## New Road Infrastructure Completed for Chinese-Backed Textile SEZ Near Lahore
Significant road infrastructure has been finalized to connect Lahore’s border area to Kasur, specifically facilitating a new “Special Economic Zone” (SEZ) designated for a textile park. This park is owned by the Chinese garment manufacturer Challenge Fashion (Pvt) Ltd. A key 4.2-kilometer road now formally links Challenge Fashion’s main building at the Lahore border directly to the Kasur locality. In Kasur, the Shanghai-based company has secured 100 acres of land to develop this SEZ for the textile park.
“The textile park is expected to be built within 12 months,” stated an official from Challenge Fashion. The project aims to generate $500 million annually in foreign exchange earnings for Pakistan and create approximately 30,000 jobs each year. Challenge Fashion (Pvt.) Ltd plans to invest $150 million over the next three to five years. Should development proceed according to plan, this initiative is anticipated to draw an additional $100 million in investments towards supporting industries.
The Challenge Fashion official highlighted a significant operational hurdle: sourcing high-quality fabrics domestically. “Currently, more than 80% of the surface accessories are imported, which substantially hinders the company’s pace of expanding its industrial scale,” the official explained. The company’s vision involves developing the textile park into South Asia’s most innovative and sustainable textile industry base. This project is intended to showcase China’s advanced park design concepts and construction standards to Pakistani partners.
“This will promote the most efficient and environmentally friendly automated fabric production equipment and garment production systems, and spread modern production management science,” the official added. Furthermore, the establishment of a dedicated supply chain cluster within the SEZ is expected to enhance Pakistan’s labor structure and management practices. “We hope to demonstrate China’s industrial park standards to our Pakistani counterparts by creating a Chinese-regulated industrial park project,” the official stated.
Elaborating on the broader strategic goals, the official asserted, “We aim to enable Chinese enterprises interested in an overseas layout to see Pakistan’s investment potential and also provide project landing sites for SMEs so that they can fully benefit from the preferential investment policies provided by the Pakistani government.” These statements were reported on Wednesday.
