China/Pakistan: For years, Pakistan projected its relationship with China as an “all-weather friendship,” with the China-Pakistan Economic Corridor (CPEC) presented as the strongest proof of that strategic bond. But from an economic perspective, the picture is becoming far more complicated.
As highlighted in a report by Drop Site News, the slowdown in CPEC progress shows that not everything is smooth between Islamabad and Beijing.
Of the nearly 90 projects originally planned under CPEC, only 38 have been completed so far. Another 23 are still under construction, while nearly one-third have not even started. More importantly, no major flagship project has been added in recent years, raising serious questions about the future of Chinese investment momentum in Pakistan.
The last major project completed was the Gwadar East Bay Expressway in 2022. Since then, progress has slowed sharply. One of the most important planned projects—ML-1, the modernization of Pakistan’s main north-south railway line—has been delayed again and again. It was supposed to be the centrepiece of CPEC’s second phase, but repeated deferments now reflect both financing concerns and trust issues.
Prime Minister Shehbaz Sharif’s 2024 visit to Beijing was expected to unlock fresh Chinese funding and revive stalled projects. Instead, he returned without securing major new commitments, which many analysts saw as a sign that China is becoming more cautious about expanding its financial exposure in Pakistan.
One major reason is Pakistan’s growing unpaid dues to Chinese power producers. Chinese companies poured huge investments into Pakistan’s energy sector under CPEC, but delayed payments and rising circular debt have become a major irritant. Beijing is increasingly worried that its companies are not getting paid on time, causing financial stress and denting investor confidence.
Security has become another serious economic concern.
Chinese engineers and workers involved in CPEC projects have repeatedly come under attack. Since CPEC began, 21 Chinese workers have reportedly been killed in attacks inside Pakistan. This has deeply affected Beijing’s confidence. In 2024, Chinese Ambassador to Pakistan Jiang Zaidong openly criticized the Pakistani state for its inability to ensure the safety of Chinese nationals, in a rare blunt public statement.
That kind of public criticism is rare in China’s diplomacy and shows how serious the concerns have become.
For Beijing, CPEC was never just an infrastructure project; it was also a strategic and economic investment to connect western China to the Arabian Sea and strengthen regional trade routes. But political stability, financial discipline and security are essential for that vision to work.
Pakistan, however, continues to face all three problems at once: economic instability, IMF-linked fiscal pressure, and rising militant threats.
This has changed the nature of the China-Pakistan partnership. Instead of aggressive expansion, Beijing now appears focused on protecting existing investments rather than announcing new ones.
The symbolic friendship remains strong, but the economic relationship is under visible strain.
China is still Pakistan’s biggest strategic partner, but the days of easy money and fast project approvals seem to be fading. CPEC, once marketed as a game-changing economic revolution, now reflects a more difficult reality: strategic partnerships survive on trust, but large-scale investment survives on repayment, security, and delivery.
Right now, those are exactly the areas where Pakistan is struggling the most.
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