Sino-Pakistan Economic and Trade Relations: Status Quo and Challenges

Abstract

Economic and trade cooperation are progressing smoothly between China and Pakistan on the basis of existing good mutual trust in the politics. After construction of Sino-Pakistan economic corridor in the future, regions in the South Asia, Central Asia, Middle East and North Africa, etc. can be closely linked together by economic and energy cooperation with the formation of economic resonance, while strengthening the strategic position of Pakistan as a bridge and a link between the Eurasian continent and Africa. But at present, the bilateral economic and trade cooperation is facing many difficulties including deterioration of the domestic security and energy shortage, moreover, the existence of unfavorable factors regarding bilateral trade and investment imbalances, foreign exchange control and other specific issues poses a severe challenge for the future development of economic and trade cooperation between China and Pakistan. Therefore, the two countries need to make joint efforts and attach great importance to the development of bilateral economic and trade cooperation from a strategic height with priority in the energy and infrastructure cooperation for the planning and construction of bilateral economic corridor, so as to enhance economic and trade cooperation and realize common development.