Connect with us

East Asia

Ice Silk Road: From Dream to reality

Published

on

Authors: Mahdi Torabi*, Vahid Pourtajrishi

The history of Silk Road backs to thousands years ago. The aim of creation of this route was linking China to Europe through Middle East. Growth of Chinese enterprises and industries which was started since middle of 20th century increased the significance of expanding the link routes between China and Europe following expansion of China’s export to West. Silk Road seems to be the main option in such condition as an ancient route which has been designed and created for this purpose.

But the main existing problem on this way was existinglimitation on capability of the classic Silk Road for transportation of high volume of freight from China to Europe.

In fact, the issue of increase this capability was the essence of Xi Jinping’s initiation of his “One Road One Belt” Doctrine which was declared by him as one of the significant elements of Chinese foreign policy.

According to the Xi Jinping’s defined policy for the new Silk Road, this route has to be expanded to some new routes on the ground and sea.  But it has to be mentioned that China has not been the only state who follows Jinping’s policy toward Silk Road. Many of other states, especially those who are located on China – Europe rote try to increase role on this high interesting route.

Through these states, we can point to Turkey and Russia as the most important ones who have shown their will to participate highly in this project.

Turkey introduced its Baku – Tbilisi – Kars (BTK) Corridor to create a new Silk Road which connects Istanbul to China by passing Azerbaijan and Kazakhstan. Ankara’s initiation in introducing a new combined route was a revolution in the regional and intercontinental transport orders.

But beside of all defined merits for this route, some disadvantages like high cost of transport or existence of not suitable weather conditions for move of ships through Caspian Sea on winter. That’s why;relating released reports on establishment of BTK by Turkey and its partners created a shock among experts in international transportation.

While many of experts recognized this route as the last alternative for the classic Silk Road, Russia could come over its geographical problems with sea ices of Arctic to establish Northern Sea Route or Ice Silk Road which was just an inaccessible dream for Moscow till few years ago.

Passing through Arctic that is fully covered with at least 150cm diameter pieces of ice might was just like a joke or far dream before end of Cold War and there was no strong logic behind of such assumption.

By start of the Cold War and fast growth of the nuclear technology in 60s to 90s, we can say that development of many nuclear related technologies like construction of reactors, enrichment and producing nuclear armament in one hand andexpansion of maritime industries especially in military section got in force by USSR.

But the main reasons for focus of Moscow on Arctic back to significance of natural resources in this region which composed determinants and important part of USSR’s boundaries.

While latitude of Scandinavian states and Canada is closed to Arctic, but no one of these states has not been successful enough to use the potential opportunities of this region like Russia.

Since Vladimir Putin’s seize of power in 2000 and his plans for reconstruction of Russia’s economy, discover of new routes to access world markets was adopted on the agenda of the Russian government. Finding new costumers for the huge resources of oil and gas was one of the main attitudes of Russia in Moscow’s new economic planning. That’s why Russia began to expand and execution of its significant and mega plans in this regard like establishment of Turkish Stream gas pipeline.

Despite all adopted policy by Russian government, the main problem was Makinder’s concern in his theory of “Heartland” to access the warm water. According to Makinder, the only available link route between Russia and the southern warm water was Iran. That’s why; Russians always have been looking for a way to access free and warm waters by Iran.

But by achieved impressive growth of technology during past decades, it seems Russia has found a safer way to access free waters instead of Iran and that is use of its territorial waters of Arctic that is able to link this country to Europe on one hand and connects Russia to East and China from on the other hand.

As we know, required technology for using the Northern Sea in international transit of freight have always been in hands of Russia and US. But this route has never been as interesting one for US because of its easy access to the free waters on one hand and end of Cold War on the other hand. That’s why there has been not enough interest for US to invest much in expansion of international transit route from Arctic region. US has only one icebreaker in North Sea and Arctic that is built in 1976 and was used for costal patrol in this region during Cold War era.

We try to investigate the probable causes for establishment of the “Ice Silk Road” by Russia in the following:

Expansion of the oil fields of Arctic and oil export increase

Russia got succeedto transport its first oil cargo in 2017 from Hammerfest in Norway into BoryeongPort of South Korea successfully. This shipment was a 200 million dollars LNG cargo which was transported by “Cristophe de Margerie” tanker carrier within just 19 days. It means Russia got succeed to save the time for 30% rather using Suez Canal as the common path of this route.

Russia has invested in development and expansion of the gas field of “YamalPeninsula” more than 27 million dollars and China also has announced its readiness for investment in this mega project. It is worth mentioning that the order of development this project issued by Vladimir Putinpersonally and this demonstrates the level of priority and significance of this project for Moscow. Margarie ice breaker tanker could sliced the huge ices of Arctic with at least 120 cm thickness and passed Arctic within just six days. But it is clear that possibility of such shipment will get very harder during winter season and needs high-developed ice breakers. That’s why, Russia has decided to produce new generation of these ice breakers to remove this obstacle.

Following this policy, Dimitry Rogozin, the deputy of the Russia’s prime minister in his interview with TASS News Agency declared decision of his country to build three new nuclear ice breakers.  He said: “Rosatom [state civilian nuclear power corporation] has now been instructed as part of private and state partnership to think over the algorithm of financing three icebreakers rather than one and then we will make navigable the entire Northern Sea Route. We will be able to lead whatever vessels for any customer by transit through the Northern Sea Route: caravans with goods from Asia to Europe and we will be able to export our hydrocarbons in the form of liquefied natural gas not only to Europe but also to Southeast Asia,” Rogozin said in an interview with Rossiya-24 TV Channel, describing the plans of developing Russia’s icebreaker fleet.

“In 2019, we will commission [the shipyard’s] dry dock. Just imagine the dimensions: 484 meters long and 114 meters wide. Two aircraft carriers can be built there at a time,” the vice-premier said, describing the new shipyard.

Simultaneously, shipbuilders in northwest Russia are building three current-generation icebreakers: the Arktika, the Ural and the Sibir, Rogozin said.

Simultaneously, shipbuilders in northwest Russia are building three current-generation icebreakers: the Arktika, the Ural and the Sibir, Rogozin said.

According to the vice-premier, these icebreakers will be commissioned for operation in 2019-2021 and “will help ensure an all-out escort [of vessels] through the ice from Yamal Peninsula towards the West.”

“Yamal LNG Project” is under construction in Yamal Peninsula and is counted as the most significant maritime project of Russia in energy sector. This mega project includes 200 wells, one airport and 15 tankers (2016) which will be able to export at least 2 million cm liquid gas. According to experts, this amount will be increased to 50 million cm in a year (the Ministry of Roads and Urban development of Iran).

On the other hand, China is one of the most important strategic customers and trade partners of Russia especially in oil section. According to the experts and analysts of energy section, China will be the consumer of 17% of energy resources of the world till 2050. That’s why, if Russia increases the amount of its oil productions, Moscow would become the first oil partner of China instead of the Middle Eastern oil exporters like Saudi Arabia, UAE and Iran.

Transit of freight from China to West (the Ice Silk Road)

According to Dimitry Rogozin, transit of freight from Far East to West using Arctic and Northern Sea will be one the main aims of Russia to establish the North Sea Route. Export of the Russian productions into South East of Asia is one of the other significant aims of creating such route. As Rogozin declared, the new generation of the nuclear ice breakers will be able to carry two aircraft carriers. So the approximate area of the each mentioned freight carrier will be something around 55176 m2 and this dimension will be more than 5.5 hectares!

Furthermore, creation of the new route will be 25-55 percent shorter than the Suez Canal path which links China to Europe to each other.

It is worth to mention that one of the significant exports of Russia from this route will be the mineral extractions like gold, uranium and diamondin worth of more than five billion dollars.

Reduction of China’s dependence on Middle Eastern oil

China is one of the key players and investors in Yamal project and has invested more than 12 million dollars in this mega project. Except this, the Silk Road Fund has fulfilled 20% of the total project cost. But it has to be asked why China follows this project while Beijing fulfills its required oil from Middle East?

In fact, the energy market of Middle East and its stability is under doubt because of existing many problematic factors like anti – Iranian sanction, fire of war all over the region, the issue of illegal immigration of terrorist groups and etc. that’s why such market could not be counted as a stable and permanent energy market for China as the greatest industrial country of world.

So, it seems the Chinese officials have decided to find a more stable alternative to fulfill its energy needs instead of Middle East. On the other hand, we cannot ignore the existing strategic partnership between China and Russia in this way. Also, by creation of Ice Silk Road, it will be more logical for China to fulfill its required energy resources from Russia regarding the issue of short geographical distance between the two countries rather Middle East.

A the end, we have to say that creation of Ice Silk Road is minded as a game changer not only in foreign trade relations of Russia but also will be a revolution in international trade between East and West especially in aspect of trade corridors. It could affect highly on the both classic and new routes in Silk Road like the passing corridors from Iran, Turkey, Azerbaijan and many other states that have enjoyed their geo-economics privileges on this route.

*Mahdi Torabi is head of planning unit at department of the international affairs of the Railway of the Islamic Republic of Iran.

Vahid Pourtajrishi is an expert at planning unit of the department of the international affairs of the Railways of the Islamic Republic of Iran. He has worked as journalist at correspondent of Mehr News Agency.

Continue Reading
Comments

East Asia

The Taliban seek cooperation with China?

Published

on

image source: chinamission.be

How to deal with Afghanistan after the removal of US forces has become a subject that many countries are grappling with. And because Afghanistan and China are linked through Xinjiang, the Afghan Taliban aspire to cooperate with China. According to sources, on July 28, Baradar, the head of the Taliban’s Political Committee, visited China and met with Foreign Minister Wang Yi.

During the meetings, Foreign Minister Wang Yi made a personal plea to the Taliban in Afghanistan, expecting that the Taliban would draw a line with terrorist organizations like the East Iraqi Movement and actively battle them, removing barriers to regional growth and cooperation. Since the United States made it apparent that it intends to withdraw its troops, China’s position toward Afghanistan and the Taliban has become the center of all countries’ attention.

Prior to that, China simply repeated its long-standing foreign policy of non-interference in domestic matters, — in other words, China does not intervene in Afghanistan’s internal problems and expects Afghans to handle their own internal affairs. China, on the other hand, is very concerned about the situation in Afghanistan. China has not only made substantial investments in Afghanistan, but it has also sponsored several dialogues in China between Afghan parties.

Only because of the complexities of the situation in Afghanistan does China lack a clear answer. China has stated its particular needs more explicitly this time than in the past. China has far too many considerations when it comes to Afghanistan. However, in comparison to the behavior of many other nations, China’s demands for the Taliban this time have been well thought out, fair, and controlled.

First, China has maintained its previous favorable policy. Despite the fact that the Afghanistan problem is unique, China has not broken its foreign policy of non-interference in internal matters. On the basis of this strategy, China has had interactions with all parties in Afghanistan, ensuring that participation is not only voluntary, but also sufficient to ensure that all parties understand China’s position in order to avoid misunderstandings.

Second, China has stated its opinion on the subjects that most worry it. China has no space for compromise when it comes to national security. China has not raised this matter in the past, but it still needs to voice its viewpoint at the proper moment. As a result, China has the guts to demonstrate its stance, which will aid in the resolution of the situation.

Only when this issue is settled will future collaboration between China and Afghanistan be simple. The Taliban further said that no troops will be allowed to utilize Afghan territory to conduct activities that harm China. Atta regards China as a reliable ally and thinks that China would contribute to peaceful rebuilding.

Furthermore, China has not permitted certain ill-intentioned groups throughout the world to flourish. Following the withdrawal of the US troops, there was speculation in Western culture that China might become engaged in this issue and become the next growing power to enter the “empire’s tomb.” The Indian army’s recent intervention in Afghan politics appears to demonstrate that, as a powerful country around Afghanistan, it is hard to stay out of the issue.

China avoided the urge to intervene and managed its interactions with all sides sensibly, laying the ground for the next phase in the development of China-Afghan relations. So far, China has not fallen into the West’s trap, nor has the deterioration of the situation in Afghanistan harmed its relations with all parties.

As China expands its global presence, it will eventually come into contact with nations with very difficult political and economic situations, such as Afghanistan. However, China will not flee because of obstacles, because the majority of the world’s developed countries are Western countries with strong biases against China, and those wanting to have good relations with China are frequently developing countries with varied challenges. nation. As a result, China has no option.

Continue Reading

East Asia

Will US-China Tensions Trigger the Fourth Taiwan Strait Crisis?

Published

on

Half a century ago, the then-National Security Advisor Henry Kissinger flew to Beijing in the hope of seeking China’s alliance to contain the Soviets. His visit culminated in the U.S. agreement to recognize Beijing as the only legitimate government of China instead of Taipei, going back on the promise he had made to the president of the Republic of China, Chiang Ching-kuo, merely one year previously that Taiwan would never be abandoned by the US. The realistic American diplomat may have never thought that one day Taiwan, once ruthlessly forsaken by the US, would become the latter’s most important strategic fortress in East Asia to contain a rising China.

In 2018, the passage of the Taiwan Travel Act encouraged more high-ranking American government officials to visit Taiwan and vice versa1. The US Undersecretary of State Keith Krach landed in Taiwan two years later, rendering him the highest-level State Department official to visit the island since 19792. The Secretary of State, Mike Pompeo, announced the cancellation of all restrictions on official contacts between the U.S. and Taiwan in January 20213 – an action that was vehemently denounced by the Chinese government as Trump’s “last-ditch madness” that would “push the Taiwan question deeper down the road of no return”4.

Just when the world thought of Joe Biden’s ascension to power as a harbinger of softer attitudes toward Beijing, especially regarding Taiwan issues, the diplomatic muscle flexed by the newly elected US president is as eye-tingling as his aviator shades – first, his Secretary of State, Blinken and Secretary of Defense, Austin made an explicit announcement of the U.S. support for Taiwan; second, he sent former Deputy Secretaries of State Richard Armitage and James Steinberg and former senator Chris Dodd to Taiwan in honor of the 42nd anniversary of the Taiwan Relations Act.

America’s incremental interest in the island is not confined to actions from its executive branches, but it has permeated its legislative system. The introduction of the confrontational “Strategic Competition Act of 2021” in April signals the anti-Soviet-style containment of China which was backed by The Senate Foreign Relations Committee. This bill echoes the “Interim National Security Strategic Guidance” released by the Biden Administration in March, and it emphasizes the urgent need to “achieve United States political objectives in the Indo-Pacific” and back closer ties with Taiwan5. With strong bipartisan support, the bill is expected to be signed into law by President Biden and to serve as a legislative compass to counter China at all levels. In that respect, Taiwan Strait is more likely than ever to become “ground zero” by the U.S. and China.

On the other hand, the crackdown on Hong Kong’s democracy movement under the new National Security Law by Beijing proved to be successful due to the limited backlash received from the West. On top of that, Beijing’s handling of Xinjiang cotton issue seems to have managed to incite nationalism among Chinese people on a short notice to boycott “anti-China forces”6. With a record of 380 incursions into Taiwan’s airspace by Chinese air force during 2020, there is reason to believe that Hong Kong and Xinjiang were “guinea pigs” used by Beijing to test its capability for the fourth Taiwan Strait Crisis, the probability of which has been enhanced by Xi Jinping’s attempt to seek reappointment and Beijing’s need to divert domestic attention away from the escalating social conflicts brought about by the stagnant economy.

So, the pertinent question is: if the fourth Taiwan Crisis does break out, when will it happen? It could be sometime after the 2022 Beijing Winter Olympic Games7 as it is unlikely for China to discard the opportunity to showcase its image and test its comprehensive strength8. This could be déjà vu in light of Russia’s successful Blitzkrieg-style invasion of Ukraine in 2014, which occurred only three days after the end of Sochi Winter Olympics. However, China is not the only one who can learn from history. When the rest of the world anticipates China’s intent with regard to Taiwan, preemptive precautions will be taken. The game-theory-type strategic interaction may hence spur China to launch its attack before the upcoming international sports gala.

Another critical timing could be prior to the 20th National Party Congress of the Chinese Communist Party in October 2022. Xi Jinping’s abolishment of term limits through constitutional amendment may pave the legal foundation for his reappointment, but the “widespread opposition within the party”9 renders the legitimacy of his extended tenure unlikely. That is why some may find it hard to conceive of Xi’s attempt to “start an unnecessary war with Taiwan” before his re-appointment10, but his insatiable desire for a 3rd term may push him over the edge. For the time being, Xi seems to be seduced by his burgeoning self-confidence that China is charging into an epoch of opportunity where “the East is rising and the West is declining,”11 and what time is better than now to consolidate his authority in front of dissidents with a military show-off targeting Taiwan?

As Henry Kissinger12 said, “The historical challenge for leaders is to manage the crisis while building the future. Failure could set the world on fire.” When the leaders of the two greatest powers both see their own countries as the future “Leviathan” of the world, the definition of failure can no longer be merely confined to internal mismanagement, but being surpassed by international competitors. Kissinger may have overestimated some leaders’ senses of honor to bear the responsibility of the “historical challenge”, but he can be right about the catastrophic consequences of their failures. But this time, failure is not an option for either side across the Taiwan Strait nor across the Pacific Ocean

Reference

  1. Chen, Y., & Cohen, J. A. (2019). China-Taiwan Relations Re-Examined: The “1992 Consensus” and Cross-Strait Agreements. University of Pennsylvania Asian Law Review, 14(1).
  2. Mink, M. (2021). The Catalyst for Stronger US-Taiwan Ties. https://keithkrach.com/the-catalyst-for-stronger-us-taiwan-ties/
  3. Hass, R. (2021). After lifting restrictions on US-Taiwan relations, what comes next? Brookings. https://www.brookings.edu/blog/order-from-chaos/2021/01/11/after-lifting-restrictions-on-us-taiwan-relations-what-comes-next/
  4. Global Times. (2021). Pompeo may toll the knell for Taiwan authorities. https://www.globaltimes.cn/page/202101/1212378.shtml
  5. Zengerle, P., & Martina, M. (2021). U.S. lawmakers intensify bipartisan efforts to counter China. Reuters. https://www.reuters.com/world/asia-pacific/us-lawmakers-look-advance-sweeping-bid-counter-china-2021-04-21/
  6. Cui, J., & Zhao, Y. (2021). Boycott of Xinjiang cotton use opposed. China Daily. https://www.chinadailyhk.com/article/161495
  7. Everington, K. (2021). Former US security advisor says Taiwan in “maximum danger” from PLA. Taiwan News. https://www.taiwannews.com.tw/en/news/4189160
  8. China Daily. (2021). Preparing for Winter Olympics promotes quality development – Opinio. China Daily. http://www.chinadaily.com.cn/a/202101/22/WS600a131ba31024ad0baa44f1.html
  9. The Guardian. (2020). China’s Xi Jinping facing widespread opposition in his own party, insider claims. https://www.theguardian.com/world/2020/aug/18/china-xi-jinping-facing-widespread-opposition-in-his-own-party-claims-insider
  10. Roy, D. (2021). Rumors of War in the Taiwan Strait. The Diplomat. https://thediplomat.com/2021/03/rumors-of-war-in-the-taiwan-strait/
  11. Buckley, C. (2021). Xi Maps Out China’s Post-Covid Ascent. The New York Times. https://www.nytimes.com/2021/03/03/world/asia/xi-china-congress.html?_ga=2.178218534.2000768907.1619749005-1359154941.1599697815
  12. Kissinger, H. A. (2020). The Coronavirus Pandemic Will Forever Alter the World Order. https://www.wsj.com/articles/the-coronavirus-pandemic-will-forever-alter-the-world-order-11585953005

Continue Reading

East Asia

Quad Infrastructure Diplomacy: An Attempt to Resist the Belt and Road Initiative

Published

on

Over the years, the competition between the great powers in the dual space of the Indian and Pacific Oceans has been rapidly increasing. In the face of the aggravation of relations between the PRC and the United States, the defence dimension of the rivalry between the two contenders for global leadership traditionally comes to the forefront. However, in today’s context, the parties will most likely not engage in military action for the strengthening of their dominance in the region, but they will try to achieve the goals by expanding of economic influence. In this context, along with the well-known trade wars, there is an infrastructure rivalry in the region, which is enforced on Beijing by Washington and the Quadrilateral Security Dialogue (Quad).

The role of Infrastructure in Indian and Pacific Oceans’ countries

The countries of Asia traditionally drawing the attention of the world community due to the high rates of economic, technological, and social development. In less than three decades, their per capita income has increased by 74%, millions of people have been lifted out of poverty, as well as a growing middle class has emerged in the region. All this became possible due to the multilateral cooperation institutionalization and the integration of the economies of the Indo-Pacific. However, the strengthening of trade and economic ties and the future prosperity of Asia largely depends on the infrastructure (ports, highways and railways, airports, pipelines, etc.), which contributes to a more active movement of goods on a regional and global scale. Moreover, back in 2009, the Asian Development Bank (ADB) published a report according to which collective investments in infrastructure in the amount of US$8 trillion will be required to maintain rapid economic growth in Asian countries.

The most prominent infrastructure initiative in recent years is the «Belt and Road Initiative» (BRI), which was launched by China’s leader Xi Jinping in 2013. The BRI helped to fill numerous infrastructure gaps, but the United States and its partners increasingly paid attention to the geostrategic aspect of China’s actions. It’s no secret that the Belt and Road plays an important role in the development and integration of China’s provinces with neighboring countries. However, with the growing number of countries participating in the BRI, as well as the strengthening of China’s influence on a regional and global scale, criticism of the strategic tools for expanding Beijing’s economic influence gradually increased. The Belt and Road has faced a number of critical remarks, including those related to accusations of purposely involving the regional countries in the so-called «debt traps». Regardless of the degree of truthfulness or study of the issue, from year to year, media reports have contributed to the building of a contradictory attitude to China’s BRI among the residents, experts, and political elites all over the world.

Moreover, as soon as Donald Trump became the U.S. President in early 2017, Washington modified the nature of its policy towards China to greater confrontation. This trend has become a direct expression of the intensified great powers’ rivalry and their struggle for hegemony in the Indo-Pacific, as well as a motivation for the revival of the Quadrilateral Security Dialogue (Quad), which includes the United States, Australia, India and Japan. However, the interaction of the Quad has long been built on the basis of defence.

This trend continues nowadays, as evidenced by the frequent exercises and the growing Quad naval presence in the Indo-Pacific but in 2021 the Quad countries expanded their range of issues on a multilateral basis. Now the agenda includes vaccine diplomacy (providing 1 billion COVID-19 vaccines to Indo-Pacific countries, climate change, technological cooperation, maritime security, cybersecurity, and external development assistance. According to Kurt Campbell, Indo-Pacific policy coordinator at the National Security Council, Washington is looking to convene an in-person fall summit of leaders of the Quad countries with a focus on infrastructure in the face of the challenge from China.

Quadrilateral infrastructure diplomacy as the continuing vector of the Trump’s administration

The infrastructure agenda also became an important part of the last summit of the G7 countries’ leaders, during which the parties expressed their willingness to establish a BRI counterpart called Build Back Better World (B3W). In total, there are 22 mentions of infrastructure in the final G7 Summit Communiqué. Even despite the traditionally restrained position of India, which took the time to «study the specifics of the proposal», infrastructure diplomacy of Quad is becoming a new area of geostrategic competition in the Indo-Pacific.

There’s one exception: the activities on the infrastructure track are not a new trend of U.S. President Joe Biden’s administration, but a continuation of the foreign policy vector set during the presidency of Donald Trump. It was he who turned Sino-U.S. rivalry into a geo-economic level. Back in 2017, the Foreign Ministers of the Quad countries stated the need for high-quality infrastructure development in order to ensure freedom and openness of sea routes, as well as improve intra-regional ties. In 2018, MoU was signed between the US Overseas Private Investment Corporation (OPIC), the Japan Bank for International Cooperation (JBIC) and the Ministry of Foreign Affairs and Trade of Australia, aimed at implementing major infrastructure projects in the Indo-Pacific. Moreover, the Quad countries raised the question of the BRI countries’ growing debt during their official meeting in Singapore.

It was clear that the Belt and Road Initiative is perceived by the Quad countries as the main factor in expanding the economic and political influence of the People’s Republic of China, as well as China’s influence of the domestic political processes in the countries of Indo-Pacific. At the same time, the combination of economic and defence rivalry enforced on Beijing by Washington, as well as Quad’s efforts to build a balance of power in the region actually indicates the explicit anti-​China nature of the Quad.

In this case, it’s important to note that each of the Quad countries has its own levers of influence, which they can combine in infrastructure competition with Beijing. For example, in 2015, in response to the implementation of the Belt and Road Initiative and the establishment of the Asian Infrastructure Investment Bank (AIIB) by China, Japan made the Partnership for Quality Infrastructure (PQI). The United States, in turn, announced the infrastructure project Blue Dot Network (BDN), as well as the Ministry of Foreign Affairs and Trade of Australia established a new Partnerships for Infrastructure (P4I). All these initiatives are united by a commitment to inclusive economic growth, «quality infrastructure», climate change, disaster response, and social development. The capitalization of the Japanese, American and Australian initiatives is US $110 billion (US$50 billion from Japan and over US$50 from the Asian Development Bank), US$30-60 million, and US$383 thousand (including access to US$4 billion of foreign aid and $US2 billion from the Australian Infrastructure Financing Facility for the Pacific), respectively. Given the ongoing discussions about debt traps, the emphasis on «high-quality infrastructure» may give special features to the initiatives of the Quad but even the total amount of funding will not be able to compete with the US$770 billion investments already made in 138 countries of the world and announced by China.

Anyway, Quad is stepping up its infrastructure diplomacy in at least three areas, including Southeast Asia, Oceania, and the Indian Ocean. For example, Australia, Germany and Switzerland have already allocated US$13 million to the Mekong River Commission For Sustainable Development (MRC) to assist Cambodia, Laos, Thailand and, Vietnam «to respond to pressing challenges while safeguarding the ecological function of the Mekong River and improving people’s livelihoods».At the same time, Australia signed US$300 million MoU with Papua New Guinea, aimed at the ports reconstruction in the major state of Oceania (the ports of Vanimo, Kimbe, Motukea, Lorengau, Oro Bay, Daru, Lae, etc.). It is important to highlight that the increasing economic and infrastructural presence of China in the countries of Oceania, energize Australia’s policy in the South Pacific, which is a traditional zone of influence of Canberra. At the same time, the expansion of Australia’s aid and investment to the broader Indo-Pacific is due to the commitment of the current Australian government to the U.S. foreign policy.

In turn, the reaction of the Southeast Asian countries to the intensification of Quad infrastructure diplomacy will be more restrained. According to the latest Pew Research Center survey, the most unfavourable view of China is in the United States (76%), Canada (73%), Germany (71%), Japan (88%), Australia (78%), and South Korea (77%), while in Singapore — the only country representing ASEAN in the survey — the percentage of unfavourable views on China is at a low level (34%). Moreover, considering the aspects of infrastructure diplomacy in the region, we should definitely refer to the survey of the Center for Strategic and International Studies (CSIS) of the political elites of the region «Powers, Norms, and Institutions: The Future of the Indo-Pacific from a Southeast Asia Perspective», published in 2020. Despite the intentional exclusion of Russia from the survey, it approximately reflects the trends in the Indo-Pacific countries at the present stage. Thus, as a result of the survey, American experts revealed that the political elites of Southeast Asia positively assess China’s activities in the field of infrastructure development, which has brought tangible benefits to most Southeast Asian countries.

Beijing’s Response

China is actively reacting to verbal attacks from the United States and Quad. The infrastructure agenda was no exception, but China responded by modernizing its global Belt and Road Initiative. In response to criticism about the involvement of the countries in debt traps, Beijing has developed a new Foreign Policy White Paper «China’s International Development Cooperation in the New Era». The document was published in early 2021. According to the provisions of the new White Paper, China will pay closer attention to the process of implementing projects within the aid framework, take an active part in evaluating projects in order to monitor their quality, maintain an appropriate level of confidence in its projects to China, as well as conduct bilateral consultations to identify difficulties with debt repayment and make sure that partners do not fall into a debt trap. It’s possible that the new vision of the PRC will appear especially quickly in countries where the Quad will primarily try to implement their infrastructure projects.

China is the first country in the region, which pays significant attention to the issues of large-scale infrastructure development. Moreover, Beijing has a number of advantages over its opponent — Quad. First, the Belt and Road initiative is more structured and aimed at intensifying trade, economic, cultural and humanitarian cooperation with neighboring countries, while the emerging Quad infrastructure agenda is «dispersed» among numerous individual initiatives, doesn’t have the same level of stability as the BRI, and even after 3.5 years of building the agenda is considered through the prism of expectations.

Second, China’s initiative is aimed at a single infrastructure connection between the PRC and the rest of the world and acts as a potential basis for the intensification of global trade in the future. At the same time, today’s projects of the Quad are of a “sporadic» nature and can’t contribute to the infrastructure linkage between Europe, Africa, South and Southeast Asia on a global scale.

Third, China can already offer the Belt and Road members not only logistics infrastructure but also the opportunities in the field of green energy. At the end of 2019, China produced about a third of the world’s solar energy and retained a leading position in the number of wind turbines. Within the foreseeable future, the Quad countries, and especially the United States, will have to compete with China even in the field of the climate agenda, which is so close to the new administration of the U.S. President Joe Biden.

Finally, during his recent speech on the occasion of the 100th anniversary of the Chinese Communist Party (​CCP), PRC’s Leader Xi Jinping confidently declared the great revival of the Chinese nation, its contribution to the progress of human civilization, and its readiness to build a new world, which undoubtedly indicates China’s decisiveness to respond to challenges to its address, including from the Quad.

Conclusion

The ongoing transformation of the regional architecture in the Indo-Pacific, both in the defence and economic areas, will be an important aspect in the post-pandemic era. China has repeatedly stated about the «covered» Quad activities to deterrence Chinese policy in the region, but the expansion of the Quad’s agenda by infrastructure diplomacy allows us to speak about the evident vector of the Quad strategy against the PRC.

However, nowadays the Quad countries had been left behind. China already has the world’s most numerous land forces, the largest navy, as well as an ambitious global Belt and Road initiative that includes almost 140 countries and a capitalization approaching US$1 trillion. Of course, Quad is moving towards the institutionalization of its infrastructure cooperation and the potential expansion of the number of participating countries to the Quad Plus format. However, to reach China’s achievements for the period 2013-2021, the new alliance will need at least a decade.

At the same time, the rivalry of the Belt and Road with the Quad’s infrastructure initiative will help the countries of the region to diversify their infrastructure ties but will make their choice even more difficult, since it will primarily be regarded as support for the foreign policy vision of one of the parties, and not a pragmatic estimate of economic benefits. All this makes the regional environment in the Indo-Pacific increasingly complex and forces middle powers and smaller countries to adapt to new geostrategic realities.

From our partner International Affairs

Continue Reading

Publications

Latest

Trending