KARACHI: Pakistan on Thursday signed a memorandum of understanding (MoU) with China’s Shandong Xinxu Group to deepen cooperation in ship leasing, sales and crew management, marking what officials described as a “new chapter” in maritime collaboration between the two countries.
The agreement between the Pakistan National Shipping Corporation (PNSC) and the Chinese firm is part of Islamabad’s broader push to modernize its shipping industry to enhance seaborne trade, Maritime Affairs Minister Muhammad Junaid Anwar Chaudhry said during the signing ceremony in Islamabad.
“This agreement marks the beginning of joint development,” Chaudhry said. “It will strengthen Pakistan’s role in the growth of the shipping industry and create an enabling environment for further investment in the maritime sector.”
Under the MoU, the Chinese company has principally agreed to provide capital and vessels to PNSC, with cooperation covering ship acquisition, leasing, marketing and operational services.
The announcement comes just days after Pakistan halved port charges at Karachi Port, the country’s largest deep-sea facility, as part of a series of reforms aimed at cutting logistics costs and supporting low-emission, climate-resilient maritime practices.
“By lowering operational costs and streamlining logistics, we are not only boosting trade competitiveness but also contributing to climate resilience,” Chaudhry said over the weekend.
The ministry has also decided to deploy technologies such as artificial intelligence and drones to monitor port activity and reduce container dwell times by up to 70 percent.
Shandong Xinxu is one of several Chinese firms expanding investment in Pakistan under the multibillion-dollar China-Pakistan Economic Corridor (CPEC) cooperation.