We study locally $s$-arc-transitive graphs arising from the quasiprimitive product action (PA). We prove that, for any locally $(G,2)$-arc-transitive graph with $G$ acting quasiprimitively with type PA on both $G$-orbits of vertices, the group $G$ does not act primitively on either orbit. Moreover, we construct the first examples of locally $s$-arc-transitive graphs of PA type that are not standard double covers of $s$-arc-transitive graphs of PA type, answering the existence question for these graphs.