The significance, importance, challenges and opportunities of CPEC. (China-Pakistan Economic Corridor)

1. The significance, importance, challenges and opportunities of CPEC.
(China-Pakistan Economic Corridor)
• Introduction
• History
• Why china need CPEC and Pakistan
• Projects in CPEC
• CPEC impact on Pakistan
• CPEC security
• America roll in CPEC

2. INTRODUCTION:
CPEC = CHINA PAKISTAN ECONOMIC CORRIDER
CPEC is a collection of infrastructure projects that are under construction
through out Pakistan beginning in 2013.
The goal of CPEC is both to transform Pakistan's economy by modernizing its
its road, rail, air, and energy transportation
systems and to connect the deep-sea Pakistani ports of Gwadar and Karachi to
China's Xinjiang province and beyond by overland routes.
Amount:
46 B Doller= start 62 B Doller = 2017

3. History:
Plans for a corridor stretching from the Chinese border to Pakistan's
deepwater ports on the Arabian Sea date back to the 1950s, and
motivated construction of the Karakoram Highway beginning in 1959.
in 1998 china show intrest in ports of Pakistan. Chinese interest in
Pakistan's deep-water harbor at Gwadar had been rekindled by in
2002 China began construction at Gwadar port which was completed
in 2006. Expansion of Gwadar Port then ceased thereafter owing to
political instability in Pakistan following the fall of General Pervez
Musharraf and subsequent conflict between the Pakistani state and
Taliban militants
modern transportation networks built under cpec will link seaports in gwadar and karachi with
northern pakistan, as well as points further north in western china and central asia

4. In 2013, the then Pakistani President Asif Ali Zardari and Chinese
Premier Li Keqiang decided to further enhance mutual connectivity.
A memorandum of understanding on cooperation for long-term plan
on China–Pakistan Economic Corridor between the two governments
was inked by Xu Shao Shi and Shahid Amjad Chaudhry.
In February 2014, Pakistani President Mamnoon Hussain visited China
to discuss the plans for an economic corridor in Pakistan. Two
months later, Pakistan Prime Minister Nawaz Sharif met with
Premier Li Kequiang in China to discuss further plans, resulting in
the full scope of the project to be devised under Sharif's tenure. In
November 2014, Chinese government announced its intention to
finance Chinese companies as part of its $45.6 billion energy and
infrastructure projects in Pakistan as part of CPEC.

5. Why China need CPEC and Pakistan?
It have 2 reasons:
1st Reason:
The way of import and export of china that vey long and
expensive.
Which start from south china sea then move to Arabian sea and go to
middle east.it is very coastly and very long way . because china pass
10 to 12 ports in this way . on the other hand cpec way is very
shourt way .
2nd Reason:
America

6. Projects in Cpec:
• Roads way Project
• Railway Projects
• Energy Projects
• Wind Power Project
Roads way Project:
China border to Hasan Abdal
Sindh ,Punjab, Bslochistan, kpk roads join with cpec.
Railway Projects:
ML1-Project : Karachi to Peshawar
Lahore metro and orange line join with cpec
Railway track from Havelian to khunjerab pass and then join with
shejung railway station in kashghr

7. Energy project:
Quaid-e-azam 16 power plant construct in Bahawalpur. Which Produce
1000MW electricity
Wind Power Project :
which Produce Electricity by air.
Suki kinari hydropower Project :
Which produce Electricity by water.
Diamer Badsha Dam:
Which Produce 500mw Electricity.

8. Cpec impact on Pakistan:
CPEC investment in transport infrastructure will boost the trade
within Pakistan and increase trade and economic cooperation with
China. Pakistan will shift the trade routes with China and other
countries from sea and air to cheapest land transportation.CPEC
also help in Agriculture.
Our Farmers also live happy life after CPEC . with CPEC jobs Will be
Increase.

9. CPEC security:
CPEC safe by Pakistan Navy and china navy.in 2016 Pakistan navy
make a Special task Force which work CPEC trade Secure. For safe
Earth take Police Officer from 2000 sindh , 5000 punjab on the
other hand 1200 Army also help .
Also China and Pakistan make special team which help CPEC.

10. America roll in CPEC:
America India and Israel , Afghanistan want to remove CPEC.
America with the help of India enter in balchositan and also try to
disable condition of balchositan. And this cause stop Gwadar work.
Why America doing this?
Because Now America is super power but after CPEC China will
become super Power and also Pakistan become strong economic
county it also not need of world bank , IMF , America. Pakistan Also
have strong Army so after CPEC Pakistan will be talk eye to eye .

11. If this Project is break:
America want start War between Pakistan and India and on the other
hand Afghanistan also Participate in war, this cause Pakistan will
be in middle Problems of war so china see this and to avoid his
investment to enter in after china enter America will be assailed on
Iran and if assailed Iran then Russia also Participate in this war
from all this it all become crashes. From this like Cpec idea not
anyone thought.

12. MAP OF CPEC:
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CHINA
Iran
Arabian
Sind
h

13. MAP OF CPEC:
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14. Significance of CPEC:
China-Pakistan Economic Corridor has Significance for the development
of the region. Potential areas of cooperation/development include:
• Regional Connectivity
• Transport Infrastructure
• Energy Hub/flows
• Trade & Commerce
• Peace & development of region
• Connectivity/Harmonization

15. • Diverse Investment opportunities
• Industrial Cooperation
• Financial Cooperation
• Agricultural Cooperation
• Socio-Economic Development
• Tourism including coastal Tourism
• Educational linkage
• Human resource development
• People to people contact
• Increase in livelihood opportunities
• Enhance Security and stability of the region
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16. Economical Importance:
1. China-Pakistan Economic Corridor is a framework of regional
connectivity. CPEC will not only benefit China and Pakistan but will
have positive impact on Iran, Afghanistan, Central Asian Republic,
and the region.
2. The billion dollars project will add much to the Gross Domestic Product
(GDP) of the country.
3. Furthermore, it will improve the trade between Pakistan and China
and other countries. Also, India tried to sabotage the projects with
malicious and cunning intentions, but the project is running in full
swing and projects like energy, roads and rails, industrial, commercial is
in progress.
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17. • Gwadar Port is of great importance and it might be the economic hub for
the region in upcoming times. Likewise, it reduces the distance for China to
import oil and other raw material from the rest of the world. Also, it gives
China a shortcut to Central Asian Republics (CARS) and vice versa.
• Further, it will provide exposure for the industries to boom. Through power
generation projects, the electricity shortfall will become minimum and the
industry will grow.
• CPEC will also contribute in improving standard of living. As a result of
increase in trade tourism and investment, Pakistan's economy gets a boost
and the government is now spending more on public employment
opportunities. ... CPEC will also help reduce travel cost and travel distance
that cause decrease in illegal trade.
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18. Challenges of CPEC:
Internal challanges:
There are number of internal challanges which are as follows:
• Modernize infrastructure and remove critical bottlenecks within it
which constrain long-term growth and development.
• Interface major financial districts of Pakistan to decrease provincial
monetary advancement holes through the development of nodal
urban areas as interconnective motors of development.

19. • Upgrade the level of development, particularly at the provincial
government level, with the input of Chinese aid, technical assistance,
and investment.
• Upscale investment relations with China to promote export of goods
and services to China, grow our industry and employment, and
strengthen and form new industry clusters; with the objective of
initiating a sustainable high-growth trajectory to promote food,
water, and energy security, thus leading to the improved quality of
life of the people, and contributing to the promotion of peace and
stability in the region.

20. External Challenges:
• There are a number of international and regional geopolitical real
factors which are the cause of criticism and opposition to CPEC.
• There is competition for influence between U.S. and China at one level,
and between India and China at another.
• Since the U.S. has grown closer to India. Pakistan is targeted of this
competition.
• While U.S. is seemingly interested in a stable and economically
progressing Pakistan, it prefers that it follows its line on
Afghanistan.

21. How CPEC will affect Pakistan:
CPEC investment in transport infrastructure will boost the trade
within Pakistan and increase trade and economic cooperation with
China. Pakistan will shift the trade routes with China and other
countries from sea and air to cheapest land transportation.

22. How Pakistan can overcome the challenges of CPEC:
In order to better promote the CPEC, China and Pakistan should
strengthen the exchange of ideas on development and governance.
Central and local governments, and the military from both sides
should improve exchanges. Think tanks should play an important role
in this regard.

23. China’s vision about CPEC:
• Share with Pakistan China’s advantage in funds, technology,
production, engineering, and operational capability for mutual
development.
• Promote long-term social stability in Pakistan;
• Accelerate implementation of the Silk Road Economic Belt and the
Western China Development Strategy.

24. Opportuniies From China pakistan economic
corridor(CPEC)

25. 1.Opportuniies From CPEC
China-Pakistan Economic Corridor (CPEC) is an opportunity that is
expected to bring development, growth and prosperity directly for
Pakistan and indirectly for neighboring countries.

26. Opportunities we got from cpec:
• ONE BELT ONE ROAD (OBOR)
• Electricity Production
• Industrial Cooperation
• Transport infrastructure
• Geographical Significance
• Gwadar Port
• Sub-Projects:
1. Karachi-Peshawar and Kotri-Attock
• Other Projects are also taking place due to CPEC
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27. One belt one road(obor):
• It involves the connection of
68 countries .
• To connect Europe, Asia and
Africa through
• “Silk Road Economic Belt” and
the “Maritime Silk Road”.
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28. Electricity Production:
• Quaid-e-Azam Solar Power Park Bahawalpur was also a project dependent on
CPEC .This plant is producing 100MW energy .
• $35 Billion is being spent by China to construct 19 power plants.
• This huge investment promises to bring 12,114MW of energy to Pakistan to
overcome all crisis.
• CPEC involves the development of transmission line on urgent basis from Matiari to
Lahore with the length of 878 km .
INDUSTRIAL COOPERATION:
• Establishment of free industrial zones is one of the key areas of CPEC and are
considered as a trustworthy strategy for economic growth and employability into
an economy .
• It is expected that with the completion of CPEC the FDI will be much higher in
Pakistan due to increased industrial activity.
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29. TRANSPORT INFRASTRUCTURE:
• Transport infrastructure will involve the road network, railways, highways and
energy tunnels.
• 2500–3000 km roads will connect Gwadar port with Kashgar with the cost of
9784 million USD.
• Pakistan will shift the trade routes with China and other countries from sea and
air to cheapest land transportation
GEOGRAPHICAL SIGNIFICANCE:
• Pakistan’s geographical location makes it a connecting point between South Asia,
Central Asia, China and the Middle East.
• Due to the location of Pakistan, China made the road tracks ,because this will not
only prove beneficial for Pakistan but also for China because it is the main trade
route to many countries.
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30. GWADAR PORT:
• Gwadar port is located in Gwadar, Baluchistan on the Arabian Sea.
• In connection with OBOR, Gwadar will play a pivotal role in the development of the
landlocked Central Asian region. Total of 792.62 million USD4 investment has been
allocated to the development of Gwadar through following projects:
1. Development of Gwadar University.
2. Forty types of businesses would be in Gwadar industrial free zone.
3. Special projects will be initiated for the promotion of fisheries.
4. $4.8 Billion is being spent by China in developing Gwadar to be the busiest
shipping port in South Asia by 2022.
• Over 500,000 professionals are expected in the city by 2023.
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31. Sub-Projects:
• Karachi-Peshawar 1872km long railway track and Kotri-Attock 1,254
km long railway track will be upgraded with the help of $5 Million
amount allocated for the purpose.
• As a CPEC subproject, initially, specialized economic zones are to be
developed that are expected to boost up struggling economy of the
country by providing new opportunities especially for the local
communities of underdeveloped areas across Pakistan, e.g., KPK and
Baluchistan will be the biggest beneficiaries of this subproject.
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32. OTHER PROJECTS DUE TO CPEC:
• Lahore Line Metro Train.
• 19 Power Plants.
• Sahiwal’s Coal Fired Power Plant.
• Karakoram Highway Phase 2.
• 2.5% projected annual growth for Pakistan via CPEC.
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33. DISADVANTAGES AND REACTI0N OF OTHER COUNTRIES
Threat to local manufacturers:
China industrialization in Pakistan leads the local industries to be in
threat.
It disturbs the local industries.
Difficult to compete with chine s product in market.
Due to free trade agreement(FTA) with china leads to lack of
competition.
Dependence on China:
It leads to dependency on china.

34. Comprising sovereignty:
Under the project Pakistan is giving land track in some areas like the
city of Gwadar on the lease to Chinese investor.
This means that we are giving control to foregin power.
Debt:
It is thought that with the worsening economic situation in Pakistan ,
Pakistan may enter a debt trap.
Like the Sri Lanka , they too were in a massive debt situation after
China undertook massive infrastructure project.so the Hambontota
port was leased to china for 99 years.

35. Reaction of other countries:
India feel it as a threat for them.
India has done many tries to stop because he don’t want to see as a
developed country .
He also arise a issues of Kashmir dispute over the matter of course and
Baluchistan as independent province .
America don’t want to see China as a no 1 developed country so they are
supporting India and other countries to create hurdles.

36. CONCLUTION:
To conclude this topic,
it is evident that this corridor is like a bunch of flowers
for Pakistan as well as for China.As it plays an important role in
improving the economy of Pakistan so this project will surely be a
sign of Pak-China frienship.It will also improve the relations of
Pakistan with other countries like Afghanistan, Iran, etc. So, the
conclusion must be that this project is a corridor of prosperity for
both the regions.