Atlas Honda Addresses Market Rumors on Electric Bike Launch

KARACHI: Amid rising speculation and investor interest, Atlas Honda has publicly clarified its position regarding the potential launch of an electric bike in Pakistan, following inquiries from the Pakistan Stock Exchange (PSX).

The statement came after widespread media coverage hinted at an upcoming electric two-wheeler from the company, prompting the PSX to seek transparency over whether such a move qualifies as price-sensitive information under disclosure regulations.

In its response, Atlas Honda emphasized that while the company is actively exploring the electric vehicle (EV) segment as part of its long-term innovation strategy, there has been no material development that warrants a formal announcement under PSX clauses 5.6.1(a) or 5.6.2. The company reassured stakeholders that it remains committed to full regulatory compliance and will make a public disclosure only when substantial progress has been made.

The clarification also follows renewed interest stemming from the company’s unveiling of the BENLY e, its first electric scooter, in November 2023. Though the unveiling generated considerable excitement, Atlas Honda has not committed to a specific model or timeline for commercial launch. However, some local dealerships suggest a possible market entry by mid-2025 — although it’s still unclear whether the BENLY e will be the production model.

A Cautious but Strategic Approach

Atlas Honda’s measured response reflects both opportunity and caution. The company holds an 85% share of Pakistan’s motorcycle market and is known for its extensive manufacturing capabilities and a highly localized supply chain, sourcing over 95% of its components domestically. This operational advantage positions Atlas Honda favorably to localize electric bike production — potentially overcoming some of the barriers that have slowed the adoption of EVs in Pakistan.

Despite growing global trends toward electrification particularly in neighboring India and China. Pakistan’s electric two-wheeler market remains at a nascent stage. Key challenges include:

• High upfront costs

• Limited charging infrastructure

• Consumer hesitancy

Although the government has introduced tax incentives and policy support for EVs, electric motorcycles made up less than 1% of total motorcycle sales in the country in 2024.