Security and weak trade challenge China’s ambitions for Pakistan’s Gwadar port

Pakistan’s Gwadar port is struggling to deliver the strategic and commercial benefits China expected from the China-Pakistan Economic Corridor, according to a report by India Today. The port was intended to become a deep-sea gateway to the Arabian Sea and an alternative route to the Indian Ocean. China also viewed the project as a way to reduce its dependence on the vulnerable Malacca Strait for trade and energy supplies.

The report says geography has weakened that ambition. The route from China’s Xinjiang region to Gwadar crosses difficult terrain, including the Karakoram Highway, where high elevations, landslides, avalanches and extreme weather limit its suitability for high-volume container traffic. Security has added another problem.

Insurgent groups in Balochistan, including the Baloch Liberation Army, have repeatedly targeted Chinese interests and personnel. The groups accuse CPEC projects of exploiting local resources without adequately benefiting the Baloch population. Pakistan has deployed dedicated security formations to protect Chinese workers, convoys and infrastructure, but attacks have continued.

The additional security burden has increased the cost of projects that were partly justified by their potential economic efficiency. Commercial activity at Gwadar has also remained weak. The report says major shipping companies continue to favour established hubs such as Dubai, Salalah and Karachi, while planned special economic zones around Gwadar have not generated the expected industrial activity.

Analysts cited by the report say China is frustrated by the slow pace of CPEC. They attribute delays to Pakistan’s political instability, economic problems, security situation, corruption concerns and technical shortcomings. The report says China planned to invest at least $60 billion, but questions whether Gwadar can produce adequate returns or replace existing maritime routes.