7/17/2019 Pak China Economic Corridor

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The China–Pakistan Economic Corridor (CPEC)[a] is a ongoing development megaproject 

which aims to connect Gwadar Port in southwestern Pakistan to China’s northwestern

autonomous region of injiang! via a network of  highwa"s! railwa"s and  pipelines to transport

oil and gas#[$] The economic corridor  is considered central to China%Pakistan relations and will

run a&out '! km from Gwadar  to ashgar # *verall construction costs are estimated at over

+,- &illion! with the entire project e.pected to &e completed in several "ears# [/]['] The Corridor is

an e.tension of China’s proposed /$st centur" 0ilk 1oad initiative#[,][2] 3ccording to a 4irstpost 

report! 5this is the &iggest overseas investment &" China announced "et and the corridor is

e.pected to &e operational within three "ears and will &e a strategic gamechanger in the region!

which would go a long wa" in making Pakistan a richer and stronger entit" than ever &efore#5[-]

*ther than transport infrastructure! the economic corridor will provide Pakistan with

telecommunications and energ" infrastructure# The project also aims to improve intelligence

sharing &etween the countries#[6][7] China and Pakistan hope the massive investment plan will

transform Pakistan into a regional economic hu& as well as further &oost the growing ties &etween Pakistan and China#[8] The Pakistani media and government called the investments a

5game and fate changer5 for the region#[$][$$] 3ccording to The Guardian! 5The Chinese are not

 just offering to &uild much9needed infrastructure &ut also make Pakistan a ke" partner in its

grand economic and strategic am&itions#5[$/] The project will also open trade routes for :estern

China and provide China direct access to the resource9rich ;iddle <ast region via the 3ra&ian

0ea! &"passing longer logistical routes currentl" through the 0trait of ;alacca#[$']

=uring the state visit of President of China i >inping to Pakistan in 3pril /$2! he wrote in an

open editorial that 5This will &e m" first trip to Pakistan! &ut ? feel as if ? am going to visit the

home of m" own &rother#5 =uring his visit! ?slama&ad was dotted with slogans and sign&oardssuch as 5Pakistan9China friendship is higher than the mountains! deeper than the oceans! sweeter

than hone"! and stronger than steel#5 [$,]

?n 3ugust /$2! the two countries signed / more agreements worth +$#- &illion to further &oost

the corridor#[$2]

:hen the corridor is constructed! it will e.pand the num&er of trade routes &etween China! the

;iddle <ast and 3frica# <nerg" securit" is a ke" concern for China! as it is the world@s &iggest oil

importer![/'] and oil pipelines through Pakistan would cut out ocean travel through 0outheast

3sia#[/8]

The 3sian =evelopment Aank  terms the project as 5CP<C will connect economic agents along a

defined geograph"# ?t will provide connection &etween economic nodes or hu&s! centered on

ur&an landscapes! in which large amount of economic resources and actors are concentrated#

The" link the suppl" and demand sides of markets#5 [']

7/17/2019 Pak China Economic Corridor

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3ccording to Chinese 4oreign ;inistr" 0pokesperson Bua Chun"ing! the corridor will 5serve as

a driver for connectivit" &etween 0outh 3sia and <ast 3sia#5 ;ushahid Bussain! chairman of the

Pakistan9China ?nstitute! told China Daily that the economic corridor 5will pla" a crucial role in

regional integration of the @Greater 0outh 3sia@! which includes China! ?ran! 3fghanistan! and

stretches all the wa" to ;"anmar#5[$8]

China plans to &uild oil storage facilities and a refiner" at Gwadar Port! with oil transported to its

injiang ighur 3utonomous 1egion via road and pipeline# This will let it move energ" and

goods to inland China without going through the 0trait of ;alacca! which could &e &locked &"

the #0# or ?ndia should hostilities &reak out in the region# The project will also lead to

development in western China! where tensions are simmering from activities &" radical

separatists#['$]['/] ?ran has also responded positivel" over the proposal to link the ?ran%Pakistan

gas pipeline with China! with the ?ranian am&assador to China descri&ing it as a 5common

interest5 &etween the three countries#['']

CP<C is considered economicall" vital to Pakistan in helping it drive economic growth#[',] 

;ood"@s ?nvestors 0ervice has descri&ed the project as a 5credit positive5 for Pakistan# ?n /$2!

the agenc" acknowledged that much of the project@s ke" &enefits would not materialise until

/$6! &ut stated that it &elieves at least some of the &enefits from the economic corridor would

likel" &egin accruing even &efore then#['2] 3 stud" &" the Pew 1esearch Center  in /$, found that

67D of Pakistanis have a positive view of China#[/-]['-]