China Pakistan Economic Corridor CPEC

It was back in 1990s and the first approach to Pakistan from china about connecting China’s western province to the Arabian Sea came in 1999.Gawadar port ( China Pakistan econimic corridor ) was built in the mid-2000s.

The key agreement for project to be listed under the China Pakistan Economic Corridor (CPEC) was signed in 2013 and the term sheets for them was signed during president Xi Jinping’s visit to Pakistan in 2015.


CPEC is a project of Chinese leadership’s overarching initiative of One Belt One road and envisions connecting Kashgar city with Gawadar Deep Sea Port through highways, railways, and pipelines. The fact that make this corridor unique is that it affords the vital link Eurasian land route and maritime silk route envisaged under OBOR.


The CPEC project is a massive project to improve infrastructure within Pakistan for better trade with China. The China Pakistan Economic Corridor is a mega project which will link the Gawadar port in Pakistan to Xinjiang in China. The China Pakistan Economic Corridor is a 3000 kilometer network by 2030 will throw open avenues for commerce and cooperation with China and other member. Countries of this economic trade link having highways, railway lines, pipelines and energy project that will generate 16,400 MW of electricity.

The china Pakistan Economic Corridor is also known as North South economic corridor. It is combine project of China and Pakistan, the main objectives of the CPEC project is to enhance the capabilities of trading and transportation among both countries. The China has a keen interest in Gawadar port and in CPEC Project. It was proposed in 2013. Originally valued at $46 billion. The value Of CPEC projects is now worth $ 62 billion.

The CPEC projects links the China’s strategy to develop its western region with Pakistan‘s focus on boosting its economy, including the infrastructure construction of Gawadar port, together with some energy cooperation and investment programs. It involves roads, and railway construction including an upgrade of the 1,300 km Karakoram Highway, which is the highest international road and Pakistan across the Karakoram Mountains.  

A CPEC project is a beneficial project for the China which will reduce the China’s routes of oil and gas import from Africa and Middle East by thousands of kilometers, making the Gawadar a potential vital link in the China’s supply chain.

Investment Project

The CPEC is an ongoing development project which aims to connect Gawadar port of Pakistan to China’s north western region of Xinjing through a network of highway, motorway, and railways. The corridor is an extension of China‘s proposed 21st century Silk Road initiative. This is the biggest overseas investment by China the investment on the corridor will transform the Pakistan into a regional economic hub. The corridor will be a confidence booster for investors and attract the investment not from China only but also from other places. This economic corridor will also provide Pakistan with telecommunication and energy infrastructure.

Main Components Of Corridor

  • The main components of the corridor is
  • Gawadar (including port, city and Gawadar region)
  • Energy (coal, wind, LNG, etc)
  • Investment and industrial cooperation.
  • Transport infrastructure.

Major Projects

CPEC Includes the Various Sections

  • Railway
  • Karachi Peshawar Motorway
  • Gawadar Port
  • Thar Coal Power Station
  • Transport Infrastucture
  • Alignment of CPEC


Railway-Network-of-cpec - techjow
Railway-Network-of-cpec – techjow

The railway link is one of the major project that connect North West province of Pakistan with China’s western region Xinjiang. This route would serve as a transportation route for goods and other business between the two nations.

Karachi Peshawar Motorway

Highway Route of CPEC
Highway Route of CPEC

The Karachi Peshawar motorway is projected to be a transportation hub in Pakistan. The new route would open the commercial and financial capital, connecting the coast of Arabian Sea and Peshawar. It is expected that the road network across Pakistan will boost the transportation, making it easier, cheaper, for the business.

Gawadar Port

view of gawadar port

The Gawadar port is the major hub of international business backed up by the Chinese investment. The strategically available port at Gawadar is the major project for trade and economic development. The Chinese are also establishing an international airport and the development of new city to serve the port. This development in Gawadar region will transform the entire area by bringing international investment, providing an economic boost to the country.

Thar Coal Power Station:It is one of the major project in CPEC. China Machinery Engineering Corporation is leading the construction of the mega project. The coal resources will come from the region that will ignite the power plant.

The plant will be operational in a couple of is projected that this power plant along with several other solar and hydro projects established within the country will help to minimize the energy deficit for the nation.

Transport Infrastructure

transport infructure of CPEC
transport infructure of CPEC

The transport infrastructure consists of the fixed installations including roads, railways, airways, waterways, canals, and pipelines and terminals such as airport railway stations.

Alignment of CPEC

The CPEC Project has three alignment.

  • Western alignment
  • Eastern alignment
  • Karakoram highway:

Western Alignment

The western alignment refers to the portion of CPEC which are located in the Pakistani provinces of North Western Punjab, Khyber Pakhtunkhwa and Balochistan.

Eastern Alignment

The eastern route consists of M2 (Lahore_ Islamabad Motorway) M3 (Lahore _ Faisalabad Motorway) M5 (Lahore_ Karachi Motorway) cities are Lahore Multan, Sukkar, Hyderabad Karachi, Makran, coastal highway connect Karachi and Gawadar Port in Pakistan.

 Karakoram Highway

The Karakoram highway is located in Punjab and Gilgitbaltistan and it ruins approximately 1300km from Kashgar a city of Xinjing province of China to Abbottabad of Pakistan.

Advantages if COEC for Pakistan

  • It will boost our economy.
  • It will enhance Pakistan’s strategic importance as a bridge between the European, Africa and Asia continents.
  • It will help Pakistan in dealing with its energy problems with projects coal_ fired, solar power plants in Bahawalpur, thatta, Narran, Sahiwal.
  • The corridor aims to promote the construction and connectivity of transportation, communication, technology and industrial development.
  • Gawadar port constructed under CPEC is a hub for the central Asian republic.

Disadvantages of CPEC for Pakistan

          Some of the disadvantages are given below.

  • The major disadvantage of CPEC is expected in decline in Pakistan export market.
  • Disturb of local industries.
  • Difficult to compete china’s product in market.
  • Increase the ratio of unemployment.


CPEC is a game changer for the region not only Pakistan and China will get benefit but all other other countries will also get benefit as well. Definitely the companies of other countries which export goods and services to China would like to use the proposed route because of less shipping cost and transit time. Land located central Asian countries (Afghanistan, Tajikistan, Turkmenistan, and Uzbekistan) would also get benefit of shortest way to sea port of Gawadar which is only at a distance of 2500 km as compared to Iran (4500 km) and turkey (5000km)

Related : Top 10 Online Shopping Sites In Pakistan 2018

  1. barkat ullahkhan says

    salam bhai i need a little help.i needs daraz .pk history in pdf file.i have comparison with china online marketing. i will write my ms thesis and comparison with china online market.
    i will be very thankfully of you.if you help me

    1. Zia Salhi says

      well i dont have the file in dpf file

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