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Showing posts with label Economic bloc China Pakistan Iran. Show all posts
Showing posts with label Economic bloc China Pakistan Iran. Show all posts

Wednesday, August 6, 2025

The China-Pakistan-Iran Triangle: Reshaping Asia’s Geopolitics

 

Pakistan has pulled off a diplomatic coup that has sent shockwaves across the region. At the end of a historic two-day visit to Pakistan by Iranian President Dr. Masoud Peshmerga, the two countries signed 12 comprehensive memorandums of understanding (MoUs) covering energy, trade, culture and border security. It was announced in a joint press conference that bilateral trade would be increased from the current $3 billion to $10 billion annually, all with an “immediate” timeline. In an interesting but highly strategic development, a joint free economic zone would be established at the Ramdan-e-Gabad border, just 70 kilometers from Gwadar. The Iranian Supreme Council for Free and Special Economic Zones and Pakistan’s Board of Investment have agreed on a framework for the project, including major tax concessions, uniform customs processing, and integrated infrastructure that will make Gwadar and Chabaharsister ports” of each other. Not only that, but with Beijing’s backing, CPEC is now set to transform into a trilateral corridor. Chinese companies have already invested billions of dollars in Gwadar, and now Iran is also set to connect its Chabahar hub to Gwadar and the ITI (Islamabad-Tehran-Istanbul) railway through the “Silk Road Expansion.” The Pakistani and Iranian communications ministers have formed a joint working group to upgrade the ITI line and make the Quetta-Zahedan track dual-lane. But perhaps the biggest setback has come to India and its proxies. The joint statement categorically stated that the first step to prosperity in the border areas is the elimination of terrorism. Both leaders specifically named groups like the Balochistan Liberation Army (BLA) and Jaish-e-Adl and expressed their determination to eliminate their “base camps”. Iran indicated that all such hideouts would be uprooted from the areas around Ramdan, Sarawan and Zahedan, while Pakistan would further tighten the intelligence cordon on the western border.

In the global scenario, this development has become a diplomatic troika for India. China’s economic power, Pakistan’s land and maritime geography, and Iran’s energy and market have all lined up in the same row. The biggest worry for New Delhi is that the BLA, which it has been using as a “Fitnat-ul-Hindustan” in the region for a long time, will now face state power tightening its grip on both sides.

Strategic analysts say that the Gwadar-Chabahar “twin port” strategy will not only reduce freight costs by 30 percent but will also establish a new land and sea trade bridge between South, Central and West Asia. It is estimated that direct investment of $3 billion is expected in the first five years in the Ramdan-Gabad zone alone, while thousands of job opportunities will be created in Balochistan. In short, the current phase of CPEC is carving a new geographical reality. China will bring capital, Pakistan will provide a corridor, Iran will provide energy and markets, and the result will be that groups like “Fitna-ul-Hindustan” will be at odds on both sides. For the first time in history, Tehran and Islamabad are walking on a strategic highway where political trust, economic partnership and security cooperation all pass through the same speed breaker and are now moving on the “fast track”.