Pakistan has invited the United States to build a new port in one of the world’s most sensitive regions, the Arabian Sea, for transporting crucial minerals. This move could provide the US with a strategic foothold in Southeast Asia, with the proposed port located 70 miles from the China-backed Gwadar Port and 100 miles from Iran.
According to a report by the Financial Times on Friday, Pakistan’s Chief of Army Staff General Asim Munir’s advisers have had discussions with US officials proposing a bold plan to develop the coastal fishing village of Pasni into a transport hub for Pakistan’s crucial minerals.
The initiative stems from Munir’s meeting with Pakistan’s Prime Minister Shehbaz Sharif at the White House in September. During that meeting, Sharif sought US investments in agriculture, technology, mining, and energy sectors.
Two civil advisers of Munir disclosed that the proposal had been presented to some US officials and was informed to Munir before the end-of-September White House meeting. However, a senior US government official stated that President Trump and his advisers had not discussed this proposal yet.
Diplomats from both the US and Pakistan have referred to the establishment of a “brotherly relationship” following Trump’s mediation in the most severe conflict between Pakistan and India in decades in May.
Munir and Sharif publicly thanked President Trump and nominated him for the Nobel Peace Prize.
After the meeting, the White House also released photos of Munir and Sharif handing over mineral samples display case to US leaders.
An adviser who has maintained secret contacts with Trump’s circle for over a year told the Financial Times, “The entire narrative of US-Pakistan relations has shifted after the India-Pakistan conflict. Things were pretty bad before that.”
During the Cold War and post the September 11, 2001 terror attacks in the US, Pakistan was a close ally. However, tensions arose as Pakistan supported the Taliban during the US-led Afghanistan war. Now, Pakistan is actively reshaping its relationship with the US, focusing on investments and trade.
Supporters of the proposed Pasni port plan suggest that it is a way for Pakistan to seek a hedge on the global stage as the country aims to balance diplomatic relations with China, the US, Iran, and Saudi Arabia.
The blueprint for the Pasni port indicates that the construction cost could reach up to $1.2 billion, with financing proposed to be jointly provided by the Pakistan federal government and US-supported development funding.
The plan envisions the Pasni port being connected to a new railway line for transporting Pakistan’s inland minerals, especially copper and antimony, key components in batteries, flame retardants, and missiles.
The Financial Times reported that the Pasni port being adjacent to Iran and Central Asia enhances US trade and security options. Engaging in the development of the Pasni port would counterbalance Gwadar port and expand US influence in the Arabian Sea and Central Asia, as stated in the project blueprint.
The blueprint also mentions concerns regarding Beijing’s investments in Gwadar Port under the Belt and Road Initiative, raising military and civilian dual-use apprehensions. The implication is that the US is worried about Gwadar Port potentially becoming a Chinese naval base.
The blueprint emphasizes that the Pasni project rules out allowing the US military to be “directly stationed,” indicating that the port would not serve as a US military facility.
China has been strengthening ties with Pakistan for the past few decades, providing significant military aid, billions of dollars in loans and investments, and the China-Pakistan Economic Corridor.
However, Pakistan does not want to become a mere satellite of China and seeks multiple balances to ensure its security and interests in the latest geopolitical dynamics.
A Pakistani adviser told the Financial Times, “I have been telling our leaders that we need to diversify reliance on China. We don’t need to negotiate with the Chinese because it’s outside the scope of Gwadar Port charter.”
On Saturday, a senior Pakistani military official stated that Munir had “no official advisers.” Simultaneously, the official added that the concept of the Pasni port had emerged in “private discussions with US companies” and had not been “formally submitted through official channels,” remaining a “commercial concept still under proper consideration.”
US-based company US Strategic Metals (USSM), headquartered in Missouri, signed a memorandum of understanding with Pakistan’s military engineering department in September to enhance cooperation, marking the US’s initial interest in Pakistan’s mineral industry.
Mike Hollomon, the commercial director of USSM, mentioned that USSM had discussions regarding a port project near Pasni. The town boasts a natural deepwater port connecting to the Reko Diq copper-gold mine being developed by Canadian Balochistan Copper Company in the region, making establishing a factory there “very practical.”
“In our conversation with Army Chief of Staff Munir, he emphasized that Pakistan has long been an ally of the US, and minerals are a way to reignite the silent friendship between the two countries,” added Hollomon.
Last month, Pakistan shipped less than two tons of crucial rare earth minerals to USSM, including copper, antimony, and neodymium. Antimony prices have been soaring since Beijing prohibited antimony sales to the US at the end of 2024.
Pakistan’s mineral industry currently accounts for only around 3% of its GDP, with most of its untapped resources situated in troubled western provinces affected by insurgencies.
Chairman of Pakistan Council of Scientific and Industrial Research, Hussain Abidi, stated that Pakistan holds immense undeveloped mineral potential. Pakistan hopes to reboot relations with the US through economic ties rather than only through traditional security relations.