Terror attack: Chinese firm lays off hundreds of workers, shuts shop in Pakistan

Terror attack: Chinese firm lays off hundreds of workers, shuts shop in Pakistan

NEW DELHI: A Chinese company has halted civil works and let go of hundreds of workers at a hydropower project in Pakistan following a deadly suicide attack that claimed the lives of five Chinese nationals.

The incident occurred at the Dasu hydropower project in the Khyber Pakhtunkhwa province, where a vehicle laden with explosives targeted a bus carrying personnel, killing six people. This was the second suicide attack on individuals associated with a China-backed project in the region since 2021.

Power Construction Corporation of China (PCCC), the company overseeing the Tarbela 5th Extension Hydropower Project in the same province, took the decision to suspend operations and lay off over 2,000 workers in light of the security concerns arising from the recent attack, Dawn reported quoting government sources.

Despite the suspension of work, the general secretary of the Awami Labour Union at the project assured that the delay in the project’s completion timeline would be minimal. The Tarbela extension project (T5) is scheduled for completion by May 2026, with financial support from the World Bank and the Asian Infrastructure Investment Bank. The workers affected by the layoffs are entitled to receive half of their salaries until they are called back to resume their duties, as per labour laws.

The Dasu hydropower project, where the fatal attack occurred, is situated approximately 300 km north of Islamabad and is being developed by China Gezhouba with funding from the World Bank. The Chinese nationals working on this project have been targeted previously, with a similar attack in July 2021 resulting in casualties among both Chinese and Pakistani workers.

Meanwhile, China strongly condemned a suicide bomb attack and demanded probe into the incident.

Pakistan Prime Minister Shehbaz Sharif has ordered a thorough joint investigation to identify the perpetrators and ensure the safety of Chinese personnel working on various projects in the country. The presence of Chinese workers in Pakistan is part of the China-Pakistan Economic Corridor (CPEC), a multi-billion dollar initiative aimed at enhancing connectivity and economic cooperation between the two countries.

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