China-Pakistan Revamp of Economic Corridor and Gwadar Port: Implications for India

Why in News?

China and Pakistan aim to revamp the China-Pakistan Economic Corridor (CPEC), focusing on the Khunjerab Pass, Karakoram Highway upgrade, and Gwadar Port development. This has strategic implications for India.

What Happened

China and Pakistan are jointly planning to revamp the China-Pakistan Economic Corridor (CPEC), with a focus on upgrading the Karakoram Highway, improving connectivity through the Khunjerab Pass, and further developing the Gwadar Port. These efforts aim to enhance trade and economic cooperation between the two countries. The discussions highlight the strategic importance of CPEC for both China and Pakistan, particularly in light of regional geopolitical dynamics.

Background & Context

The China-Pakistan Economic Corridor (CPEC) is a collection of infrastructure projects under construction throughout Pakistan since 2013. Originally valued at $47 billion, the projects were later increased to $62 billion. CPEC is intended to rapidly modernize Pakistani infrastructure and strengthen its economy by the construction of transportation networks, energy projects, and special economic zones. Gwadar Port is a key component of CPEC, offering China strategic access to the Arabian Sea.

Key Facts & Data Points

• CPEC was launched in 2013.
• The Karakoram Highway is the main overland link between China and Pakistan.
• Gwadar Port is a deep-sea port located in Balochistan, Pakistan.
• Khunjerab Pass is a high mountain pass on the China-Pakistan border.
• The initial investment in CPEC was $47 billion, later increased to $62 billion.

UPSC Relevance

Papers: GS2, GS3, Prelims

Topics: India and its neighborhood relations, Bilateral, regional and global groupings and agreements involving India and/or affecting India’s interests, Infrastructure: Energy, Ports, Roads, Airports, Railways etc.