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Volume 2, Number 3

THE CHINA-PAKISTAN STUDY CENTRE (CPSC)The Institute of Strategic Studies Islamabad (ISSI)

IN THIS ISSUE1 Pakistan, China Signed Cultural Agreement

2 China Grants Concessions to Pakistan

3 Pakistan, China to Enhance Parliamentary

Exchanges

4 PTDC to Establish Motels along CPEC Route

5 China to Build CPEC Institute at Gwadar

6 CPEC to Provide Equal Benefits

7 British Media Delegation Visits ISSI

8 Maritime Economy and the Geo-politics of

Indian Ocean Rim

Editor

Dr Ahmad Rashid MalikContact:The China-Pakistan Study Centre (CPSC)Institute of Strategic Studies IslamabadSector F-5/2 - Islamabad 44000Email : cpsc@issi.org.pkTel : +92-51-9204423-4, 9214729Web : www.issi.org.pk

Pakistan, China Signed Cultural Agreement

Pakistan and China have signed Executive Programme of Cultural Agreement for further consolidating cultural relations and promoting people-to-people contacts between the two States. Minister of State for Information, Broadcasting, National History and Literary Heritage, Marriyum Aurangzeb and Chinese Minister of Culture Luo Shugang signed the agreement on behalf of their respective countries. Ambassador of Pakistan to China and senior officials of both the countries were also present on the occasion.

The main features of the agreement include cooperation in the realm of Broadcasting and Films, Culture and Art, Education and Research, Press and Publication, Sports and Youth and Miscellaneous. The agreement stipulates that the two sides will strengthen the mutual cooperation in technology field of radio broadcasting, films and television between State radio, films and television organisations of both the countries. The two sides shall strengthen the news sharing mechanism between Pakistan Broadcasting Corporation and China Radio International.It will also encourage the artists from the two sides to carry out academic exchange in the field of culture and arts. Promotion of exchange between art galleries, theatres, archival institute and cultural relic; restoration labs of each other’s country is also a part of the agreement. Based on mutually-agreed terms and conditions, Lok Virsa may organise a week-long exhibition on Pakistani folk arts and crafts in China. The exhibition aims at introducing the folk life and status quo of cultural heritage of Pakistan to the Chinese through photos, audios and videos. Reciprocally, Lok Virsa will accept a similar exhibition from China.

In education and research both sides shall support the exchange and cooperation between the China Scholarship Council and

the Higher Education Commission of Pakistan. The two sides shall facilitate the Pakistani side to send and finance the young teaching staff to pursue master’s degree/doctoral degree in China. In Press and publication, the two sides shall exchange a six-member delegation relating to Press and publication for a period of seven days, and encourage the publishing institutions to participate in the international Book Fair held in each other’s country. In the field of Sports and Youth the two sides shall strengthen the exchange of sports and continue to support the visits of a 100-member youth delegation.

In her meeting with the Chinese Minister of Culture before the signing ceremony, the Minister of State said that the relations between the iron brothers and strategic partners were deeper than oceans and higher than mountains and were based on mutual trust and respect. She expressed the confidence that China-Pakistan Economic Corridor (CPEC) would take the bilateral relations between the two countries to new heights. Marriyum said that people of both countries wanted to enhance the cultural collaboration and, added, that President Xi Jinping’s vision of Belt and Road Initiative (BRI) was a historic milestone not only for the countries along the belt and road, but also the region and beyond. The Minister said that relationship between Pakistan and China had been further strengthened by CPEC, a flagship project of BRI. She said that after signing the agreement, there was a greater responsibility on both the countries to strive for time bound implementation process. She said that during the 19th Congress of the China Communist Party (CPC), President Xi Jinping stressed upon cultural exchanges as the fourth core component of the BRI. The Minister said that the economic cooperation, infrastructure development, energy projects Continued on Page 2

From Page 1and the people-to-people exchanges would enhance contacts, and share and promote the heritage of both the countries. She said that the relationship between Pakistan and China had been embedded into our culture, adding, that the Ministry of Information, Broadcasting and National History and Literary Heritage was actively pursuing the cultural contacts between the two States. She informed her host that during last year, CPEC Cultural Caravan was organised from Xinjiang to Gwadar.

She observed that the agreement would translate into extensive cultural contacts between the two countries and also impart sustainability to the cultural ties. The Minister of State proposed mutual photography exhibition at the Pak-China National Culture Centre in Islamabad and also the grant of cultural scholarship to students in universities. She also proposed to establish an FM Radio with an access along the CPEC route in Pakistan.

Marriyum Aurangzeb particularly mentioned the Chinese Cultural Counsellor in Pakistan who made this agreement a reality. Chinese Minister for Culture Luo Sugang welcomed the Minister and her delegation and said that China and Pakistan had special relations and friendly bonds particularly after the visit

of President Xi Jinping to Pakistan in 2015. He said that CPEC as flagship project of BRI was not only a corridor for economic and trade activity, but it also was a conduit to enhance cultural exchanges between the two brotherly countries. He invited the Minister of State to attend the Silk Road Cultural festival scheduled to be held in China in September this year. He also thanked the government of Pakistan for helping in establishing China Cultural Center which was inaugurated in Islamabad last year, adding, that till now 38 different types of events including exhibitions and performing arts had been introduced in less than a year.

The Chinese Culture Minister said that the two countries could work together in archaeology and heritage preservation and offered Chinese assistance for establishment of archaeology and heritage centre in Pakistan. We can provide training to archaeological professionals in this centre, he said.

Among other things, Marriyum Aurangzeb and Luo Shugang discussed the future plan in regards to the establishment of Pak-China National Cultural Centre, Cultural Film Academy and Pak-China Cultural Sister College and University. The proposal of holding International Cultural CPEC Conference as well as exhibition of Pakistani movies in Chinese cinemas also came under discussion. Minister

China’s R&D Spending up

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China Grants Concessions to PakistanPakistan and China have agreed to revise the bilateral trade agreement under which Pakistani exporters could get the same tariff concessions China gives to its trading partners in the ASEAN region. The amended China-Pakistan Free Trade Agreement (CPFTA), which was initially signed in 2006, is expected to be signed next month in Islamabad, the Ministry of Commerce said. The negotiations to revise the trade pact were launched in 2012 in an effort to address the rising imbalance in bilateral trade. The trade deficit between the two countries rose from US$4.7 billion in fiscal year 2014-15 to US$8.9 billion in 2016-17, according to the State Bank of Pakistan’s data.

Pakistan says the huge deficit is due to the import of machinery from China for the CPEC-related projects. Another factor which impacted Pakistan’s exports to China was the duty concessions granted by China to ASEAN countries. China’s decision to give preferential treatment to the Asia-Pacific countries eroded the competitive and preferential advantage that Beijing had committed to Pakistan. The goods that were subject to 3% custom duties on import from Pakistan to China can be imported from the Pacific neighbors by Chinese people at zero duties. Keeping this in mind, during the FTA-II talks Pakistan sought the same tariff concessions China

afforded the Southeast Asian countries. During the ninth round of negotiations on China-Pakistan FTA held in China on February 7-8, the Pakistani delegation led by Secretary Commerce Mohammad Younus Dagha presented the demands of Pakistani exporters and industries for accommodating in the final draft of the CPFTA. The demands included those from exporters to provide tariff concessions equivalent to the ASEAN countries.

The Pakistani side also suggested incorporating clauses for safeguarding the industries and the economy from any undue pressure on the balance of payments position. China also agreed on electronic data exchange which will help reduce chances of under invoicing, another major concern of Pakistani industry. The Chinese delegation was led by Chinese Ministry of Commerce Vice Minister Wang Shouwen and comprised 16 officials of various ministries. After intense negotiations for two days, the Chinese side agreed to accommodate these concerns and demands in the amended FTA which is expected to be signed in March when the Chinese vice minister will visit Islamabad along with his delegation.

The Express Tribune (Islamabad), February 10, 2018 (Condensed)

China’s spending on research and development (R&D) grew faster in 2017 as the country continued to push for innovation-driven development. Preliminary calculations showed that R&D spending rose 11.6 percent year-on-year to 1.75 trillion Yuan (about US$280 billion) in 2017, 1 percentage point higher than the spending in 2016, the National Bureau of Statistics (NBS) said. The spending accounted for 2.12 percent of China’s gross domestic product, 0.01 percentage points higher than the previous year. Chinese enterprises spent more than 1.37 trillion Yuan on R&D last year, up 13.1 percent from 2016, while R&D spending at government institutions and colleges increased 7 percent and 5.2 percent respectively. Some 92 billion Yuan, or 5.3 percent of the total spending, was put into fundamental research in 2017, up 11.8 percent from a year earlier, the NBS said.

According to the 13th five-year plan for national science and technology talent development (2016-2020), China will increase its annual per capita spending on R&D to 500,000yuan by 2020, up from 370,000 Yuan in 2014. China had 5.35 million people working in R&D at the end of 2015, the world’s largest pool of R&D personnel.

Xinhua (Beijing), February 13, 2018

of State and Minister of Culture, China both emphasised the need of formal agreement in establishing archaeological centre in Pakistan and joint production of Pak-China cultural documentaries. “CPEC being a route of peace and prosperity is also a cultural corridor and would further encourage people-to-people contacts,” Marriyum said. China and Pakistan will work closely to upgrade preserve and rehabilitate archaeological sites in Pakistan, she added.

The Nation (Islamabad), February 7, 2018 (Condensed)

3 Newsletter The China-Pakistan Study Centre

The Early Harvest Projects under China Pakistan Economic Corridor (CPEC) have created more than 30,000 direct jobs for Pakistanis while the mid-term and long term projects under CPEC are poised to create hundreds of thousand employment opportunities in the country. According to official documents, the figure of employment opportunities under CPEC would further go up as CPEC would generate around 800,000 jobs over the period of next 15 years. Presently, the mega energy projects under CPEC portfolio contributed majority of jobs where 16,000 Pakistanis are hired as laborer and engineers. Port Qasim Coal Power project is the top one which created job opportunities for 5,000 Pakistanis.

Sahiwal Coal Power Plant Project and Zonergy Solar Power Project stand second in the list with 3,000 jobs each. “Around 300 to 500 engineers are working on these energy projects which will surely help in transfer of knowledge to these sectors, thus helping the country to have its own trained human resource” said official documents. With implementation of two more project in energy sector; Sukki Kinari and Karot, would generate around 6,000 jobs for Pakistani engineers and workers. Huge number of Pakistani civil and electrical engineers could grab this opportunity where hydropower projects are under execution.

Besides, energy portfolio, CPEC Transport Infrastructure Sector stands second in creating around 13,000 jobs for locals.

The data shows that 9,800 Pakistanis are working on Peshawar-Karachi Motorway (Multan Sukkur Section), the biggest infrastructure project under CPEC. The data further shows that KKH Phase II Havelian provided jobs to 2071 locals, Orange Line Metro Lahore created employment for 956 people and Fiber Optic project created 580 posts for Pakistanis. Development of Free zone project at Gwadar has created 404 direct jobs with additional 2,000 indirect employments. It is estimated that this project would create thousands of job opportunities for locals; soon it will be made fully functional with establishment of different industries.

Construction work on ML-1 project of Pakistan Railway, Karachi Circular Railway, Gwadar Airport, Eastbay Expressway at Gwadar and other road projects are soon to be started as both the sides have agreed in principle to start these projects in 2018. “These projects could further create around 10,000 to 15,000 direct jobs this year” the data suggested. The facts and figure clearly indicated that more than 75 percent Pakistanis are employed on CPEC projects, a fact which is contrary to the propaganda being spread by anti CPEC forces. Besides, such a huge direct employment, the CPEC projects which are in construction phase have created thousands of indirect jobs and brought a boom for construction industry as steel and cement manufacturers are fully engaged in multiplying their production.Business Recorder (Islamabad), February 8, 2018

Three Chinese experts’ groups are arriving Pakistan in March for preparation and early kick off of CPEC Industrial Zones. They will also review energy project progress and explore the way forward in oil and gas sector.

The experts’ groups, working under Joint Working Groups includes industrial experts, experts of energy group and sub-group on oil and gas sector. Energy experts will review the progress on the CPEC energy projects and will also discuss the inclusion of new hydropower projects in the CPEC portfolio. The hydro projects located in AJK, GB and KP will be the main focus of the experts’ interaction. Regarding the industrial expert group, the main focus will be the industrial cooperation particularly in the Special Economic Zones(SEZs).

The SEZs will be developed in phases and in the first phase the economic zones of Sindh, Punjab and KP will be developed. Chinese Small and Medium Enterprises (SMEs) are showing interest in the SEZs, which is encouraging and will help the early completion of SEZs. The third group is a sub-group on oil and gas, of the main Joint Working Group on Energy, to further explore ways for the oil and gas cooperation between the two countries under CPEC.

The Nation (Islamabad), February 15, 2018 (Condensed)

Chinese Groups to Review

CPEC Projects

More Than 30,000 Jobs Created

Volume 2, Number 3 March 2018

Members of the Pak-China Parliamentary Friendship Group in Senate and the Chinese Ambassador to Pakistan Yao Jing have agreed on enhanced Parliamentary exchanges between the two countries to add to the historic bilateral relationship between the two countries, says a press release issued by Senate Secretariat.

The meeting of the friendship group was held with Senator Saleem Mandviwala in the chair here at the Parliament House on 22nd February and was attended among others by Senator Taj Afridi, Sehar Kamran, Daud Achakzai, Kalsoom Parveen, Sassui Palijo, Chinese Ambassador to Pakistan Yao Jing and

Director General China from Foreign Office Ms. Ayesha Ahsan. During the meeting both sides also agreed on the importance of taking Parliamentarians into confidence on the developments on CPEC. Chinese Ambassador welcomed the idea of regular interactions with the members of friendship group as well as with Senators from provinces that are a vital part of China Pakistan Economic Corridor. The DG China gave a comprehensive briefing on political system of China, its state organisational structure, Pakistan China bilateral relations, parliamentary exchanges, economic and trade relations, developments in the Free

Trade Agreement between the two countries, Foreign Direct Investments, work on CPEC and way forward for enhanced interactions. The briefing was followed by an interactive question answer session in which Senators’ raised pertinent questions, which were responded to by the Ambassador. Convener of the Committee stressed upon bridging the gap of information that lies among different stakeholders on the development and scope of CPEC. He observed that regular interaction will diminish the doubts that arise due to uncertainty.

Pakistan Observer (Islamabad), February 25, 2018

Pakistan, China to EnhanceParliamentary Exchanges

Minister of State for Information and Broadcasting Marriyum Aurangzeb said Pakistan will get benefits from Chinese experience in film making sector. She was talking to Vice President Shanghai Film Group Chungping Xu in Shanghai on 8 February. She said that both countries will exchange the experiences in film making according to agreement signed between Pakistan and China. She welcomed the Chinese offer for exhibition of Pakistani Film and Dramas in China. She announced that Pakistan will take part in the Film Mela which will be held in Beijing and Shanghai next year.Radio Pakistan (Islamabad), February 9, 2018

Pakistan to Benefit from Chinese Experience in Film Making

4 Newsletter The China-Pakistan Study Centre

PTDC to Establish Motels along CPEC RouteThe Pakistan Tourism Development Corporation (PTDC) has decided to make motels along the China Pakistan Economic Corridor (CPEC) route for facilitating the tourists in an excellent environment. Abdul Ghafoor—the Managing

Director of PTDC said that Pakistan Tourism Development Corporation is trying to obtain land along the CPEC route for constructing motels to provide accommodation to both the local and foreign tourists. He indicated that tourism sector is one of the most significant sectors for the growth of the nation’s economy. In this matter, PTDC has contacted all the four provinces for joining hands in an attempt for encouraging and developing the tourism sector.

He said that PTDC is required to have space on the entry and exit points of the CPEC route for taking up productive initiatives for providing awareness to the tourists relating any updates or whatsoever relating tourism. Abdul Ghafoor said that CPEC

would definitely be improving the quality of tourism services between the two countries which would have lasting effects on the socio-economic development and growth. Last month PTDC launched its city-wide bus touring service in the federal capital. This

was again a good step of PTDC for facilitating people as everyone could now take bus tours to the significant places of the city and that too in a reasonable amount. With the advent of CPEC Pakistan is becoming an important country in the eyes of genuine investors and visitors.

Owing to CPEC a rise is anticipated in the number of visitors coming to Pakistan thus generating business opportunities for the airlines as well as the hotel industry. As per reports, Pakistan is also planning to launch e-visa services to the tourists and visitors thus making the visa acquiring procedure much easier.

The News International (Rawalpindi), February 14, 2018

China on 22 February said it appreciates the measures taken by the Government of Pakistan for the safety of its citizens. A spokesman of the Chinese Foreign Office Geng Shuang said at a regular news briefing that the Pakistani side has taken a series of important measures for effectively protecting the corridor projects and the safety of Chinese citizens. “China appreciates this,” he remarked. “We hope and believe that Pakistan will continue to step up its work to ensure the safety of the economic corridor between Pakistan and China,” he added.

The security of the construction of the China Minsheng Banking Cooperation (CMBC) has also been consulted by both the Chinese and Pakistani governments, he said. When asked whether China has been engaged in a dialogue

with the separatist forces in Baluchistan, the

spokesman said that he never heard of such arrangements. Meanwhile, Adviser to the Overseas Security Service Specialized Committee of the Beijing Security Association Cheng Xizhong said Pakistan and China needed to give extra care to the safety of the Chinese citizens in wake of inimical forces repeating attempts to hamper the growing cooperative partnership between the two countries. In practical terms, it’s important that the host government and cooperative partners take primary responsibility for the safety of Chinese-funded enterprises, institutions and their personnel, he said. According to Cheng, state-owned enterprises and private enterprises were already paying increasing attention to the safety of institutions and personnel of overseas Chinese-funded

enterprises. They have constantly studied and perfected their safety precautions, he said. He further said that some overseas construction projects of Chinese-funded enterprises are backed by government aid and some are commercial ventures. However, regardless of this difference, they are helping the social and economic development of the country where they are located, he added. Thus, local military and security departments are entirely responsible for the security of Chinese-funded enterprises and institutions, Cheng said, adding that this point must be clearly made when signing government agreements or commercial contracts. In the meantime, Chinese-funded enterprises and institutions should maintain close communication with the military and security authorities in the country of residence throughout the construction process, he observed.

He advised that they should keep in close contact with administrative, military and police intelligence units, mass organizations and local overseas Chinese. They should donate funds to local schools, hospitals and communities when conditions permit and hold some recreational activities to create a safe and harmonious working and living environment, he added. Early in February, a shooting incident took place in Karachi where Chen Zhu, an employee of an affiliate of China’s COSCO Shipping Lines in Pakistan was killed. In recent years, overseas Chinese-funded institutions and personnel have been frequently victimized by terrorist attacks, armed hijackings and criminal activities. Some of these incidents have resulted in deathsPakistan Today (Islamabad), February 22, 2018

China appreciates Pakistan’s security measures for safety of its citizens

Volume 2, Number 3 March 2018

5 Newsletter The China-Pakistan Study Centre Volume 2, Number 3 March 2018

China to Build CPEC Institute at Gwadar

China would build Pak-China Technical and Vocational Training Institute at port city to fulfil the required technical and skilled manpower of maritime for the deep-sea port. The institute will help fulfilling maritime technical and skilled manpower requirements of the port after the development of industrial projects including the Gwadar Port Free Zone, Export Processing Zone and other industrial and port-related projects.

The provincial government has allocated land for the project which is scheduled to

be completed in a period of three years. This project is proposed to shape and enhance skills of active population of Gwadar to participate in the growth of the Port City. The institute will comprise of a main building, which will have two blocks, an administration block, four workshops, cafeteria, hostels, parking areas, an examination block and a teachers lodging facility, the government has already allocated the land for the project.

UrduPoint (Lahore), February 14, 2018 (Condensed)

Pak-China Joint Chamber of Commerce and Industry (PCJCCI) on 7 February initiated ‘Pak-China Inter Industrial Mobility Programme’ with the collaboration of E-commerce Gateway Pakistan, with a prime objective to mobilize the potential industries of both China and Pakistan through a series of trade fairs, exhibitions, conferences and symposiums.

In this regard, a launching ceremony was held here at PCJCCI secretariat for the official commencement of this programme where Muddassar Tipu, Consul General of Pakistan in Chengdu, was the chief guest, while prominent business leaders including Federation of Pakistan Chambers of Commerce and Industry (FPCCI) Vice Chairman Chaudhry Arfan Yousaf, Chinese nationals, entrepreneurs and various renowned industrialists were also present.

Business Recorder (Islamabad), February 8, 2018 (Condensed)

Pakistan-China Inter-Industrial Mobility Programme Launched

AJK Minister for Sports and Culture Ch. Muhammad Saeed said that China-Pakistan Economic Corridor will open new vistas of speedy socio-economic progress and prosperity in Azad Jammu & Kashmir side by side the rest of the country.

He said that one of nine special economic zones, approved under the CPEC across the country, will be established over 12,000 kanal of land in Mirpur, the industrial hub of AJK. He said that the mega industrial estate to be established under the CPEC will bring about economic revolution through new opportunities for business and investment for the people of this region.

The Nation (Islamabad), February 13, 2018 (Condensed)

CPEC to Open New Vista of Uplift CM Punjab Shehbaz Sharif Discusses

Progress on CPEC

Punjab Chief Minister Muhammad Shehbaz Sharif on 14 February visited the Chinese Consulate and met with the Chinese Consul General Mr. Long Dingbin. During the meeting, different matters of mutual interest including Pak-China relations and progress on CPEC related projects came under discussion. Speaking on the occasion, the Chinese Consul General said that Chief Minister Shehbaz Sharif has set a record by completing different projects with unprecedented speed. Shehbaz Sharif has played a marvellous role for his country with his vision and hard work.

New standards of development have been set in Punjab due to Shehbaz Sharif’s committed leadership. He said that the Chinese

leadership also acknowledges the hard work of Shehbaz Sharif. He also said that CPEC projects have been promoted in a transparent manner and they are an example of its own. China is standing alongside you in the journey of development, he added. Shehbaz Sharif said that Pak-China relations have turned into strong economic ties and bilateral relations between both the countries are touching new heights in present era. He appreciated the fact that Chinese leadership has proved its friendship by supporting Pakistan in every hour of trial. The Chief Minister said that Pakistani economy has been strengthened due to Chinese investment to the tune of billions of dollars.

He said that not only Pakistan but the whole region will benefit from CPEC which is a project of unusual development and prosperity and it has also changed the dynamics of the region. Our friends are happy over the CPEC, while the enemy is in pain due to this marvellous project. No conspiracy can encumber the CPEC and due to the completion of energy projects, Pakistan has got rid of the darkness of load-shedding. Chinese Consul General also hosted a banquet in honour of Chief Minister Shehbaz Sharif.

UrduPoint (Lahore), February 14, 2018 (Condensed)

6 Newsletter The China-Pakistan Study Centre Volume 2, Number 3 March 2018

Counterpoint’s report on the global sales of smartphones in both the last quarter and the whole of 2017 are in. And, while they continue to make good reading for Apple and Samsung, they both need to look over their shoulders at the rapid rise of Chinese manufacturers.Xiaomi, for example, sold 83 per cent more phone units in Q4 2017 than it did in the equivalent period the year before. Oppo is

also going very strong, having sold 32 million phones in the same quarter and 121.1 million across the whole year - securing fourth spot in the overall market share chart.

Then, of course, there is Huawei, which sold 153.1 million phones in 2017, a rise of 10 per cent year-on-year.Pocket-lint, February 2, 2018

The Pakistan National Council of the Arts (PNCA) will host a cross-country cultural caravan, which comprises of Pakistan and neighboring China. PNCA will be holding three grand events in March including the CPEC Cultural Caravan Festival, an artists’ convention and the closing ceremony of the ninth national art exhibition. Government has recently approved the Project Concept-II for the National Film Academy and has provided Rs55 million to conduct a feasibility study and a design competition for the academy. Moreover, the Government has approved another five PSDP projects including the National Centre of Excellence for Performing Arts, upgrading technical facilities for film projection, building a restaurant along with a souvenir shop at PNCA, installation of a multi-lingual multimedia information system for visitors of the National Art Gallery and the open air theatre.

The Express Tribune (Islamabad), February 16 2018 (Condensed)

CPEC to Provide Equal Benefits

Parliamentary Committee on China-Pakistan Economic Corridor (CPEC) Chairman Mushahid Hussain Syed said that CPEC was a future project of Pakistan and it would provide equal benefits to all provinces. Talking to PTV, he said that CPEC would bring economic revolution in the country, adding that international airport, hospitals, university and vocational training colleges had been constructed in Gwadar. Completion of many power projects launched by the incumbent government under CPEC would help in overcoming energy crisis, he said and added that mining of Thar coal was underway which would further strengthen the national economy.

He also said that industrial zones would be established across the country as this project was focusing on the construction of Gwadar Port, industrial zones, western route and overcoming energy crisis. He added, “We are achieving immediate results from CPEC as an immense unemployed youth were working in the project. Women are driving bulldozers for the development of the country.”

He further said that China is the all-weather friend of Pakistan and CPEC would create understanding and people-to-people contact between the two nations. Commenting on parliamentary committee for CPEC, he said that members of the committee had visited many places to resolve reservations of the masses.

The chief ministers of four provinces had attended the meetings on CPEC and the national consensus was already evolved in that regard, he added.

Pakistan Today (Islamabad), February 25, 2018

China Taking Over World’s Phone Market

CPEC Cultural Caravan

British Foreign Secretary, Boris Johnson, has said that the United Kingdom is hugely interested in the China-Pakistan Economic Corridor (CPEC) and would like to benefit

British Interest in CPECfrom opportunities arising from the initiative. He was talking to Minister for Interior Affairs Ahsan Iqbal, who called on him in London and discussed a wide range of issues of common interest. The minister is on an official visit to the United Kingdom. Ahsan briefed Johnson that Pakistan was undergoing a remarkable transformation as a result of the improved security situation, impressive economic growth, and consolidation of democratic institutions. He said that Pakistan greatly appreciated UK’s role as its important trade and investment partner. He informed the Foreign Secretary in detail about Pakistan’s efforts to eliminate extremism and terrorism from the country. Johnson commended Pakistan’s economic reforms agenda, saying the country had great potential for economic growth. He particularly appreciated Pakistan’s counter-terrorism efforts to bring about peace in the region and the world at large.

Pakistan Today (Islamabad), February 14, 2018 (Condensed)

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British Media Delegation Visits ISSI

The Institute of Strategic Studies Islamabad (ISSI) hosted a four-member Media Delegation from UK on February 6, 2018.

The delegation included: Mr. Patrick Wintour, foreign Editor, Guardian, Mr. Mathew Symond, Defense & Diplomatic Editor, The Economist, Mr. Freddy Gray, Deputy Editor, The Spectator and Mr. Roland Oliphant, Moscow Correspondent, Daily Telegraph. The meeting was chaired by Ambassador Khalid Mahmood, Chairman ISSI.

The interactive discussion mainly focused on

China-Pakistan Economic Corridor (CPEC), growing US-India strategic relationship to balance China’s influence and its implications for Pakistan, and its nuclear program. Peace in Afghanistan and the mounting presence and threat of Daesh in Afghanistan were also extensively covered. Ambassador Mahmood briefed the visiting delegates on the emerging geo-political and geo-strategic situation in the region following the changing dynamics due to paradigm shift and new alignments. Dr. Ahmad Rashid Malik, Director China-Pakistan Study Centre (CPSC) at ISSI, gave a brief account on CPEC and told the delegates that a

number of energy and infrastructure projects under the emblem of Early Harvest Program (EHP) have been completed in a short period of 33 months.

Pakistan is now producing 1,224 MWs surplus electricity and has added another 8, 000 MWs to the national grid. CPEC is mainly an economic project and $35 billion were earmarked for energy production while ensuring the international standards through green projects, he added. Briefing the delegation on the situation in Afghanistan, Ms. Amina Khan, Senior Research Fellow at the Institute, commented that US Afghan policy has been an exercise in futility, and that its military approach is not likely to bear fruit. In fact, according to some reports, more than 70% of Afghanistan is now under the control of Taliban.

Qasim Mustafa, Senior Research Fellow at ISSI informed the delegates that Pakistan holds regular sessions with IAEA. It has around 28,000 security personnel guaranteeing the safety and security of its program.

Report by Dr Ahmad Rashid Malik, CPSC

The China-Pakistan Study Centre (CPSC) has published its first book titled China’s New Silk Road to Development: Reinvigorating the China-Pakistan All-Weather Friendship. The edited book is based upon collection of papers on the China-Pakistan Economic Corridor contributed by the researchers of the CPSC.

New Books Published on CPECChina’s New Silk Road

to Development: Reinvigorating the Sino-Pakistani All

Weather Friendship

Gwadar: Balance in Transition

Islamabad Paper - 36

Economy and Ecology as Factors of Pakistan’s Regional Integration in an Asian Context

By Wolfgang-Peter Zingel

The Yunan University Press in the People’s Republic of China has published a new bi-lingual volume in Chinese and English, title, Gwadar: Balance in Transition, authored by Azhar Ahmad, HoD, Humanities and Social Sciences, Bahria University, Islamabad. The book presented a detailed account of history of Gwadar Port as the fulcrum of the China-Pakistan Economic Corridor. The CPSC plans to publish its local edition in English.

Report by Dr Ahmad Rashid Malik, CPSC

This paper transmits the idea that economy and ecology play an important role in regional integration in Asia, and looks especially at Pakistan’s relations with the neighbours.

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‘The India-ASEAN Commemorative Summit and the Chinese Response’Issue Brief, 14 February 2018Institute of Strategic Studies Islamabad

‘Winter Olympics on the Korean Peninsula’Dr Ahmad Rashid MalikDaily Times (Lahore)10 February 2018

‘Emerging geo-economics under CPEC’Dr Ahmad Rashid MalikThe Nation (Islamabad)21 February 2018

‘CPEC’s legal dimension’Dr Ahmad Rashid MalikThe Nation (Islamabad)12 February 2018

8 Newsletter The China-Pakistan Study Centre

Designed by Sajid Zaidi

Volume 2, Number 3 March 2018

Lt. Gen. (Retd) Nasser Khan Janjua gave a detailed presentation on emerging maritime economy economic and geo-politics of the Indian Ocean on 22 February. He talked about human resources, consumer markets, natural markets, development scope, and connectivity potential in Asia. He said that the Indian Ocean is known for being a strategic conduit of commerce, and provides the foundation for trading systems that underpins Asia’s economic importance. He said that great power rivalries are being aggravated in Asia: China and Russia are being taken as challengers, the region has become more competitive than cooperative. He said that Pakistan has to multiply its potentials to re-alter the region and become a massive trade corridor. He stated that India and Pakistan should resolve their disputes and look towards the future. Chairman ISSI, Ambassador Khalid Mahmood, spoke about the importance of maritime economy. He said that the Indian Ocean is the key transit region for inter-continental trade and Pakistan would do well to exploit this to its full potential. He said that Gwadar is not going to be an ordinary port, it will be the lynchpin of CPEC’s multi-billion strategic investment because of its location, and that it will survive the challenges of modern shipping. Other speakers also presented their views on the maritime economy in the Indian Ocean.

Report by Dr. Ahmad Rashid Malik, CPSC

Maritime Economy and the Geo-politics of Indian Ocean Rim

Khojaly Massacre - Crimes Against Humanity

This year marks the 26th anniversary of the Khojaly massacre. In this regards, a seminar was organized at the Institute of Strategic Studies Islamabad (ISSI) in collaboration with the Embassy of the Republic of Azerbaijan on 20 February.

Chief Guest at the occasion, Lt. Gen. (Retd) Nasser Khan Janjua stated that the

sufferings of both the people of Kashmir and Azerbaijan are common. Both countries share identical position on both the Nagorno-Karabakh and Kashmir conflict.

Ambassador of Azerbaijan to Pakistan, Ali Alizada, gave a detailed overview of the Khojaly genocide. Turkish Ambassador to Pakistan, Ihsan Mustafa Yurdakul, said

that Azerbaijan’s suffering is Turkey’s suffering and said that humanity is not doing enough to resonate this pain in collective memory, nor is it doing enough to prevent these crimes from taking place again. Chairman ISSI, Ambassador Khalid Mahmood, said that the ethnic cleansing of Azerbaijanis constituted the crime of genocide in terms of the 1948 UN Convention on the Prevention of the Crime of Genocide. He reminded that the Foreign Relations Committees of the National Assembly and Senate in Pakistan unanimously passed a resolution in 2012 and 2017 condemning the occupation of Azeri territories by Armenia. Report by Dr. Ahmad Rashid Malik, CPSC

Chinese New Year

A two-day exhibition on China’s New Year took place at the Ministry of Foreign Affairs on 27-28 February. The exhibition displayed the portraits of China related to its New Year in the exhibition hall of the MOFA.

Professor Marvin Weinbaum at ISSI

Professor Emirates Marvin G. Weinbaum from the Middle East Institute (MEI) was a special guest speaker at the Institute of Strategic Studies Islamabad and gave a talk on “Current US strategic thinking about Afghanistan.’’