The United States is likely to seriously consider Pakistan’s proposal for a new port in the Arabian Sea and use it to ship the South Asian country’s rare minerals, even as observers warn of commercial and geopolitical risks of investing in a volatile region.
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Advisers to Pakistani army chief Field Marshal Asim Munir have approached US officials regarding the proposal for American investors to build and run the port in Pakistan, according to a Financial Times report last week.
Located in Gwadar district in the province of Balochistan, which borders Afghanistan and Iran, the port in the town of Pasni is envisioned as the gateway for Pakistan’s critical minerals.
The move comes after Munir and Pakistan’s Prime Minister Shehbaz Sharif held a meeting with US President Donald Trump at the White House in September. During the meeting, Sharif sought investments from American companies in the agriculture, technology, mining and energy sectors.
Daniel Markey, a senior fellow with the South Asia and China programmes at the Stimson Centre, said that given the warming of ties between Trump and Pakistan’s leaders, he would consider ways to turn the proposal for the port into a reality.
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As a real estate developer, the president and some of his top advisers might be “open to entertaining ideas that previous administrations would have dismissed out of hand”. This was partly due to the Trump administration’s inclination “to mix private and public business deals in unorthodox ways”, Markey said.