QUETTA: On May 1, 2026, marking International Labour Day, a prominent Chinese investment company operating at Gwadar Port, the Han Geng Group, officially announced the immediate suspension of all its operations in Pakistan and China, along with the closure of its factory and termination of all employees.
The company said the extreme decision was taken due to persistent non-market factors and administrative obstacles, which had made it impossible to continue business operations. The facilities fully meet strict China Customs inspections and international food safety standards (HACCP). However, despite this compliance, it has continuously failed to obtain the necessary approvals required for exports. It said that for the past three months, the company had shown cooperation and patience at every level, but during this period it suffered heavy financial losses due to employee salaries, electricity bills, contractual penalties and container demurrage charges.
It expressed serious concern that despite being part of major projects like Gwadar Port and CPEC, it continued to face challenges beyond the capacity of any private enterprise. The statement identified administrative uncertainty and hurdles in policy implementation as the primary reasons behind the shutdown.
