In a bid to strengthen bilateral ties between the two nations, China is set to supply eight modified diesel-electric attack submarines to the Pakistan Navy by 2028.
The National Assembly's Standing Committee on Defence was briefed about the development by the head of Pakistan's next-generation submarine programme and senior naval officials on August 26, reports The Express Tribune.
Though it is unclear whether a contract has been signed, but reports suggest that the high-level statement in front of the committee members provides official confirmation.
A Pakistan Navy official had earlier in April announced that Karachi Shipyard and Engineering Works (KSEW) had secured a contract to produce four of the eight submarines, which will be fitted with air-independent propulsion (AIP) systems.
Valued at $4 to $5 billion, Beijing is expected to extend a long-term loan to Islamabad at a low interest rate.
So far, there is no official confirmation on what type of submarines will be supplied to the Pakistan Navy by the China Shipbuilding Trading Company (CSTC).
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However, speculations suggest the new submarines will be lighter export versions of the People Liberation Army Navy's Type 039 and Type 041 Yuan-class conventional attack submarines.
While the first four submarines are expected to be delivered by the end of 2023, the remaining four will be assembled in Karachi by 2028.