A field survey conducted in the flagship industrial zone of Pakistan’s China‑Pakistan Economic Corridor (CPEC) has identified a series of infrastructure deficiencies that are limiting the area’s ability to attract and retain investment, according to a report by The Diplomat.

The assessment, carried out by a local research team, noted that many of the zone’s plots remain undeveloped due to unreliable electricity supply, insufficient water provision and inadequate road connectivity. Surveyors observed that the existing power grid suffers from frequent outages, while water pipelines are either incomplete or operating below capacity, forcing some firms to rely on costly private generators and water tankers.

Transport links were also flagged as a concern. Although the zone is positioned near major highways intended to link it with ports and inland markets, the report found that internal road networks are unevenly paved and lack proper signage, creating bottlenecks for freight movement. Logistics facilities, such as warehousing and customs clearance points, were described as under‑equipped, further slowing supply‑chain operations.

The Diplomat highlighted that the industrial zone was launched as a centerpiece of CPEC, with expectations of generating thousands of jobs and boosting export‑oriented manufacturing. However, the survey indicated that the pace of development has fallen short of initial targets, with several investors citing the infrastructure gaps as a primary deterrent.

Pakistani authorities have responded by pledging accelerated upgrades to the power grid, water infrastructure and road network. Officials also indicated that coordination with Chinese partners will be intensified to align remedial actions with the broader CPEC timeline. The report notes that while funding allocations have been announced, the implementation schedule remains unclear.

Analysts cited by The Diplomat suggest that addressing these shortcomings is critical for the zone’s long‑term viability and for sustaining the momentum of the CPEC initiative, which is central to Pakistan’s economic development strategy.

Reporting attribution: based on reporting by The Diplomat — original source: https://thediplomat.com/2026/09/infrastructure-gaps-test-pakistans-flagship-cpec-industrial-zone-field-survey-finds/.