Pakistan, China advance talks on $2.2b industrial complex at Port Qasim

Pakistan and China advanced discussions on a major maritime industrial project at Port Qasim, as a five-member delegation from China’s Shandong Xinxu Group met Federal Minister for Maritime Affairs Muhammad Junaid Chaudhry to review plans for an Integrated Maritime Industrial Complex (IMIC), Associated Press of Pakistan reported.

The proposed project, valued between $1.1 billion and $2.2 billion, aims to revitalise Pakistan’s maritime and heavy industrial base. The delegation was led by Shandong Xinxu Group chairman Hou Jianxin.

According to the statement, the IMIC is expected to focus on three key components: the revival of the Iron Ore and Coal Berth jetty—commonly known as the steel jetty—the establishment of shipbuilding and shipbreaking facilities, and the setting up of a modern steel mill integrated with port operations.

The steel jetty, originally intended to serve Pakistan Steel Mills, is capable of handling bulk iron ore and coal shipments. It can accommodate vessels ranging between 55,000 and 75,000 deadweight tonnes and is linked to the mill through a conveyor system stretching between 4.5km and 8km, connecting stockyards and blast furnaces.

Chaudhry welcomed the group’s interest and directed the delegation to submit an unsolicited proposal detailing a comprehensive roadmap for the project. He asked for clearly defined concepts, implementation timelines, and technical, financial and environmental feasibility assessments.

The proposal, once submitted, will be reviewed by a joint committee comprising officials from the Ministry of Maritime Affairs and the Shandong Xinxu Group, led by Additional Secretary Umar Zafar Sheikh.

The minister said the project must align with Pakistan’s broader industrial and sustainability priorities, highlighting employment generation, value addition, and environmentally responsible practices as central goals.

The IMIC concept was first introduced by Chaudhry in November 2025 at a Port Qasim Authority event marking the port’s recognition as one of the world’s most improved container terminals. Branded as the “Steel-to-Green Sea” initiative, it seeks to link ship recycling with domestic steel production to reduce reliance on imported steel and promote the use of recyclable materials.

If approved, the complex would rank among Pakistan’s largest recent industrial investments, strengthening Port Qasim’s role as a regional hub for heavy manufacturing and maritime logistics.