ISLAMABAD; Prime Minister Shehbaz Sharif on Friday performed the groundbreaking of a Special Economic Zone (SEZ) to be developed by Chinese textile giant Challenge Fashion Private Limited, which plans to invest $100 million over the next five years, with projected exports valued at $400 million.
The Shanghai-based garments manufacturer, which has operated in Pakistan since 2014 and already invested $17 million in its existing facilities, will establish the SEZ as part of its expansion strategy to tap into Pakistan’s textile export potential. The project is expected to create new jobs, facilitate technology transfer, enhance workforce skills, and promote sustainable industrial growth.
Before the inauguration ceremony, Prime Minister Shehbaz met with a delegation of the company led by its Chairman, Huwang Weiguo. He welcomed the group’s continued investment in Pakistan and directed authorities to extend all possible support for the successful establishment of the SEZ. He emphasized that his government is prioritizing the industrialization component of the China-Pakistan Economic Corridor (CPEC) and is keen to draw on China’s expertise to upgrade Pakistan’s textile sector.
Reaffirming the strength of the Pakistan–China partnership, the prime minister said Islamabad aims to elevate bilateral relations, with economic cooperation as a central pillar. He expressed the hope that more Chinese manufacturers would set up production units in Pakistan, citing the country’s growing potential as a regional manufacturing hub.
Shehbaz also announced that a China–Pakistan Business-to-Business Conference will soon be held in China to facilitate direct partnerships between private enterprises from both sides.
Challenge Fashion’s chairman expressed gratitude for the hospitality extended by the Pakistani government, stating that the new SEZ will feature a state-of-the-art textile production facility catering to global export markets. He reiterated the company’s plan to invest $100 million in the project, with an aim to achieve $400 million in export revenue over five years.
The meeting and inauguration ceremony were attended by several senior government officials, including federal ministers Ahsan Iqbal, Jam Kamal, Attaullah Tarar, Ali Pervez Malik, and Sardar Awais Ahmad Leghari, along with Special Assistant to the Prime Minister Tariq Fatemi.
