The first electric tram, imported from China, has arrived in the city and is currently being assembled at the Ali Town Depot.

Officials said the tram, designed to operate without a conventional rail track, will initially run as a pilot project along the Canal Road. A demonstration for senior government officials and transport specialists is expected in the first or second week of August at the Lahore Expo Centre.

The state-of-the-art tram consists of three interconnected compartments and can carry more than 200 passengers. Fully electric, it can travel up to 27 kilometres on a 10-minute charge. Although capable of autonomous operation through a digital navigation system, it will be manually operated by drivers in Pakistan due to safety considerations. The vehicle is equipped with steering controls and is designed to operate alongside regular traffic without requiring significant infrastructure changes.

“This is the latest technology, recently introduced in cities like Abu Dhabi and two Chinese urban centres, and soon to begin operations in Budapest,” said Punjab Transport Minister Bilal Akbar Khan. “We are optimistic that Lahore and Gujranwala will see this service before Budapest.”

The minister added that the tram would operate along the Canal Road corridor, from Thokar Niaz Baig to Harbanspura, during the trial phase. Authorities will monitor the tram’s interaction with existing traffic and assess whether a dedicated lane is necessary. However, constructing such a lane could involve cutting trees and road expansion — options the government aims to avoid to keep project costs under control. A test run is also proposed for Main Boulevard, Gulberg.