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As Nepal’s automobile industry rapidly shifts toward electric vehicles and digital technologies, stakeholders have warned that the country is lagging behind in the infrastructure, data management, research, cybersecurity and skilled human resources needed to support the transformation.

They said the growing use of artificial intelligence (AI) in automobiles means Nepal can no longer view vehicles merely as imported products for sale and operation. Instead, the country needs to develop automobiles as part of a broader ecosystem involving data, software, research, innovation and digital infrastructure.

The issue was discussed at a dialogue titled “AI and Automotive Technology: Driving the Future of Mobility,” organized by the Nepal Automobile Importers and Manufacturers Association (NAIMA). Representatives from the automobile industry, government, research institutions and academia discussed the opportunities created by AI as well as the policy, infrastructure and human-resource challenges facing Nepal.

AI can transform mobility beyond the vehicle

Suryansh Vaidya, Chief Executive Officer of Vaidya Energy, said AI could be used not only inside vehicles but also in traffic management, road safety and business operations.

According to Vaidya, data generated through sensors and other devices installed in vehicles can be analyzed to provide users with safer, easier and more efficient mobility services.

AI could help identify road conditions, improve driving behavior and optimize route planning. It could also recommend suitable charging stations before an electric vehicle runs out of battery, based on route and vehicle data.

Vaidya also pointed to the possibility of integrating weather and rainfall data with vehicle systems so that traction-control modes could automatically adjust according to road conditions.

However, he said Nepal is not yet in a position to easily adopt fully autonomous driving.

AI models used for autonomous vehicles are often trained using data generated from environments with relatively well-maintained roads, clearly marked lanes and organized traffic. Nepal’s roads and traffic conditions are considerably different, making locally generated data and research essential before autonomous driving can become practical in the country.

Nepal needs local automotive data

Vaidya said vehicle-generated data could also be useful to government agencies.

If data collected by vehicles can be securely shared with relevant authorities, it could help identify potholes, deteriorating roads and other infrastructure problems.

He argued that the objective of future mobility should not simply be to sell more vehicles but to develop systems capable of moving people from one place to another more safely, conveniently and efficiently.

This approach would require stronger collaboration among automobile companies, government agencies, technology firms and research institutions.

Government faces a new data and cybersecurity challenge

Sanjay Paudel, Chief Adviser at the Ministry of Science, Technology and Innovation, stressed the growing need for government involvement in data management and regulation as Nepal adopts increasingly connected and technology-intensive vehicles.

He said the government needs a clear mechanism to determine how data generated by imported vehicles will be collected, how vehicle quality will be assessed and how the resulting information can be used.

With vehicles increasingly incorporating software, connectivity, sensors and digital systems, automotive data is also becoming a cybersecurity issue.

Paudel said Nepal should study whether vehicle-related data should be stored within the country and assess the infrastructure and financial costs involved.

He also called for the establishment of new innovation laboratories and more strategic allocation of government resources.

Rather than attempting to invest in every emerging technology simultaneously, Nepal should identify technologies based on domestic requirements and economic potential and prioritize research accordingly.

Skills gap could become a bigger obstacle

The rapid introduction of advanced vehicles has also exposed a shortage of relevant technological skills in Nepal.

Dr. Suman Thapaliya, Director of Information Technology at Texas College of Management and IT, said Nepal is adopting electric and advanced vehicles faster than it is developing the workforce needed to maintain, develop and innovate around those technologies.

He noted that many colleges and universities still place significant emphasis on conventional subjects such as programming, web development, databases and networking.

While those skills remain important, the automobile industry’s technological transformation requires expertise in areas such as AI, cybersecurity, embedded systems, robotics, edge computing, automotive software and digital forensics.

Thapaliya argued that students should not merely be introduced to embedded systems as an isolated subject. They also need deeper exposure to advanced embedded technologies, robotics, edge computing and automotive software.

He proposed a curriculum model comprising 60 percent core academics, 20 percent emerging technologies and 20 percent industry applications.

Such a structure, he said, could give students foundational academic knowledge while exposing them to emerging technologies and the practical requirements of industry.

AI should not be viewed only as a threat to jobs

Sandhya Sitoula, Executive Director of the Nepal Applied Mathematics and Informatics Institute for Research, said the discussion surrounding AI should move beyond the fear that the technology will simply eliminate jobs.

AI is already making work easier while supporting research, analysis and the identification of new opportunities, she said.

She also called for greater use of AI within government agencies.

According to Sitoula, Nepal needs long-term investment to establish a sustainable research ecosystem. Research should not be treated simply as an expense, she said, because meaningful research does not necessarily produce immediate results.

Data security will become increasingly important as technology adoption expands. Nepal needs to invest in the infrastructure required to secure data and should aim to move beyond being merely a consumer of technology toward becoming a contributor to technology and research.

From vehicle importer to technology participant

The discussion at the NAIMA event indicates that Nepal’s automobile industry is entering a fundamentally different phase.

Vehicles are increasingly becoming software-driven and connected platforms incorporating sensors, AI, connectivity, data processing and automated systems. This means the implications extend beyond roads and transportation to education, cybersecurity, research, public policy and industrial strategy.

Stakeholders said Nepal needs to establish mechanisms through which data generated by vehicles can be securely and productively shared with government and research institutions. The country also needs research focused on local road and traffic conditions, stronger cybersecurity systems, modern vehicle-testing infrastructure, AI-related infrastructure and technology-oriented human-resource development.

The challenge is therefore not simply whether Nepal can import the latest AI-enabled vehicles.

The bigger question is whether Nepal can build the ecosystem required to understand, regulate, secure, maintain and eventually innovate around those technologies.

As global automobile companies move toward increasingly autonomous and data-driven mobility, Nepal’s roads may become a testing ground for imported technology. But without local data, research, infrastructure and skilled professionals, the country risks remaining only a consumer of the next generation of mobility rather than becoming a participant in its development.