The sister port city of Chabahar in Iran's Sistan and Baluchestan province is about 170 km (110 mi) to the west of Gwadar.

Gwadar came in the focus of attention after the Kargil War when Pakistan felt the need of having a military naval port and the Karachi-Gwadar Road (Coastal Highway) was built for defence purposes.

The strategic value of its location was first recognized in 1954 when it was identified as a suitable site for a deep-water port by the United States Geological Survey at the request of Pakistan while the territory was still under Omani rule.

[11] $1.153 billion worth of infrastructure projects will be invested into the city as part of CPEC,[12] with the aim of linking northern Pakistan and western China to the deep-water seaport.

[14] Despite concerns over the United States sanctions on Iran, Pakistan is going ahead constructing a pipeline from the Iranian border to Gwadar as of 2024.

[15] In addition to investments directly under the aegis of CPEC in the Gwadar city, the China Overseas Port Holding Company in June 2016 began construction on the $2 billion Gwadar Special Economic Zone,[16] which is being modelled on the lines of the special economic zones of China.

During the homeward march of Alexander the Great, his admiral, Nearchus, led a fleet along the modern-day Makran coast and recorded that the area was dry, mountainous, and inhabited by the "Ichthyophagoi" (or "fish-eaters"), an ancient Greek rendering of the ancient Persian phrase "Mahi Khorana," which has itself become the modern word "Makran".

The region remained on the sidelines of history for a millennium until the Arab-Muslim army captured Makran in CE 643 and over the intervening (and nearly equivalent) amount of time the area was contested by various powers.

The city was visited by Ottoman Admiral Seydi Ali Reis in the 1550s and mentioned in his book Mirat ul Memalik (The Mirror of Countries), 1557.

[22] By the end of the 16th century, Mughal Emperor Akbar the Great conquered the city along with all of Balochistan after the Battle of Sehwan.

The ensuing struggle between the heirs of the Sultan and Khan of Kalat for possession of Gwadar, allowed the British to intervene.

[citation needed] The main two Wali of Gwadar were Saif Bin Ali (First) and Eshan Azim (Last) from 1783-1958.

Gwadar was a fortnightly port of call for the British India Steamship Navigation Company's steamers and included a combined Post & Telegraph Office.

On September 8, 1958, Oman finally handed over Gwadar to Pakistan after Prince Karim Aga Khan IV made a contribution of around $3 million USD.

On 3 June 2022, Prime Minister Shehbaz Sharif inaugurated the 19.49 km, six-lane Gwadar East Bay Expressway, which was developed as an early harvest project under the China–Pakistan Economic Corridor.

[31] Other developments include 100MW Electricity import from Iran, multiple Housing Schemes, 5-star Hotels, Expo Centre, Desalination Plants on Arabian Sea, Pak-China Friendship Hospital, Aramco Oil Refinery (foreign investment from Saudi Arabia) and an ICC Standard Cricket Stadium.

On 27 July, the Frontier Corps, a Pakistani paramilitary force, fired on participants traveling to Gwadar, injuring at least 14.

[32] On 29 July, the police used tear gas to disperse crowds, detaining key BYC organizers including Sammi Deen Baloch, Sabghatullah Shah, and Dr. Sabiha Baloch, drawing international condemnation from organizations like Amnesty International and Human Rights Watch.

Gwadar has a hot desert climate (Köppen BWh), characterised by little precipitation and high variation between summer and winter temperatures.

Occasionally, winds moving down the Balochistan plateau bring brief cold spells, otherwise the winter is pleasant.

In June 2010, Gwadar was lashed by Cyclone Phet with record-breaking rains of 372 mm and winds up to 121 km/h (75 mph).

The floodings blocked all traffic between Gwadar and Karachi due to the damaged coastal highway that connects both the cities.

The Arabic influence upon Gwadar is strong as a consequence of the Omani era and its close proximity to the Arabian peninsula.

[54] The port is strategically important for China as sixty percent of China's oil comes from the Persian Gulf by ships traveling over 16,000 km (9,900 mi) in two to three months, confronting pirates, bad weather, political rivals, and other risks up to its only commercial port, Shanghai.

[55] China is heavily dependent on Persian Gulf oil which passes through the Strait of Malacca all the way through the Indian and Pacific Oceans.

The Gwadar Port–Karakoram Highway (KKH) route is sometimes said to be safer, cheaper and shorter than transporting the oil by ocean tanker.

However, research suggests that transporting oil by roadways from Gwadar to China would be very expensive, would encounter numerous logistical difficulties such as mountainous terrain, earthquakes, disputes with India, and potential terrorist attacks, and would barely make any impact on China's overall energy security,[56] though Pakistan intends to build an oil pipeline to northern Pakistan that may allay much of these concerns.

Chinese goods flowing in the opposite direction may be able to find an easier, shorter and secure route to the Middle East.

[57] As of 2024 the government of Pakistan is constructing a highway between the port of Gwadar and Reko Diq Mine in Northwest Baluchistan.

It is expected to cost $246 million and, with an area of 1,700 ha (4,300 acres), will be able to handle larger aircraft such as the Airbus A380.