Sazgar pivots to e-rickshaws, gets Pakistan's first license after decade-long effort

Sazgar Engineering Works, Pakistan's dominant rickshaw manufacturer with 30% market share and 2,500 monthly units, finalized its e-rickshaw prototype in late 2016 anticipating a government push for greener transport. However, officials struggled to distinguish electric from conventional vehicles during registration, and economic crises stalled progress for years.

Despite the policy vacuum, Sazgar maintained EV ambitions — launching Pakistan's first locally assembled hybrid car with Great Wall Motor in 2022 — while continuing e-rickshaw development. The persistence paid off in January 2024 when Sazgar received Pakistan's first e-rickshaw production license, coinciding with a national EV policy targeting 30% EV adoption by 2030 and 90% by 2040.

The company now produces ~30 e-rickshaws monthly using Chinese LFP batteries, priced at $3,600 (2× conventional). Driver demand exists but affordability remains a barrier; a Punjab government interest-free loan scheme launched in December 2024 aims to accelerate adoption. Sazgar's 2024 profit hit 7.94B PKR ($28.4M), a 700% year-on-year increase driven by hybrid EV sales.

Executive director Mian Muhammad Ali Hameed emphasizes that scaling requires government leadership on financing and policy stability. With 57 new EV licenses granted in early 2025 (55 for two/three-wheelers), Sazgar's early investment positions it as the benchmark for Pakistan's electric rickshaw transition.

First-mover Pakistan's first e-rickshaw license; 700% profit surge to $28.4M in 2024; positioned to lead national EV transition targeting 30% adoption by 2030

Prototype ready in 2016 but regulatory confusion blocked commercialization for years

Economic crises and inconsistent policy implementation delayed launch despite technical readiness

Hybrid car success with Great Wall Motor (2022) validated EV capabilities and funded continued e-rickshaw development

National EV policy (2024) finally created regulatory framework matching Sazgar's decade-old vision

First-mover license grants competitive moat as 55+ competitors enter two/three-wheeler EV space

Persisting through regulatory vacuum and economic instability can secure decisive first-mover advantage when policy finally aligns with technology readiness.

Sazgar leads Pakistan's nascent e-rickshaw market with first-mover license and production infrastructure. The 2024 national EV policy and 57 new manufacturer licenses signal market validation, but mass adoption hinges on driver financing schemes and political stability. Sazgar's $21.6M expansion investment (Sept 2024) doubles down on EV assembly capacity.