Challenge Fashion Group to pour $100m into Pakistan’s textile SEZ

August 15, 2025 (MLN): Challenge Fashion Group, a leading Chinese garments manufacturer, has invested $17 million in Pakistan since 2014 and is now set to inject an additional $100m over the next five years through a newly established Special Economic Zone (SEZ).

According to the group, the project is expected to generate exports worth $400m, establish a modern textile industry, and drive sustainable industrial growth.

The announcement came during a meeting between Prime Minister Muhammad Shehbaz Sharif and a delegation of Challenge Fashion Group, led by Chairman Huwang Weiguo, in Islamabad on Friday.

Welcoming the investment, the Prime Minister praised the group’s confidence in Pakistan’s market and said the SEZ will contribute to technology transfer, skill development, and industrial expansion.

He directed relevant authorities to provide all possible facilitation to the company.

Shehbaz Sharif said the government is eager to elevate Pakistan-China friendship to “new heights,” adding that both countries have always stood by each other in times of need.

He expressed satisfaction over the upward trajectory of bilateral economic relations and encouraged Chinese industries to set up production units in Pakistan.

The Prime Minister underscored the government’s commitment to advancing the industrial component of the China-Pakistan Economic Corridor (CPEC) and expressed interest in benefiting from China’s expertise in the textile sector.

He announced that a China-Pakistan Business-to-Business Conference will be held in China soon to provide collaboration opportunities for private enterprises of both nations.

Chairman Huwang Weiguo thanked the Prime Minister for his warm hospitality and reiterated the group’s commitment to Pakistan.

Later, the Prime Minister formally inaugurated the Challenge Group Special Economic Zone.

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