ISLAMABAD: Xiaomi, a Chinese technology giant, has signed partnership with Air Link Communication Limited to produce Xiaomo-brand cellphones in Pakistan.
In a notification sent to Pakistan Stock Exchange today, Xiaomi company said it has partnered with Select Technologies (Pvt) Limited (SELECT), a subsidiary of Air Link AIRLINK to manufacture smartphones in Pakistan.
Air Link announced last month that it will incorporate Select Technologies (Pvt) Limited with the aim to take on additional mobile device manufacturing of certain selected brand(s).
Xiaomi’s share of the global smartphone market grew 83% year-on-year in the quarter, ended in June, according to research firm Canalys. The company shipped 52.8 million phones, making it the world’s second top-selling brand for the first time in history, behind Samsung but much ahead of Apple.
So far, over 25 companies have been issued mobile device manufacturing (MDM) Authorisation in Pakistan. Most important are Samsung, Nokia, Oppo, TECNO, Infinix, Vgotel, Q-mobile among others.
Air Link further stated that it is targeting a production of initially around 2.5 million to 3 million handsets annually subject to the smooth supply chain which is expected to add approximately $450 million annually in top-line revenue and have a material incremental impact on the EPS of the company other than the normal course of business.
According to notification, Air Link said that the production facility will be located adjacent to its existing mobile manufacturing facility at Quaid-e-Azam Industrial Estate, Kot Lakhpat Lahore. The production facility is anticipated to be operational within the month of January 2022.
The statement further clarified that Select will be the manufacturing partner whereas Airlink will continue to be the distributor of Xiaomi phones in Pakistan.
“Courtesy the manufacturing of Xiaomi phones by SELECT, AIRLINK expects to substantially increase its distribution and retail business of Xiaomi phones in Pakistan,” it added.
Boasting a young and tech-savvy population, and a low-cost labour advantage, a number of international technology companies have entered or are in the process of entering the Pakistan’s market.
The government had also introduced a mobile manufacturing policy to encourage and attract manufacturers to establish their units in Pakistan.
