Chinese firm to establish textile parks in Pakistan to boost trade, technology transfer — Islamabad’s envoy

Pakistan’s Ambassador to China, Khalil Hashmi (left), in a meeting with Sun Ruizhe, President China National Textile and Apparel Council (CNTAC) in Shaoxing, China, on December 5, 2024. (Photo Courtesy: X@KhalilHashmi)

• The textile parks would be set up by Ruyi Shandong Group, which has expanded globally over the past decade through acquisitions, investments
• It will establish international-standard textile parks in Sindh, Punjab to help generate up to $5 billion in textile exports from Pakistan

ISLAMABAD: The China National Textile and Apparel Council (CNTAC) and Pakistan’s Board of Investment have signed a memorandum of understanding (MoU) for the establishment of textile parks in Pakistan by Chinese firm Ruyi Shandong Group, Pakistani state media reported on Sunday, citing Islamabad’s envoy to Beijing.
The CNTAC is China’s national textile association and an integrated non-profit legal entity that acts as a self-disciplined intermediary for the industry. The understanding between the two sides was reached at the China Textile Conference held in Shaoxing this week.
Focusing on innovation environment, materials, artificial intelligence and production processes, the participants at the conference discussed leading trends in industry innovation, aiming to promote transformation and optimization of the global textile supply chain.
“The textile sector is the backbone of Pakistan’s economy and major contributor to its exports,” Pakistan’s Ambassador to China Khalil Hashmi was quoted as saying by the Radio Pakistan broadcaster.
“These textile parks would enhance bilateral trade, foster technology transfer, and enhance capacity [of Pakistani textile industry].”
Beijing has invested over $65 billion in energy, infrastructure and other projects under the China-Pakistan Economic Corridor (CPEC), a part of China’s Belt and Road Initiative, that aims to connect China to the Arabian Sea through a network of roads, railways, pipelines and ports in Pakistan and help Islamabad expand and modernize its economy.
The textile parks would be set up by Ruyi Shandong Group, one of China’s largest textile and clothing manufacturers, which has expanded globally over the past decade through acquisitions and investments, according to Pakistani officials.
The group has previously invested in a coal power plant in Pakistan under the CPEC and will establish international-standard textile parks in Sindh and Punjab provinces to help generate up to $5 billion in textile exports from Pakistan. The foundation stone of the parks is expected to be laid by the end of this year and they would employ up to 500,000 people.