KEY POINTS
- Pakistan proposes China–Gwadar–Africa logistics corridor.
- Shandong Xinxu eyes the Integrated Maritime Industrial Complex in Gwadar.
- MoU signed in July 2025 outlines shipbuilding, recycling, and aquaculture.
- Dongjiang zone firms invited for shipping, warehousing, and fleet leasing.
ISLAMABAD/BEIJING: Pakistan on Thursday made a fresh push to expedite Chinese investment in the ports and shipping sector by materialising plans of an extended trade corridor to Africa from China.
Pakistan’s Federal Minister for Maritime Affairs Muhammad Junaid Anwar Chaudhry intensified efforts to secure Chinese investment in the country’s maritime and ship recycling areas, proposing the establishment of a China–Gwadar–Africa logistics corridor during meetings with top Chinese executives in Beijing, officials in Islamabad told WE News English.
Meetings with Chinese firms
In a meeting with Shandong Xinxu Group Corporation on September 4, Chaudhry welcomed the company’s proposal to establish an Integrated Maritime Industrial Complex in Pakistan.
He assured Chinese executives that Islamabad would extend facilitation in “land allocation, utilities provision, and regulatory approvals,” while pressing the group to ensure that ship recycling facilities comply with the Hong Kong Convention (HKC) on safe and environmentally sound ship recycling, as well as European Union regulations.
“Pakistan is committed to developing maritime facilities that meet international environmental and safety benchmarks. Any new ship recycling initiative must be HKC and EU-compliant,” Chaudhry was quoted as saying by the Ministry of Maritime Affairs in a press release issued Thursday.
He also informed Shandong executives that the Pakistan National Shipping Corporation (PNSC) is expanding its fleet.
He invited the group to consider joint ventures for new builds, leasing, or feeder services linked to Gwadar Port.
Proposals for developing dry dock and floating dock facilities at Port Qasim and Gwadar, alongside EU-certified fish processing and aquaculture research centres, also came under discussion during the meeting.
Later in the day, the minister met with officials at the Tianjin Dongjiang Comprehensive Free Trade Zone (TDFTPZ) — China’s leading shipping, leasing, and logistics hub.
According to a statement from TDFTPZ management, Chaudhry explored “ship financing and leasing models to expand PNSC’s fleet without upfront capital costs,” targeting Aframax tankers, container ships, and bulk carriers, in particular.
Chaudhry invited Dongjiang firms to invest in bonded warehouses, cold-chain facilities and bulk cargo handling in Gwadar.
“Gwadar can serve as a staging point for Chinese goods destined for Africa and the Middle East,” the minister said, formally proposing the creation of a China–Gwadar–Africa logistics corridor. He further requested a Dongjiang investment delegation to visit Gwadar in late 2025.
In another session, Chaudhry held discussions with FANJIEYUN International, a Chinese frozen food and meat importer, regarding the use of Gwadar as a bonded warehousing and transhipment hub.
He proposed a feasibility study for freight operations and the revival of feeder vessel services at Gwadar.
Background: July MoU with Shandong
Thursday’s meetings build on an MoU signed in July 2025 between Pakistan’s Ministry of Maritime Affairs and Shandong Xinxu Group, under which the Chinese conglomerate agreed to conduct a feasibility study for setting up an Integrated Maritime Industrial Complex at Gwadar.
The agreement covered shipbuilding, ship repair, ship recycling, aquaculture and seafood processing facilities, according to a joint statement released after the signing on July 16 in Islamabad.
The MoU also envisaged “technology transfer and training programs for Pakistani maritime professionals,” the statement said. Officials estimate that once implemented, the complex could attract $2–3 billion in phased investment and generate “tens of thousands of direct and indirect jobs” in Balochistan.
Projected benefits for Pakistan
Maritime experts say the projects under discussion could reshape Pakistan’s logistics landscape. According to the Pakistan Business Council (PBC), the country imports over 90 per cent of its crude oil and more than 60 per cent of general cargo through sea routes, while its merchant fleet capacity meets less than 10 per cent of domestic demand.
Expanding PNSC’s fleet through Chinese financing and leasing models could save “hundreds of millions of dollars annually” in freight payments, the council noted in an August policy paper.
Economist Dr. Vaqar Ahmed of the Sustainable Development Policy Institute (SDPI) recently said that developing Gwadar as a logistics hub “could position Pakistan as a transhipment node between East Asia, the Middle East, and Africa,” bringing long-term dividends in customs revenue, port charges, and employment.
Ship recycling, under the HKC compliance, could add another revenue stream. “Pakistan’s current shipbreaking operations at Gadani lack international certification, which restricts access to European markets,” Ahmed said.
“If Gwadar facilities are built to HKC and EU standards, Pakistan could tap into a lucrative segment of the global market.”
Next steps
The Ministry of Maritime Affairs confirmed that feasibility studies for the Integrated Maritime Industrial Complex will be launched later this year, with initial technical assessments expected by December 2025.
A Dongjiang business delegation is also scheduled to visit Gwadar “before the end of 2025” to explore investment in warehousing and shipping services, according to the officials.
Chaudhry, who is accompanying the Prime Minister on a broader investment-seeking mission to China, framed Gwadar as a “regional trade and logistics hub” under the China-Pakistan Economic Corridor (CPEC) framework.
“Gwadar is not just Pakistan’s gateway,” the officials added in Beijing. “It is the shortest and most cost-effective maritime bridge between China and Africa.”
