CPEC (CHINA-PAKISTAN ECENOMIC CORRIDOR)

Introduction
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, India, Central
Asian Republic, and the region. The enhancement of geographical linkages having improved
road, rail and air transportation system with frequent and free exchanges of growth and people
to people contact, enhancing understanding through academic, cultural and regional
knowledge and culture, activity of higher volume of flow of trade and businesses, producing
and moving energy to have more optimal businesses and enhancement of co-operation by win-
win model will result in well connected, integrated region of shared destiny, harmony and
development.
China Pakistan Economic Corridor is journey towards economic regionalization in the globalized
world. It founded peace, development, and win-win model for all of them.

CPEC Vision & Mission

To improve the lives of people of Pakistan and China by building an economic corridor
promoting bilateral connectivity, construction, explore potential bilateral investment, economic
and trade, logistics and people to people contact for regional connectivity.
It includes:

Integrated Transport & IT systems including Road, Rail, Port, Air and Data
Communication Channels
Energy cooperation
Spatial layout, functional zones, industries and industrial parks
Agricultural development & poverty alleviation
Tourism cooperation & people to people communication
Cooperation in livelihood areas
Financial cooperation
Human Resource Development

CPEC Significance/Potential
China-Pakistan Economic Corridor has Significance for the development of the region
Potential areas of cooperation/development include:
Regional Connectivity;
o Transport Infrastructure
o Energy Hub/flows
o Logistic Hub/flows
 o Trade & Commerce
o Peace & development of region
o Connectivity/Harmonization/Integration of civilizations
Diverse Investment opportunities
Industrial Cooperation
Financial Cooperation
Agricultural Cooperation
Tourism
Educational linkage
Human resource development
Health Care
People to people contact
Increase in livelihood opportunities
Enhance Security and stability of the region

What are the principles guiding the construction of CPEC?

As a large and systematic project, which covers 2013-2030, CPEC needs joint and unremitting
efforts by governments, companies and all social sectors of China and Pakistan. In the process
of its construction, both sides agreed on the principles of scientific planning, step by step
implementation, and consensus through consultation, mutual benefit and win-win results, as
well as ensuring quality and safety. Both sides agreed to make the list of prioritized or early
harvest projects as well as the long-term plan for CPEC. The prioritized or early harvest projects
mean the projects which will be completed before 2018 or 2020 (for hydro power projects).
CPEC is a vision with the long-term planning up to 2030. In the process of planning and
construction of CPEC, both sides agreed that the governments of the two countries should play
the guiding role, and the companies as market entities should make investment in line with
market rules. Both the governments and the companies, with clear division of work as well as
collaboration, could work together to promote CPEC with constant progress.

What fields does CPEC cover?

According to the consensus reached by the two countries, both sides agreed to promote a
1+4 pattern of economic cooperation, featuring a central role of the CPEC and four key areas
including the Gwadar port, energy, transportation infrastructure and industrial cooperation, so
as to achieve win-win results and common development. In the medium-to-long term, both
sides will explore and expand the cooperation fields to finance, science and technology,
tourism, education, poverty elimination and city planning, etc., so as to meet the demands of
deepening and expanding of China-Pakistan all-round cooperation, and play a better role in
leading and promoting substantive cooperation between the two countries.
Transportation Infrastructure
The China-Pakistan Economic Corridor envisions an extensive overhaul of the existing transportation
infrastructure in Pakistan and laying out of new routes for the facilitation of transit trade and enhancement
of market accessibility.

As an essential part of the CPEC, China and Pakistan have joined hands to building the transportation
infrastructure stated below.

Project Name Company Name Status Progress

KKH Phase-II (Havelian-Thakot China Road and Bridge

Under construction 60%
Section),120 km Corporation

China State Construction

Karachi-Lahore Motorway (Sukkur-
Engineering Corporation Under construction 60%
Multan Section),392 km
Limited

Joint Feasibility Study for Up

Government Framework
gradation of ML1 and Establishment China Railway 40%
Agreement Signed
of Havelian Dry port

Upgradation of ML-1 (Multan-Lahore

Section, 339 km; Hyderabad-Multan Feasibility Study
TBD 15%
Section, 749 km; Kemari-Hyderabad Completed
Section, 182 km)

New Havelian Dry Port TBD Feasibility stage 15%

Khuzdar-Basima Highway (N-30), 110

TBD Feasibility stage 15%
km

KKH Phase III(Raikot-Thakot

TBD Feasibility stage 15%
Section)280km

D.I.Khan-Quetta Highway (N-50),

TBD Feasibility stage 15%
533km