Chinese firm protests hurdles in ADB project

Company urges NHA to ensure fairness, transparency; seeks removal from blacklist to resume work


Our Correspondent August 27, 2025 2 min read
A worker walks past inside the Asian Development Bank (ADB) headquarters in Manila. Photo: Reuters/ File

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ISLAMABAD:

A Chinese firm that won a multi-million-rupee road project has raised concerns over delays caused by different entities, warning that such hurdles could undermine transparency and discourage fair competition.

According to documents available with The Express Tribune, NINGXIA Communication Construction Co Ltd (NXCC), which leads the consortium awarded the Asian Development Bank (ADB)-funded CAREC-III (N-55 Additional Carriageway: Rajanpur-DG Khan-DI Khan, Lots 1-4) project, urged the National Highway Authority (NHA) to ensure equal treatment of bidders.

In a letter responding to NHA's request for additional documents, the company said it had already prepared, notarised, and submitted all required papers with its bid. While assuring full cooperation, it requested that any further requirements be referenced against specific clauses in the bidding documents to ensure compliance.

The firm objected to demands for additional records such as detailed payment records, bank statements, and tax certificates, saying these went beyond the original tender scope. While assuring readiness to engage constructively, it warned it may consult its government and seek legal recourse if fairness is compromised. "We urge NHA to reconsider whether such documents should be subject to review. We will also conduct legal diligence on the tender documents and reserve the right to initiate legal proceedings," the letter stated.

The company stressed that under international best practices and ADB principles, any discriminatory review or unequal treatment of bidders is prohibited. It reaffirmed commitment to the timely completion of the project.

NXCC has also written to the Economic Affairs Division (EAD) to remove its name from the blacklist, insisting it has never been blacklisted in Pakistan or abroad. It called reports of blacklisting "factually inaccurate" and damaging to its reputation.

The firm cited legal proceedings from 2023, when the Islamabad High Court referred the Lodhran-Multan project dispute to arbitration. On March 20, 2024, the court appointed Engr Zafar Hussain Siddiqui as Sole Arbitrator, who issued his award on November 19, 2024. The award was submitted to the court on December 16, 2024, and later made Rule of Court on May 29, 2025. NXCC confirmed full acceptance of the award.

The company told EAD it is ready to resume work on the Lodhran-Multan project once it receives the commencement letter from NHA. It stressed that judicial findings proved the project's termination unlawful and unjustified.

In earlier letters, NXCC asked NHA to reaffirm publicly that it was never blacklisted. It warned that continued delays could raise costs, damage public trust, and hurt both parties. The firm reiterated full acceptance of the Arbitral Award and readiness to mobilise immediately once NHA issues the recommencement directive. It noted the prolonged suspension has already caused major financial, reputational, and developmental losses to stakeholders.

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