Latest News: Millat Joins XDAO to Build Electric Motorcycles Locally
Pakistan’s push for locally made electric motorcycles has received a major boost. Millat Industrial Products Limited (MIPL), a subsidiary of the well-known Millat Tractors Limited, has signed a cooperation agreement with China’s Xiao Dao (XDAO) to speed up the production of electric bikes inside the country. The Millat electric motorcycle deal is being seen as an important step toward cheaper, locally built e-bikes for Pakistani buyers.
In this article, we look at what the agreement covers, why battery technology is at the centre of the deal, and what it could mean for ordinary riders and government e-bike schemes in the coming years.
Millat Electric Motorcycle Deal: Key Details
According to Sikander Mustafa Khan, Chairman of the Millat Group of Industries, the agreement with XDAO covers two main areas:
- Technology transfer, especially in lithium iron phosphate (LFP) battery technology.
- Localization of major components and parts used in electric motorcycles.
The project is in line with the Prime Minister’s electrification policy, which aims to shift the country away from fuel-hungry vehicles. The Engineering Development Board (EDB) has also supported and facilitated the project throughout the process.
| Detail | Information |
|---|---|
| Pakistani company | Millat Industrial Products Limited (MIPL) |
| Parent company | Millat Tractors Limited |
| Chinese partner | Xiao Dao (XDAO) |
| Focus | Electric motorcycle localization |
| Technology | LFP battery technology transfer |
| Government support | Engineering Development Board |
Why LFP Battery Technology Matters
The battery is the most expensive part of any electric bike. Right now, a large share of batteries and key parts are imported, which keeps prices high and puts pressure on Pakistan’s foreign exchange.
LFP batteries are popular around the world because they are considered safer, last for more charge cycles, and handle heat better than many other battery types. These qualities are especially useful in Pakistan’s hot summers. If Millat can produce LFP batteries and parts locally with XDAO’s help, it could lower the cost of electric motorcycles and make spare parts easier to find.
Lower Import Bill and Export Plans
The agreement is expected to help reduce Pakistan’s import bill by encouraging local manufacturing, cutting dependence on imported parts and saving valuable foreign exchange.
Millat also plans to go a step further. After localizing electric motorcycles for the home market, the company intends to export these locally made products to international markets. If successful, this would support Pakistan’s industrial growth and add to the country’s export earnings.
What This Means for E-Bike Buyers in Pakistan
For everyday riders, the biggest question is whether electric motorcycles will become cheaper. While no price or launch date has been announced under this deal, more local production usually leads to:
- Better availability of spare parts and batteries.
- Stronger after-sales service from an established local group.
- Potentially lower prices over time as fewer parts need to be imported.
- More supply for government programmes such as the PM electric bike scheme and provincial student e-bike schemes.
Millat says its goal is to combine international technology with Pakistan’s manufacturing skills to build a sustainable electric mobility ecosystem and strengthen the local engineering and automotive industry.
Part of a Bigger EV Push
This deal comes at a time when interest in electric two-wheelers is rising fast. Punjab has also seen fresh investment in this sector, including a new electric bike manufacturing plant in Sheikhupura. At the same time, rising duties on bike parts are a concern for the industry, as covered in our post on the new duty on bike parts.
If you are thinking about switching to electric, you can check current prices on our electric bike price in Pakistan page or estimate savings using the PAVE subsidy calculator.
This news was first reported by ProPakistani.
Also Read: Punjab E-Bike Distribution Date Confirmed | REVOO A09 Electric Scooter Price and Specs | Crown Raftaar Pro Electric Bike | New Electric Bike Plant in Sheikhupura
Frequently Asked Questions
Which companies signed the electric motorcycle agreement?
Millat Industrial Products Limited, a subsidiary of Millat Tractors, signed the agreement with China’s Xiao Dao (XDAO).
What does the Millat and XDAO agreement cover?
It covers technology transfer, especially LFP battery technology, and localization of major electric motorcycle parts.
Will Millat export electric motorcycles?
Yes, Millat plans to export locally made electric motorcycles to international markets after localization.
Has a price been announced for Millat electric motorcycles?
No price or launch date has been announced yet under this agreement.
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