China finds another route to the Indian…

The Port of Singapore Authority’s* decision to pull out of a 40-year contract to operate the new Gwadar deep sea port in southwestern Pakistan, now to be taken over by the Chinese, is causing consternation in India and the United States. Located at the entrance of the Persian Gulf and about 460 km from Karachi, Gwadar has considerable geo-strategic significance. The growing rivalry between China and India, the continued unstable regional environment in the Persian Gulf following the Iran-Iraq and Gulf Wars and the emergence of the new Central Asian states have added further added to its importance.

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