Pakistan’s GUGO Motors has signed a memorandum of understanding (MoU) with China’s Shengtang Group to explore electric bus manufacturing in the country. The agreement was signed in Islamabad on October 14, 2026, during an event organised by the Pakistan-China Business Forum to mark the 77th anniversary of the founding of the People’s Republic of China.
Haroon Akhtar Khan, Adviser to the Prime Minister on Industries and Production, attended the ceremony as chief guest. He highlighted the importance of turning Pakistan-China relations into practical business partnerships that support investment, local production and exports.
Under the proposed partnership, both companies aim to transfer technology, strengthen Pakistan’s manufacturing capacity and explore opportunities to produce electric buses for international markets under the “Made in Pakistan” label. However, the agreement is a preliminary step, and details about the production site, investment amount, manufacturing timeline and expected number of buses have not yet been announced.
The initiative could help Pakistan develop its electric vehicle industry by building local supply chains and creating skilled jobs. Electric buses may also support cleaner public transport as cities look for ways to reduce vehicle emissions.
The agreement comes as Pakistan seeks greater foreign investment in electric mobility and other industrial sectors, with Chinese companies among the potential partners.
