Chinese Firm to Build Textile Parks in Pakistan
News Desk
Islamabad: The Board of Investment and Chinese textile firm RUYI Shandong signed a Memorandum of Understanding (MoU) on Friday, under which the company will establish world-class textile parks in Pakistan.
This initiative aims to enhance the country’s textile exports to $5 billion and generate approximately 500,000 jobs.
The MoU was signed during a meeting between Prime Minister Shehbaz Sharif and a nine-member delegation of the RUYI group, led by Chairman Qiu Yafu, marking a significant development following the prime minister’s recent visit to China.
Under the agreement, RUYI Shandong will develop textile parks in Sindh and Punjab, attracting investment from around 100 Chinese textile firms. The initiative is expected to significantly boost the country’s economic ties with China and strengthen the bilateral relationship.
Prime Minister Shehbaz Sharif praised the longstanding Pakistan-China friendship and welcomed the RUYI group’s investment in Pakistan’s textile sector. He noted that RUYI was the first investor in the Sahiwal Coal Power Plant, a key project under the China-Pakistan Economic Corridor (CPEC).
Chairman Qiu Yafu briefed the prime minister on the project, highlighting that the parks would be powered by solar energy and developed as zero-carbon, automated facilities. The first phase is expected to boost exports to $2 billion, while the second phase aims to raise the figure to $5 billion. The parks are projected to create between 300,000 and 500,000 jobs.
Work on the parks is set to begin by the end of this year, with completion expected in three years. In addition, the RUYI group will establish wholesale commodity centers in Karachi and Lahore.
The meeting also led to the formation of working groups in Islamabad and Beijing to further pursue the project, with Prime Minister Shehbaz Sharif appointing a special committee headed by Deputy Prime Minister and Foreign Minister Ishaq Dar. The committee includes federal ministers for commerce, investment and privatization, industries and production, and other relevant officials.
Chairman Qiu Yafu expressed his commitment to Pakistan, emphasizing the group’s friendship with the country rather than just an investor relationship. He also referenced “Shehbaz Speed,” a term used to describe the prime minister’s fast-paced execution of development projects during his tenure as Punjab chief minister, hoping for the same efficiency in this project.
Senior government officials, including Commerce Minister Jam Kamal Khan, Industries Minister Rana Tanveer Hussain, Privatization Minister Abdul Aleem Khan, and Power Minister Awais Ahmed Khan Leghari, attended the meeting.
