China's Century Steel Mill has issued a warning about the potential shutdown of its plant located in the Rashakai Economic Zone, citing a range of operational challenges. The company has communicated that if the situation does not improve, it will begin dismantling the facility, which represents a significant concern for local employment and economic activity.

The Century Steel Mill in the Rashakai Special Economic Zone (SEZ) is a significant initiative under the China-Pakistan Economic Corridor (CPEC) framework. This project is part of a broader effort to enhance industrial cooperation between China and Pakistan, reflecting the strategic partnership that has developed through CPEC.

Key issues highlighted by Century Steel highlighted such as high land costs. The financial burden of maintaining operations in the zone has become unsustainable. The mill claims it faces unfair competition and challenges from competitors that are not subject to the same regulatory or financial pressures.

The company has listed a total of 18 specific grievances that contribute to its decision-making process regarding the future of the plant.

Obstacles in machinery imports, rising cost of steel and extreme security expenses are among the challenges faced by the company. The company gave the Pakistan government a final warning and urged it to improve the situation.

Blatant attacks on Chinese nationals working for the CPEC projects across Balochistan is another reason for the warning to close the mills.

"This is our final communication. If the situation doesn't improve, we will begin dismantling the plant," the company wrote in the letter.