Pakistan and China Deepen Trade Ties and Expand CPEC Amid Regional Tensions
Amid renewed geopolitical shifts in South Asia, Pakistan and China have agreed to bolster economic ties, extend strategic infrastructure projects into Afghanistan, and maintain high-level diplomatic coordination. The agreement came during a visit by Pakistan’s Foreign Minister Ishaq Dar to Beijing, where he met Chinese Foreign Minister Wang Yi for bilateral and trilateral talks.
Strategic Push for Bilateral Trade and Economic Cooperation
On May 20, 2025, Ishaq Dar and Wang Yi held talks aimed at reinforcing what both sides termed an “all-weather strategic cooperative partnership.” The two ministers reaffirmed their commitment to expanding bilateral trade, boosting industrial and agricultural investments, and enhancing financial and technical collaboration.
Both nations emphasized the importance of strategic coordination in the face of economic and regional challenges. The meeting highlighted mutual priorities such as energy infrastructure, industrial parks, and cross-border logistics frameworks that support long-term trade facilitation.
Expansion of CPEC into Afghanistan
A key outcome of the meetings was the formal decision to expand the China-Pakistan Economic Corridor (CPEC) into Afghanistan. In a trilateral meeting with Afghanistan’s Acting Foreign Minister Amir Khan Muttaqi, Pakistan and China agreed to extend the infrastructure network as part of a broader regional integration plan under China’s Belt and Road Initiative (BRI).
The extension into Afghanistan includes proposed road and energy linkages that could transform regional connectivity and open new trade corridors through Central Asia. The three sides agreed to hold the next round of talks in Kabul to finalize implementation details.
Regional Stability and China’s Diplomatic Signaling
Chinese Foreign Minister Wang Yi reiterated Beijing’s support for Pakistan’s sovereignty and its stance on regional peace. He also welcomed ongoing efforts to reduce hostilities between Pakistan and India following the recent ceasefire.
While not explicitly referencing the India-Pakistan conflict, Wang Yi noted that “dialogue and diplomacy remain the only sustainable path” and said that China continues to advocate for peaceful regional development.
The statement signals China’s intent to maintain strategic balance while advancing economic interests through regional platforms such as CPEC and BRI.
Future Outlook: Deepening Pakistan-China Strategic Alignment
The outcomes of these meetings signal a new phase in Pakistan-China relations, especially as both countries confront economic challenges and shifting geopolitical alignments. The integration of Afghanistan into CPEC adds a new dimension to the initiative, offering opportunities but also raising concerns over stability and implementation risks.
By reinforcing trade ties and regional diplomacy, both countries aim to create a buffer against global economic volatility and Western disengagement from Central Asia. The focus on multilateral cooperation and long-term infrastructure projects illustrates a shared vision of regional integration rooted in economic pragmatism and strategic mutuality.
