Pakistan and China to Continue Industrial Cooperation Despite Failed PSM Deal

Pakistan and China are expected to sign a bilateral framework agreement on industrial cooperation under the China-Pakistan Economic Corridor (CPEC), Dawn News reported on Friday. This decision has come despite Pakistan’s declining the negotiated divestment of Pakistan Steel Mills (PSM) to Chinese firms. The newspaper report quoted sources saying that a Chinese delegation has been engaging with Pakistan authorities for a government-to-government (G2G) deal on PSM. Earlier, the Framework Agreement on Industrial Cooperation was expected to be signed during the Joint Cooperation Committee of the meeting tentatively scheduled in the last week of March, the news report added. In a statement issued a while ago, then-Minister for Industries, Hammad Azhar, said that CPEC was of “utmost importance for Pakistan” as it would enhance industrial production, upgrade energy and communication infrastructure, and improve connectivity with the region. CPEC would generate abundant employment and investment opportunities in Pakistan and beyond, he added. According to a recent statement, the Finance Minister, Hammad Azhar, has stressed the need for the early completion of projects falling under the umbrella of CPEC. He noted that time was of the essence in meeting project deadlines so the economic benefits could reach the people of both countries and contribute towards overall economic growth and development.