Pakistan and China assessed the progress of around 700 products under the third phase of the China-Pakistan Free Trade Agreement (CPFTA).
The talks, held during a high-level meeting between Pakistan’s Federal Minister for Commerce, Jam Kamal Khan, and Chinese Ambassador Jiang Zaidong, centered on enhancing market access and simplifying trade regulations.
Current initiatives aim to secure access for Pakistan comparable to that of ASEAN countries and Bangladesh, while also easing agricultural regulatory requirements through new protocols.
In fiscal year 2024–25, Pakistan’s exports to China totaled $2.375 billion, of which $2.16 billion were traded under the FTA.
A major focus of the meeting was the proposal to set up a ‘Green Channel’ at the Sust‑Khunjerab border to streamline trade. The talks highlighted the strategic significance of enhancing bilateral economic relations, especially in the agricultural sector.
Minister Jam Kamal Khan reaffirmed Pakistan’s dedication to enhancing exports by utilizing both Government-to-Government (G2G) and Business-to-Business (B2B) cooperation channels to accelerate trade expansion.
The officials also discussed ways to strengthen agricultural exports, reviewing the existing trade framework and exploring new avenues for collaboration. Chinese Ambassador Jiang Zaidong stressed the significance of agricultural trade and shared details on China’s import regulations, with both parties agreeing to maintain ongoing dialogue to achieve further progress.
Pakistan continues to export raw materials such as copper and cotton, which are later imported back as higher-value finished products.
Stakeholders have also stressed the importance of expanding value‑added production in sectors like textiles, minerals, and meat, which could unlock export potential estimated at up to $5 billion.
Pakistan’s trade deficit with China continues to be a challenge, with imports amounting to $20.8 billion against exports of just $3.1 billion in 2020–21. By 2024–25, imports had declined to $17 billion, while exports slipped to $2.7 billion.
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