For years, the Pakistan Steel Mills (PSM) in Karachi stood silent—its once-bustling workshops empty, machinery gathering rust, and thousands of workers left without livelihoods. Built in 1973 with help from the Soviet Union, it was once the pride of Pakistan’s industrial landscape. But by 2015, after years of neglect and losses, it shut its doors for good.
Now, in a move that many hope will restore not just the mill but a sense of lost potential, Pakistan and Russia have signed an agreement to bring it back to life.
A Partnership Rooted in History
The signing ceremony took place at the Pakistan Embassy in Moscow. On one side of the table sat Pakistan’s Secretary for Industries and Production, Saif Anjum; on the other, Vadim Velichko, representing Russia’s Industries Engineering LLC.
But this wasn’t just a formality. Sitting nearby were Pakistani officials who clearly understood the symbolism. “Reviving PSM with Russia’s support reflects our shared history and commitment to a stronger industrial future,” said Special Assistant to the Prime Minister Haroon Akhtar Khan.
It’s a partnership that goes back decades, to the Cold War era when the Soviet Union helped Pakistan build the mill in the first place. There’s a sense of coming full circle.
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The Human Cost of Decay
After its closure in 2015, PSM became a symbol of missed opportunities. Workers who once proudly forged steel beams for Pakistan’s cities found themselves unemployed. Families who depended on those salaries had to make do with less.
When the mill closed officially in 2024, the provincial government in Sindh realized something had to be done. They reached out to Russia for help—and found Moscow receptive.
A Promise of Jobs and Hope
Under this new agreement, the plan is not only to restart production but also modernize the mill and expand capacity. For many in Karachi, it offers hope of thousands of new jobs—not just at the mill itself, but in transport, maintenance, and the countless small businesses that spring up around large industrial sites.
It also means Pakistan could reduce its dependence on expensive steel imports, making construction and manufacturing cheaper for everyone.
Looking to the Future
Beyond steel, Pakistan and Russia have been talking about other projects—from railway links to energy deals. A day before the signing, Russia’s Deputy Prime Minister called Pakistan a “natural ally,” and their foreign ministers have been meeting to deepen ties.
It’s more than just a business deal. It’s a story of old partners finding new reasons to work together—and, perhaps, of a country determined to give its people another shot at prosperity.