China Pakistan Economic Corridor:

Abstract

In the changing regional geo-political scenario China, Pakistan and other regional countries are set to play a vital role in the emerging regional economic corridor. China Pakistan Economic Corridor (CPEC) as part of “One Belt, One Road” grand strategy connect countries with China through economic collaboration extending from South East Asia to the Europe through maritime and land routes comprised of emerging markets of Africa and Middle East energy resources. This paper has investigated the significance of CPEC in parlance of theoretical framework of complex interdependence because the phenomenon of interdependence has tied state and non-state entities in economic and strategic dimensions. Regional connectivity results from systematic, upgraded and need-based interaction in perspective of CPEC for socio-economic, industrial, energy and trade development. CPEC is important not only for Pakistan and China but also for the other regional countries such as Afghanistan, Central Asian Republics, Iran and India. As international and regional politics follows interest’s game hence CPEC has also become matter of concerns for both regional and international players which has been amply illustrated by this research. These concerns are followed by arguments that CPEC may be seen in a broader perspective of interdependency with emphasis on strategic and economic dimensions guaranteeing regional connectivity and integration. CPEC can serve as a main trade avenue not only for China and Pakistan but for Central Asian Republics, Afghanistan, Iran and India as well. This study has argued that CPEChas the potential of becoming an energy transit corridor for growing economies. It has advantagesfor India also in form of improved infrastructure, communication and access to CARs market. Simultaneously it imparts an opportunity of flourishing and trade to the Afghanistan’s industries. Iran can also have benefit by ensuring Chabahar port outstretched to CPEC. CPEC has potential geopolitical risks as hostile environment of South Asia and the respective power rivalry and policy shift of world powers towards this region as manifested by the US pivot to Asia and the former concern over Chinese presence in the Arabian Sea in Asian region, Gulf states considering of Gwadar Port as rival port, Indian opposition of CPEC by arguing that it passes through Pakistan’s held Kashmir on which India has also claim. China and Pakistan in order to escape proxy tussle in Baluchistan need to settle Indian apprehension about the project, Confidence Building Measures (CBM) must be incorporated in order to promote closer ties with Afghanistan, Pakistan must attempt for having stable relations with Iran in order to overcome impediments to the CPEC success. By making CPEC a reality the benefits will be reaped by whole region and the very enmity of India with Pakistan and China can be turned into mutual beneficial economic relations. If India becomes a partner in the project then certainly the concerns of India will be settled down.