China and Pakistan regard the CPEC as a new source of potential synergy between their respective national development strategies, which may help the two countries, translate their close political cooperation into multifaceted economic cooperation, attain mutual benefits, and achieve win-win outcomes. For the economic corridor to reach its potential, however, there are security and political challenges in Pakistan that must be addressed. China’s presence in the Global South has increased dramatically over a decade. The discourse of mutual benefit and non-intervention has attracted much attention in the developing world, which is now facing the consequences of Western interventions. However, the extent to which Chinese engagement in the developing world stays true to these principles needs to be evaluated in terms of its effects on the political-economic structures of the host nations. This study analyses how China and the China-Pakistan Economic Corridor (CPEC) is interacting with the political and economic realities of Pakistan. Firstly, the study traces the history of regionalism in Pakistan and shows that over the years, the developmental mission of the central state has created deep-seated regionalism in Pakistan. The study shows that CPEC is deepening such cleavages. The regionalist forces have opposed the project in two broad ways: by demanding a greater share in the project or by completely rejecting the interventions. Secondly, the study analyses the lop-sided civil-military relations in Pakistan and concludes that Chinese engagement in Pakistan is leading to the military’s tighter control of civilian and economic matters relating to CPEC.
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