An agreement was reached in Islamabad during a meeting between Pakistan Finance Minister Ishaq Dar and Xu Ziqin, President of state-owned China Shipbuilding and Offshore International Company Limited (SCOC) — the trade arm of China Shipbuilding Industry Corporation. It was reported then that the contract could be worth USD 4 billion to USD 5 billion, the biggest arms export deal for China.
Pakistan would make payments in four installments and the delivery will be made in coming years.
There have been reports that Yuan-class Type-041 diesel-electric submarines were being considered. The-Type 041 ‘Yuan’ class is described by IHS Jane’s Fighting Ships as a diesel electric attack submarine, potentially with stirling air independent propulsion.
The Type 039A submarine (Yuan-class) is a class of diesel-electric submarine in China’s People’s Liberation Army Navy. It is China’s first AIP powered submarine. This class is the successor of the Type 039 submarine. The official Chinese designation is 039A as the ship is based on the 039 class, but as the 039A has very little resemblance to the 039 it is commonly referred to as the Type 041.
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