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China Pakistan Economic Corridor (CPEC)

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China Pakistan Economic Corridor (CPEC)

  1. 1. China Pakistan Economic Corridor Presented By:- Muhammad Shahroze Ilyas Mubeen Abdul Shakoor Adeel Asif Muhammad Fahad Khan
  2. 2. Contents • Historical background of Gwadar • Introduction to CPEC • History of Pak china Relations • Investment in Pakistan • Project proposed • MOU • Major projects • Benefits for Pakistan and China • Conclusion
  3. 3. Historical background of Gwadar • Port city on the southwestern coast of Pakistan's Balochistan province. • Pakistan purchased it from Oman. • Gwadar Port is a strategic warm-water deep-sea port. • Officially opened on 20 March 2007
  4. 4. Introduction to CPEC • The karakoram highway(kkh) was started in 1959 and was completed in 1979 (open to the public since 1986 ) • It connects China's Xinjiang region with Pakistan's Gilgit–Baltistan and Khyber Pakhtunkhwa regions
  5. 5. Introduction to CPEC • China Pakistan Economic Corridor is a collection of projects. • Link the Pakistani city of Gwadar Port in southwestern to China’s northwestern autonomous region of Xinjiang
  6. 6. Route Of CPEC
  7. 7. History Of Pakistan China Relations • Pakistan–China relations began in 1950 • Strategic alliance was formed in 1972 and economic co-operation began in 1979 • China has invested $20 billion in various projects
  8. 8. Investment in Pakistan
  9. 9. Project Proposed • Proposed in May 2013. • CPEC act as a bridge in Maritime Silk Route.
  10. 10. MOU • Concessional Loan for Karachi-Lahore Motorway • Concessional Loan for Gwadar International Airport • MOU between NUML Pakistan and Xinjiang Normal University • Establishment of NUML International Center of education (NICE) between NUML Pakistan and Xinjiang Normal University
  11. 11. MOU • Cooperation between WAPDA and CTG • Contract on Lahore Orange Line Metro Train Project • financing for Lahore Orange line Metro Train project • financing for KKH up-gradation Phase-2 (Havelian to Takot)
  12. 12. Major Projects
  13. 13. List Of Projects • Wind Energy o Jhimpir wind Power project o Dawood Wind Power Project • Coal Power Plant o Hubco Coal-fired Power Plant Project o Development of Private Hydro Power Projects • Nuclear Power Plant o Kanupp-II, Kanupp-III. • Coal Power Plant o Zonergy 9x100 MW solar project in Punjab • Hydro Power Plant o 720MW Karot Hydropower Project o Development of Private Hydro Power Projects
  14. 14. List Of Projects • Gwadar Port up gradation • Lahore Karachi Motorway • Peshawar Karachi Motorway • Havelian-Khujerab Railway • Hazara Motorway • Gwadar Ratodero Motorway • Gwadar International Airport • Lahore Orange Lane Metro Train
  15. 15. Benefits to China • Chinese industries are facing problems to compete in global market due to high transportation cost and delivery time. • China is using a longest way due to which transportation cost and time increases, which gives a competitive edge to competitors e.g. Japan, USA
  16. 16. Benefits to China
  17. 17. Benefits to China • It would decrease the travel distance and cost greatly from China to Gulf. • Even if China uses PCEC for 50% of its Oil supplies then it will save $6 Million every day, almost $2 billion every year. • Independent path from India and USA’s interference. • New business market in another country.
  18. 18. Benefits to Pakistan • Strategic and economic trade routes. • Development of Infrastructure. • Connect all the Province. • Development of Fata, KPK and Baluchistan. • Job opportunities
  19. 19. Benefits to Pakistan • CPEC from all counts will prove a game changer • Investments by China will boost Pakistan’s $274 billion GDP by over 15 % • Given the solid foundations of friendship
  20. 20. Disadvantages • FTA leads to threat for local markets and local manufacturers • Disturb of local industries • Difficult to compete chine’s product in market • Dependent to China
  21. 21. Conclusion • Natural Gateway for China • Positive response by both countries through mutual cooperation • Both countries are keen to enhance trade activities • Infrastructural improvement and Development of Dams • Stability of economy by investment in different sectors

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