CPEC stands for ‘China Pakistan Economic Corridor‘. It is a very vital part of China’s Belt and Road Initiative. For Pakistan, it is a huge developmental boost. Apart from trade benefits, China can maintain its presence in Central Asia as it wants to be a global superpower. One of its ends is in the Xinjiang province of Chian and then it passes through the whole of Pakistan and ends at the Gwadar port.

In 2015, China and Pakistan signed a $46 billion deal (it has now gone to $62 billion) for the commencements of the CPEC Projects.

Types of CPEC Projects:

  • Infrastructure Development: Development of highways and rail infrastructure in Pakistan to enhance the connectivity. Pipelines will be laid out for transporting LNG. Security infrastructure will also be taken into account to protect these massive developments.
  • Energy Priority Projects: These include setting up of hydro, thermal and wind powerplants in Pakistan. The energy produced from these plants will be used by China and Pakistan both. Pakistan will have to buy a certain amount of electricity from these plants every year. The energy projects will shift the power-producing plants using coal out of China’s national boundary.
  • Gwadar: Apart from the development of the Gwadar port, the whole of Gwadar city will be turned to a smart port city. Developments like Gwadar International Airport, highways, clean water supply, Pakistan-China Friendship Hospital, Housing Projects, creation of university will be undertaken.
  • Other Projects: These include cross border optical fibre cable, metrological developments etc.
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Impact on China:

  • The impact of this project on China can easily be understood by the fact that the CPEC was included in its 13th Five Year Development plan. CPEC will provide China with an alternate and a much smaller route for its energy supplies. China is the largest importer of oil in the world, and the sea route passes through Strait of Malacca (where the US Navy patrols timely), the disputed South China Sea, the Indian Ocean. The sea route is 12000 km long and in adversaries can be blocked by China’s enemies. Through CPEC the distance to be covered is just 6000 km and is much more secure.
  • The CPEC is in sync with China’s Western Development plan. With the better connectivity and facilities under the CPEC program in the Xinjiang province, public and private investments will rise. This also includes the areas of Tibet and Qinghai.
  • Chinese imports and exports to Africa, Europe, the Middle East will increase and shipment time and distances will decrease.
  • Strong presence in Central Asia and the Indian Ocean.

Impact on Pakistan:

  • It will have a mixed impact on Pakistan. On the one hand, it will bring immense development, improved connectivity, creation of jobs etc. in Pakistan. But on the other hand, it will burden Pakistan with an enormous debt of around $10 billion. It will be very difficult for Pakistan to bail itself out of it and may end up compromising its sovereignty like Sri Lanka.


  • Providing security to all the infrastructure in terrorism influenced country like Pakistan.
  • Opposition by the people living in Gwadar, as they feel that the project won’t be as fruitful for them as promised.
  • Baloch nationalists have also opposed such large-scale development fearing that it will exploit the resource-rich region.
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Indian Concern:

India’s only concern is that the CPEC passes through the POK, which undermines India’s sovereignty.

Copyright @ Group Discussion Ideas.

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  • Lalit rajput, May 17, 2020 @ 10:44 pm Reply

    Yes China Pakistan economic corridor is a big threat to India as India wants its territory back from Pakistan claimed region Pakistan occupied Kashmir gilgit-baltistan and Muzaffarabad and if China become successful in getting the influence over Pakistan then it will be more difficult for India to getting back its territory from the China combination Pakistan as now it we have the only one enemy as Pakistan but after the implementation of this diplomatic and political thinking of China over the region which is a territory of India India will have to face both countries East and West directions

  • Pranav Rishi, Dec 24, 2019 @ 4:40 pm Reply

    It’s China’s wit resulting into control over poor countries…. It has burdend Pakistan with 10 billion $ as debt which probably would take a lot of time for it to bail out losing it’s sovereignty… China already has done same with Sri Lanka seizing control over port …..

  • Twinkle, Nov 4, 2019 @ 8:12 am Reply

    China has tried to exert influence in the Asian region over the years, through initiatives like one belt one road, String of pearls, CPEC. and it has reserved the position of being a regional power . The growing influence of china is a political and diplomatic threat to India . China has been seen as an all weather friend of Pakistan since years, this concerns our country ,as our borders are affected by the terrorist activities that are sponsored by Pakistan .and the region of POK which is still today a legal part of India, is the part of the economic corridor, which is a threat to sovereignty of India in POK region.

  • shubham singh, Sep 4, 2019 @ 9:49 pm Reply

    India has an issue with both China and Pakistan because of Pakistan with support of china want to pressurize India in this region. Another one is China used POK without talking with India that is a big mistake of china. Pakistan has terrorist groups. how is it possible security of project and infrastructure development?

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