Pakistan creates 20 new trade posts in China to boost exports, investment

The government has approved the creation of 20 new positions in Pakistan’s Trade Mission in China to enhance exports, attract foreign direct investment, and support efforts to relocate Chinese industries to Pakistan.

BR reported, citing official sources, the Commerce Division informed the Economic Coordination Committee (ECC) that while China is Pakistan’s largest trading partner, it also contributes to the country’s substantial trade deficit. For 2023-24, Pakistan’s exports to China totaled $2.56 billion, while imports reached $14.51 billion, leaving a trade gap of nearly $12 billion.

To address this imbalance, the government recognized the need to strengthen trade missions with additional resources to explore trade and investment opportunities more effectively.

In a high-level meeting on June 25, Prime Minister directed the development of a plan to reinforce economic diplomacy by hiring local staff to better coordinate with Chinese authorities and support business-to-business engagement.

Following consultations between the Ministry of Commerce, the Board of Investment (BoI), and the Ministry of Foreign Affairs, the Prime Minister approved the creation of the new trade positions in China. The Finance Division also supported the plan and recommended additional funding.

The Ministry of Commerce allocated Rs 5.5 billion for operational expenses for trade missions this fiscal year, but requested an additional Rs.226.7 million to cover the costs of these new posts for the period from November 2024 to June 2025.

The ECC has approved the Rs 226.7 million supplementary grant for the new trade posts in China, aimed at enhancing Pakistan’s trade diplomacy efforts, increasing exports, securing foreign direct investment, and facilitating the relocation of Chinese industries to Pakistan.