CPEC: Impact of China-Pakistan Economic Corridor (CPEC) on China’s Import and Export in Terms 0f Transit time and Shipping cost

Abstract

In current era many of countries including developed or developing are making economic strategies and alliances as well to enhance their trade volume with saving cost and transit. This paper will analyze the impact of China-Pakistan Economic Corridor on China’s trade with the projection of shipping cost and transit time including compare the current route and proposed route (CPEC).The methodology has been used qualitative and descriptive approach. In this study focused on three ports of Middle East for energy need basis (Jeddah, Kuwait and Oman) and European ports for mega trade volume base (Hamburg, Le Havre and Rotterdam). We have worked on this paper into three parts in first part the variables (Transit time and Shipping cost) of 40-foot Container is calculated in current route and same calculation has done for proposed (CPEC) route, (CPEC) is still in progress so it is difficult for us to get exact information that’s why its average values has been taken and in third part compare both current route and proposed route as well. The Result in which we can say that the shipping cost and transit time will reduce drastically if CPEC route followed, the shipping cost and transit time for European ports45% to 60% and 11 to 13 days respectively, Approximate 50% to 70% for Middle east ports shipping cost will reduce including 11 to 18 days transit time as well, which means China Pakistan Economic Corridor will affect positively on china’s import and export to enhance its business volume with Middle East & Europe.