From Islamabad, Pakistan’s capital, it’s just a short drive northwest on Highway 1 to reach the Rashakai Special Economic Zone, located in the Khyber Pakhtunkhwa province. This zone is notable as the first special economic area featuring Chinese elements under the China-Pakistan Economic Corridor framework, led by a project company established by China Road and Bridge Corporation. The entire zone is planned to cover approximately 406.7 hectares.
As you enter the park, you’re greeted by modern office buildings and manufacturing facilities. Wu Yuxing, the project manager for the Rashakai Special Economic Zone, shared insights about the industrial development plans. “The Rashakai Special Economic Zone will be developed in three phases, with plans to attract a variety of industries, including machinery, household appliances, food processing, textiles and leather, home construction materials, and logistics,” he explained.
He emphasized that due to its prime transportation and geographical advantages, the Rashakai zone aims to boost the industrial economy in Pakistan’s northwest region. Since its completion last March, the zone has established a comprehensive infrastructure, drawing on successful domestic industrial park models and leveraging the practical experiences of local talent to effectively cater to the needs of incoming businesses.
During the visit, a standard factory building was already in place. Ashraf Uleghzai, head of the public utilities department at the Rashakai Special Economic Zone, noted, “Some of the investing companies require facilities for storage and logistics. Therefore, we’ve constructed this standardized factory, which is heat-resistant and waterproof, equipped with essential water, electricity, and fire safety facilities to facilitate our investors.”
He further mentioned that “at least 25 potential investors have shown interest, with 10 companies already investing in sectors such as steel smelting, pharmaceuticals, medical devices, and mobile parts manufacturing.” The zone has also established a one-stop service window at the entrance to streamline the investment process for newcomers.
Syed Wajid Bukhari, CEO of the Pakistan Steel Manufacturers Association, expressed his enthusiasm over the launch of the Rashakai Special Economic Zone as a positive signal emanating from the China-Pakistan Economic Corridor. “This development is significant not just for Pakistan but also serves as good news for foreign investors,” he stated.
Industrial collaboration remains a key focus for the high-quality development of the China-Pakistan Economic Corridor. Wu Yuxing stated that “the Rashakai Special Economic Zone is prioritizing the implementation of industrial cooperation plans between the two governments, further enhancing overall infrastructure and support services.”
“Our operational teams from both China and Pakistan are committed to transforming Rashakai into the highest-quality special economic zone in Khyber Pakhtunkhwa, fostering enhanced cooperation between China and Pakistan in the industrial sector,” he concluded.