Pakistan, China sign $440m pharma deals to boost CPEC 2.0

July 21, 2026 (MLN): Pakistan and China have signed nine pharmaceutical-sector agreements worth around $440 million between private enterprises from both countries, a development Prime Minister Shehbaz Sharif described as a major step forward in bilateral economic cooperation and the next phase of the China-Pakistan Economic Corridor (CPEC 2.0).

Speaking at the Pakistan-China Pharmaceutical Business-to-Business Conference, the prime minister said the agreements were expected to translate into practical projects, boosting investment in pharmaceutical manufacturing, vaccines, and research and development.

He said the deals could help Pakistan emerge as a regional hub for producing and exporting life-saving medicines, positioning the country as a center of excellence for such exports to neighbouring markets, as reported by ministry of information and broadcasting.

He noted that China had stood by Pakistan through difficult periods and had already invested more than $30bn under the first phase of CPEC, calling the new agreements another milestone in expanding economic ties between the two countries.

The prime minister congratulated the Pakistani and Chinese entrepreneurs involved and credited Health Minister Syed Mustafa Kamal, Special Assistant to the Prime Minister Haroon Akhtar Khan, Pakistan's Ambassador to China Khalil Hashmi, Chinese Ambassador Jiang Zaidong, along with government institutions and business leaders, for the success of the conference.

He also pointed to Pakistan's role in promoting regional peace, saying Islamabad had played an important mediating part during the recent regional crisis with support from friendly countries, particularly China.

He acknowledged contributions from President Xi Jinping and Premier Li Qiang, as well as the diplomatic engagement of Field Marshal Syed Asim Munir and Deputy Prime Minister Ishaq Dar.

The prime minister reaffirmed that the security of Chinese nationals working in Pakistan remains a top government priority, assuring them of comprehensive protection.

Earlier, the agreements worth $440m were signed in the prime minister's presence.

Health Minister Syed Mustafa Kamal said the conference was the outcome of the prime minister's vision, along with weeks of intensive meetings that paved the way for the business-to-business engagements, adding that Pakistan's ambassador in Beijing had played a key facilitating role.

He said Pakistan and China had substantial untapped potential for trade and investment in healthcare and other sectors, and that the government was working to improve public access to quality healthcare, thanking Chinese companies for their participation and confidence in Pakistan's pharmaceutical sector.

Chinese Ambassador Jiang Zaidong said Pakistan's large and growing population had generated significant healthcare demand, making its pharmaceutical sector an attractive destination for investment and cooperation, with the embassy working to bridge enterprises from both countries.

He welcomed Pakistan's improving economic indicators under the prime minister's leadership and appreciated Islamabad's constructive role in recent regional developments, expressing hope that Pakistan would continue to provide a stable and secure environment for Chinese enterprises.

Special Assistant to the Prime Minister on Industries and Production Haroon Akhtar Khan said Pakistan was pursuing innovation-driven industrial growth, with the prime minister's vision emphasizing implementation, technology transfer and global competitiveness.

He said the prime minister's recent visit to China had opened a new chapter in bilateral economic cooperation, creating fresh opportunities for industrial collaboration.

Pharmaceuticals, biotechnology and vaccine manufacturing have been identified as national industrial priorities, backed by reforms to reduce bureaucracy and improve the investment climate, he said, inviting Chinese companies to partner with Pakistan in research, manufacturing and exports to jointly serve regional and international markets.

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