Chinese Prime Minister Zhu Rongji arrived in Pakistan on 11th May 2001 for a four-day visit. This was against the backdrop of the U.S spy-plane issue. He held a one - to - one meeting with the Chief Executive General Pervez Musharraf. The focus of their discussions was the current international, political and strategic scenario.

A number of economic agreements were signed between the two countries. China agreed to extend assistance worth over 1 billion dollars for various projects in Pakistan. The major projects include the Makran Coastal project, Gawader port, Sandak copper mine project and modernization of Pakistan Railways.

China’s assistance in the above-mentioned projects is very crucial for the social uplift of the people of Balochistan and also has great strategic significance for the rest of Pakistan in general. China also agreed to provide $200 million credit for the modernization of Pakistan Railways. Credit was also to be provided for new equipment for the Pakistan Telecommunication Company Limited, for oil pipelines, and development of coal mines.