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China’s 2026-30 plan offers Pakistan template to embrace cutting-edge industries

November 18, 2025

Moaaz Manzoor

China’s new five-year plan for 2026-30, centered on achieving self-reliance in science and technology, presents a powerful opening for Pakistan to strengthen its innovation capacity and research collaboration. As Beijing identifies frontier technologies — including quantum technology, biomanufacturing, hydrogen and fusion energy, brain-computer interfaces, embodied intelligence, and 6G mobile communications — as the core drivers of its future economy, Pakistan can leverage this shift to advance its own technology ecosystem through joint research, industrial partnerships, and academic linkages.

The Fourth Plenary Session of the 20th Central Committee of the Communist Party of China (CPC) has emphasised that the 2026-30 period would be crucial for developing new quality productive forces. This concept refers to a transformation in how nations generate growth, moving toward innovation, digitalisation, and high-end manufacturing. For Pakistan, which faces persistent challenges in productivity and export diversification, China’s technological turn offers a template and an opportunity to participate in cutting-edge industries that will define the next decade.

Speaking to Wealth Pakistan, Eng Ahad Nazir, Programme Manager at Sustainable Development Policy Institute, said the CPC plenary session and the upcoming 15th Five-Year Plan signal “a decisive shift” toward advanced manufacturing and technology-driven growth. He stressed that Pakistan must align CPEC’s second phase with these priorities and “position itself as a credible extension of China’s supply chains.” Highlighting Pakistan’s scale in mobile phone assembly — more than 22 million handsets produced in 2021 — he said special economic zones like Rashakai and Allama Iqbal Industrial City should become electronics clusters with predictable taxation and stable utilities.

He noted that targeted fiscal reforms and phased tariffs could localise solar PV and inverter production, complementing China’s own transition toward green technologies. Pakistan’s collaboration with China in technology has so far been limited to applied sectors such as telecommunications and renewable energy. The new plan calls for deepening cooperation in areas like new energy, new materials, quantum technology, and aerospace. Pakistan’s universities and research and development institutions can co-develop prototypes, establish joint laboratories, and engage in industrial research aligned with both countries’ needs.

Hydrogen energy and fusion energy stand out as potential areas of mutual interest. China’s focus on green development provides an opportunity for Pakistan to explore pilot projects in hydrogen-based power generation or storage systems. With Pakistan’s renewable energy targets expanding, partnerships with Chinese institutes involved in hydrogen production and application could bring new technology and investment into Pakistan’s energy sector. In biotechnology and biomanufacturing, China aims to develop an advanced bioeconomy.

Pakistani institutions, such as Pakistan Council of Scientific & Industrial Research, National Institute for Biotechnology and Genetics Engineering, and agricultural universities, could collaborate on vaccine production, seed genetics, or sustainable farming inputs using Chinese research models. This would help Pakistan bridge gaps in agricultural productivity and build export potential in bio-based products. Aerospace research also presents prospects for cooperation. China’s satellite navigation and remote sensing capabilities complement Pakistan’s need for improved data on agriculture, climate, and urban management.

Joint ventures under the PakSat framework could enhance weather forecasting, flood monitoring, and resource mapping. Nabila Jaffer, Head of the China Programme at the Institute of Regional Studies, said Pakistan “needs to work on its pre-requisites,” particularly structural reforms and governance, to benefit from China’s technological direction. She noted that industrialising sectors such as electronics, electric vehicle components, and renewable energy would lower domestic costs and support export growth.

She added that relocation of Chinese IT park development in Pakistan could boost services, manufacturing, and knowledge transfer. She stressed that improvements in security, and business climate are essential to attract Chinese industries and develop modern SEZs that inspire investor confidence. China’s push for breakthroughs in artificial intelligence, quantum technology, and 6G technologies opens another opportunity for Pakistan’s IT and academic communities.

Establishing China-Pakistan joint innovation centres focused on AI and quantum applications would allow Pakistani researchers to participate in global knowledge creation while enabling local startups to commercialise new solutions. Universities could pursue cooperation with leading Chinese institutions to develop curriculum aligned with 2026-30 priorities. Beyond laboratories, Pakistan must build a national framework to support innovation-driven cooperation.

This includes modernising intellectual property systems, improving R&D financing, and incentivising high-tech manufacturing. China’s experience in linking universities with industry through science parks and incubators could serve as a model for Pakistan’s emerging technology clusters in Lahore, Karachi, and Islamabad. A crucial enabler will be talent development. China’s plan to strengthen original innovation, deepen integration of scientific and industrial innovation, and expand the Digital China initiative is directly relevant for Pakistan.

Joint training centres, scholarships, and exchange programmes could equip young professionals for advanced industries. For Islamabad, aligning with China’s technological roadmap is a strategic necessity. Pakistan’s ability to engage effectively with China’s frontier industries will determine how much of the next wave of development it can capture. With reforms and targeted cooperation, China’s technology blueprint can become a meaningful catalyst for Pakistan’s own innovation ambitions.

Credit: INP-WealthPk