Islamabad, September 25: Pakistan needs to move beyond traditional merchandise exports and develop a dedicated strategy to tap China’s rapidly expanding services economy. Experts identified IT, business-process outsourcing, software, fintech and other knowledge-based services as potential new areas of bilateral trade.
The 2026 China International Fair for Trade in Services (CIFTIS), held in Beijing, achieved more than 1,200 outcomes and brought together over 1,800 exhibitors from China and abroad, highlighting the growing importance of services in global trade and value chains.
According to media reports, more than 470 Fortune Global 500 companies and industry-leading enterprises participated on site, while over 5,300 companies joined the event online. Participants from 90 countries, regions and international organisations took part in exhibitions, forums, conferences, business matchmaking and promotional activities.
The five-day fair showcased developments across a broad range of services, including information and communication technology, fintech, digital and intelligent healthcare, smart education, energy conservation and environmental protection, according to a report published by Wealth Pakistan.
The scale and sectoral diversity of CIFTIS underline the expanding role of services not only as a standalone component of international trade but also as an increasingly important part of global value chains, supporting production, design, management, logistics, distribution and digital operations.
Against this backdrop, experts believe Pakistan can use the growing Chinese services market to diversify its export base beyond traditional merchandise and develop a stronger presence in knowledge- and technology-intensive sectors.
For Pakistan, they said, the focus should extend beyond participation in international exhibitions towards developing the institutional and commercial mechanisms needed to convert business contacts into sustained contracts, partnerships and investment.
Such an approach could add a new dimension to Pakistan-China economic cooperation, complementing established trade and investment ties with greater collaboration in IT, digital services, business-process outsourcing and other knowledge-based sectors.
Federation of Pakistan Chambers of Commerce and Industry (FPCCI) President Atif Ikram Sheikh said China’s rapidly expanding services sector presented a significant opportunity for Pakistan to broaden its export base.
Pakistan had particular potential in IT and IT-enabled services, software development, fintech, digital marketing, business-process outsourcing, professional consultancy, education and training, healthcare, logistics and other knowledge-based sectors, he told Wealth Pakistan.
“Pakistan’s key competitive advantages include a large and young talent pool, a growing IT and digital ecosystem, competitive operating costs, English-language capabilities, and increasing expertise in software, freelancing and technology-based services,” he said.
Sheikh said Pakistani companies could use these strengths to develop long-term partnerships with Chinese businesses rather than limiting their engagement to participation in trade exhibitions.
However, he pointed to several areas requiring greater attention, including awareness of the Chinese market, language and cultural differences, regulatory and certification requirements, local business networks and knowledge of Chinese procurement systems.
He said Pakistan also needed stronger institutional follow-up after international trade events to ensure business leads were converted into commercial relationships.
“Pakistan should therefore move from an event-based approach to a structured services-export strategy,” Sheikh said.
He proposed targeted business-to-business matchmaking, sector-specific trade missions, dedicated facilitation desks, market intelligence and mechanisms to track business leads until they result in contracts.
He also called for stronger cooperation with Chinese provinces and business associations, particularly in technology and emerging services, as well as greater encouragement for joint ventures and local representation by Pakistani firms in China.
Aadil Nakhoda, Research Fellow at the Centre for Business and Economic Research, Institute of Business Administration (IBA), Karachi, said China’s accelerating transition towards artificial intelligence and digitalisation was likely to generate substantial demand for business-process outsourcing, data processing, IT-enabled services and other professional services.
He said the transformation could create new avenues for Pakistan-China cooperation in knowledge- and technology-based services, including data management, software development, digital support, business-process services and environmental consulting.
Pakistani companies integrated into global value chains could also complement Chinese businesses by providing specialised services related to environmental management, sustainability and compliance, particularly as Chinese companies expand their presence in major international markets, including the European Union, he added.
Nakhoda said Pakistan’s large and relatively young workforce and growing pool of skilled professionals could provide a foundation for delivering cost-competitive and scalable services to Chinese companies as they expand their use of digital technologies and AI.
“There is considerable scope to facilitate Pakistani service providers’ participation in China’s expanding digital economy,” he said.
He suggested greater cooperation on standards recognition, regulatory coordination, licensing procedures and digital trade rules to facilitate partnerships between Pakistani and Chinese firms.
Nakhoda also highlighted the potential role of local business networks, digital infrastructure and service platforms in helping Pakistani companies integrate into China’s technology ecosystem and global value chains.
“I believe MoUs that involve harmonisation with Chinese standards, expanding trade facilitation and establishing localized infrastructure can help both countries in better IT service integration,” Nakhoda said.
