In the coming years, China is expected to invest some $18 billion in an “economic corridor” crossing Pakistan to the Arabian Sea at the mouth of the Persian Gulf. The latest installment is the development of the Pakistani port of Gwadar. The port scheme is a strategic move linked to the restoration of Gwadar’s oil refining capacity. The plan is that China’s purchases of crude from the Middle East will be refined there before flowing to China by pipeline.
China has been Pakistan’s close economic and military ally since soon after the 1962 Sino-Indian war. But Chinese influence in South Asia has been ideological as well.