level talks aimed at strengthening Pakistan’s Auto Industry Development Policy, focusing on a strategic shift from punitive to incentive-driven measures to attract investment and promote sustainable growth.
Special Assistant to the Prime Minister for Industries & Production, Haroon Akhtar Khan, accompanied by Pakistan’s Ambassador to Japan, Abdul Hameed, met with H.E. MATSUO Takehiko, Vice-Minister for International Affairs at Japan’s Ministry of Economy, Trade and Industry (METI).
The meeting centered on expanding industrial cooperation between the two countries, particularly in the automotive and IT sectors. Japan, home to globally recognized automakers, acknowledged Pakistan’s youthful population, expanding consumer base, and untapped potential, noting that more than 70 Japanese companies are already active in the Pakistani market.
Pakistan’s new industrial policy was discussed in detail, highlighting its objectives to boost exports, lower tariffs, simplify regulatory frameworks, and attract substantial foreign investment in line with the government’s vision for export-led growth and targeted GDP expansion of 6–7% annually.
The Japanese side emphasized the importance of regulatory certainty and targeted investment incentives to encourage Japanese automakers to expand production and exports from Pakistan. They also addressed global industry trends, including the growing role of biofuels, with Toyota and Suzuki leading such initiatives in emerging markets.
Discussions also touched on opportunities for Japanese investment in Pakistan’s auto industry, textile sector, and special economic zones. Both sides stressed the necessity of adopting global regulatory standards in the auto industry to enhance competitiveness and ensure quality benchmarks.
It was agreed that Islamabad and Tokyo will maintain close coordination, ensure timely follow-ups, and work towards tangible results. The dialogue underscored the shared commitment to fostering deeper economic ties and positioning Pakistan’s auto industry as a regional hub for innovation and exports.