The Economic Dimensions of Sino-Pakistani Technological Cooperation: Balancing Opportunities and Risks in the Global Tech Race

Abstract

This paper examines international technological competition, along with the economic aspect of Sino-Pakistani collaboration concerning 5G, AI, and Cybersecurity. It rests upon the expansion of Pakistan’s dependency digital economy and geo-economics on the cooperation Pakistan is increasingly reliant upon. Chinese investment and investment from Chinese firms like Huawei, Alibaba, and the Digital Silk Road along with bilateral cooperation have led to rapid digitization of IT, the creation of numerous jobs, and Pakistan’s exports and GDP growth. Growing reliance on a single technological partner brings complex digital sovereignty, increasing the risk of cyber-attack, and geotechnically trapped Pakistan in the US–China rivalry. Experiences from Africa and ASEAN illustrate the need for developing domestic capabilities on diversifying international partnerships. Sino-Pakistani technological cooperation could hasten economic transformation of Pakistan. It is Pakistan's ability to diversify international partnerships, strengthen local R&D and smart a balanced diplomacy cooperation with Sino-Pakistani relations that will determine the long-term viability of such relations.