CHINA-PAKISTAN ECONOMIC CORRIDOR (CPEC): A REVIEW ON OPPORTUNITIES AND CHALLENGES FOR SINDH’S LOGISTICS AND TRANSPORT ECONOMY

Abstract

The China-Pakistan Economic Corridor (CPEC) is one of the most transformative projects of the twenty-first century, designed to strengthen trade, connectivity, and development across South Asia, Central Asia, and the Middle East. Anchored within China’s Belt and Road Initiative (BRI), CPEC links Gwadar Port in Baluchistan with Kashgar in China’s Xinjiang region through a vast network of highways, railways, pipelines, and special economic zones. For Pakistan, the project promises to address structural weaknesses in energy supply, transport infrastructure, and industrial productivity. Sindh, in particular, stands as the pivotal province in this development due to its ports, industries, and financial hubs. The potential benefits for Sindh include job creation, modernization of logistics, industrial clustering, and enhanced trade integration. However, alongside these opportunities lie significant challenges, including security concerns, environmental degradation, governance weaknesses, and risks of industrial displacement. This paper critically evaluates these opportunities and challenges through a descriptive analysis based on secondary sources. The findings suggest that the success of CPEC depends not only on the construction of infrastructure but also on the implementation of transparent governance, sustainable environmental policies, and protective frameworks for domestic industries. Sindh’s logistics and transport economy could emerge as a regional powerhouse if these challenges are strategically managed. The study concludes that inclusive growth, equitable benefit distribution, and regional cooperation are essential for ensuring that CPEC fulfills its potential as a catalyst for Pakistan’s socio-economic transformation.