4. Contents:
Introduction and Background of CPEC
Projects
Advantages to China
Advantages to Pakistan
Disadvantages
Indian concerns over CPEC
Recommendations
Conclusion
5. HISTORY OF PAK-CHINA RELATIONS
Began in 1950
Strategic Alliance was formed in 1972 & Economic Corporation
in1979
China’s investment in various projects
6. INTRODUCTION TO CPEC
CPEC is a collection of projects.
Links the Pakistani city of Gwadar Port in Southwestern to China’s
Northwestern region of Xiajing.
It was proposed by Chinese president in May 2013.
30000 Km network of Road, Rail, Pipeline & Optical Fibers.
China is providing $45.6 billion.
$11.8 for infrastructure
$33.8 for Power Projects
7. MAJOR PROJECTS UNDER CPEC
Power Projects
Transport Infrastructure
Wind Power Projects
Gwadar Port
8. POWER PROJECTS
Zonergy Solar Power Project:
Located at Bahawalpur
World’s largest solar power project
$1.5 billion project
900MW production ecpected
Building three phases
By Zonergy company
9. Karot Hydro Power Plant:
Located at jehlum River
Produce 720MW energy
$1.65 billion project
Expected to be completed in 2020
By three Goregies Corporation
10. Suki Kinari Hydro Power Plant:
Located in KPK
Produce 870MW energy
Started in 2014
Expected to be completed in 2020
11. Port Qasim Coal Fired Power Plant:
It is located in Karachi
$2.085 billion project
Produce 1320MW energy
By China Resource Limited
12. TRANSPORT INFRASTRUCTURE
Karakorum Highway Reallignment:
Pak-China friendship Highway
Project costs $2715 million
It is 1300 km long
Construction started in 1959
Operational since 1979
14. Gawadar Ratodero Motorway:
$238 million Project
892 Km long
556 Km have already been constructed
Inaugurated in Feb 2016
Expected to be completed in 2019
15. Karachi-Peshawar Main Railway Line:
Reconstruction of Rail
$3.65 billion project
Train Travel upto 160 Km per hour
Stages
16. GWADAR PROJECTS:
Gwadar International Airport
$230 million Project
On 3000 acres
Connect Gwadar to Karachi, Turbat and Mascat
Operational by Dec 2017
18. ADVANTAGES TO PAKISTAN:
Economic Development
Job Opportunities
Removal of Poverty
Infrastructure Development
Energy Production
Facilitate Trade
19. ADVANTAGES TO CHINA:
Economic Development
Access to Alternative Routes
String to Pearls
Business with Western Countries
20. DISADVATAGES OF CPEC:
FTA leads to threat for local markets and local manufactures.
Increase ratio f unemplyment
Dependence on China
Security Concerns
Focus on import rather than Domestic production.
Money taken from old investers
Huge loan
Environmental distraction
21. MANUFACTURING SECTOR
This sector will face a high pressure due to an increase in competition
from Chinese manufacturing firms. Several Chinese brands of each
product will be floating in Pakistan market.
22. CULTURE ISSUES
Over the years Pakistan is rigid to accommodate other cultures. The
inflow of Chinese people can create friction among cultures.
23. CORRUPTION
Corruption is a big problem in Pakistan whereas in China corruption is
punishable by death. How would Chinese companies react to
corruption in Pakistan.
24. DUMPING
There is a fear in Pakistan’s production sector that Chinese firms will
start to dump the excess production in Pakistan.
25. INDIAN CONCERNS OVER CPEC:
India is not joining CPEC
It is opposing this project
Reasons for opposing
Strategy of establishing hegemony in South Asia
Disputed territory
Modi’s anti Pakistan Policies
Competitor to China
26. RECOMMENDATIONS
Pakistan should create stability in its territory to implementation on
that plan.
To make positive balance of trade Pakistan should increase its
exports.
Restriction on that commodities that are harmful for our industries.
Develop auto industry rather than focusing on import parts.
Implementations of agreements should be addressed.
Make efforts to diversify market in China.
Security issues, Law and order are the main obstacles in the Pak-
China Economic Corridor.
Pakistan should develop training centers and Chinese language
centers to make effective communications
27. CONCLUSION
This project has potential to radically alter the regional dynamics of
trade, development and politics.
Game changer for entire region.
It will uplift the lives of about 3 billion people across China, Central
Asia, South Asia and the Middle East.
28. “Our friendship is higher than the mountains,
deeper than the oceans, stronger than steel,
dearer than eyesight and sweeter than the
honey.”