Home Business Hutchison Ports Announces $1 Billion Investment in Pakistan to Modernize Terminals

Hutchison Ports Announces $1 Billion Investment in Pakistan to Modernize Terminals

Hutchison Ports will enhance logistics connectivity, improve road networks, and modernize HPKICT into a cutting-edge automated terminal.

by Haktaurus
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Hutchison Ports has unveiled a $1 billion investment plan for Pakistan, aimed at upgrading its existing terminals to boost operational efficiency, enhance logistics connectivity, and introduce automation in port operations.

The announcement was made during a meeting between a Hutchison Ports delegation and Finance Minister Muhammad Aurangzeb in Islamabad on February 28. The delegation was led by Andy Tsoi, Managing Director of the company’s Middle East & Africa Division, and included South Asia Pakistan Terminal CEO Changsu Kim, Karachi International Container Terminal CEO Navaid Qureshi, and Hutchison Ports Pakistan Head of Government Relations Taimur Khan Afridi.

According to an official statement, the investment will focus on infrastructure development, road improvements to streamline cargo movement, and the transformation of the Hutchison Ports Karachi International Container Terminal (HPKICT) into a state-of-the-art automated terminal. Additionally, a 52-hectare logistics park will be developed to improve trade connectivity.

Hutchison Ports, which has been operating in Pakistan for 25 years, currently manages two key terminals—HPKICT and HPSAPT. Over this period, the company has contributed more than Rs225 billion in government revenues and provided employment to 5,000 individuals.

Major Upgrades and Economic Impact

The investment plan includes automation upgrades such as:
✅ Remote-controlled quay cranes
✅ Automated rubber-tired gantry cranes (RTGs)
✅ Electric trucks
✅ Digitized gate operations

Additionally, training programs will be introduced to equip maritime professionals with expertise in port operations, management, and artificial intelligence applications.

Hutchison Ports estimates that its investment will generate at least $4 billion in revenue for Pakistan over the next 25 years through royalty, rent, and tax contributions.

Government’s Support for Strategic Investments

Finance Minister Muhammad Aurangzeb welcomed the investment, acknowledging Hutchison Ports’ role in strengthening Pakistan’s maritime sector and fostering economic growth. He reaffirmed the government’s commitment to creating a business-friendly environment to attract further foreign investments.

Aurangzeb has also been actively promoting international investment opportunities for Pakistan. During a recent visit to the Asian Financial Forum 2025 in Hong Kong, he encouraged Pakistani companies to explore joint ventures and secondary listings on the Hong Kong Stock Exchange.

Growing Foreign Interest in Pakistan’s Ports

Pakistan has been attracting significant foreign investment in its port infrastructure. In June 2023, the United Arab Emirates (UAE) signed a $220 million lease agreement for a section of Karachi Port. The AD Ports Group, in partnership with Kaheel Terminals, took over four berths from the Karachi Port Trust under a 50-year lease.

The UAE deal includes deepening berths to accommodate larger vessels, expanding quay walls, and increasing container storage capacity.

With Hutchison Ports’ latest $1 billion commitment, Pakistan’s port sector is set to undergo a major transformation, strengthening the country’s position as a key trade and logistics hub in the region.

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