Wednesday, November 01, 2023

Reflections of a Great Silk Road

by John Maryon

East—west trade routes were first established between Europe and China during the Han Dynasty in the second century BC. Columns of camels, ideally suited to the formidable terrain, carried silk, spices, tea, silver, gold, salt and sugar along the 4,350 mile road.  Trading posts and markets were established which enabled trade between diverse cultures.  The Silk Road remained in existence for over 1,500 years linking the civilisations of Europe and China. 
The Belt and Road Initiative (BRI) was proposed by China's President Xi Jinping in the autumn of 2013.  Within 10 years it has grown into the largest infrastructure and Investment project ever undertaken.  A total of 172 countries and international organisations have signed over 200 co-operation agreements with China.  Sour grapes claims by Western leaders that it is running out of steam, is a debt trap and allows China to dominate others have been debunked as over 2,500 delegates including presidents, prime ministers, bankers, technical experts and government officials arrived in Beijing for the Third Forum of BRI.  It was a dramatic demonstration of the building of a new multipolar world order based upon mutual cooperation. It will enable smaller and weaker nations to resist US hegemony while forming a platform for green, sustainable development. 
December 2021 saw completion of the China - Laos 1,035 km. High Speed Railway (HSR) connecting Kunming in south west China with the Laotian capital city of Vientiane. The flagship project was fully in line with the policy of Laos to develop from a land locked country to a land linked one.  Since it opened it has carried some 3, 270, 000 passengers and each day moves 8230 tonnes of freight.  The previous 4 day journey has been cut from 4 days to just 10 hours. Increased employment and entrepreneurial opportunities have been created for residents along the line.  Tourism has increased rapidly and many opportunities created for people to people contact.  Such projects are essentially long term  investment ventures and the route is expected to make a profit in 20 years. 
BRI for land locked central Asian republics is creating important opportunities through infrastructure projects. Roads, rail links, pipelines and power grids act a catalyst for further developments that boost trade and economic development.  China has been able to use the expertise gained, from lifting 800,000 of its own people out of severe poverty, to enable others also to enjoy increased prosperity.  As poverty is eliminated the attraction of violent extremism becomes reduced. The regions’ new long distance railways facilitate trade between Europe and Asia - a new Silk Road is being created for today.
BRI extends into South East Asia.  Indonesian President Joko Widodo's arrival at the Forum coincided with the first passenger services on the Chinese built Jakarta - Banding HSR.  The 147 km line links the capital with the country's financial centre. 
BRI dovetails with Mongolia's Steppe Road programme.  One objective being to upgrade the Trans-Mongolian rail corridor in association with its neighbours.  Proposals have been made for pipelines that would not only transfer Russian gas to China but enable Mongolia to develop it's own oil and gas resources.  New highways are being built and facilities created to speed up custom clearance. New opportunities are being created to boost exports of minerals, cashmere, meat, wool and coal. As with all BRI it's partners China abides with local laws and customs. 
Speaking in 2022 Chinese foreign minister Wang Yi encouraged Afghanistan and Pakistan to jointly build the BRI.  He said China and those two countries should advance cooperation on economic and political development, counter terrorism and security issues. An  important project in Pakistan is the Karot Hydropower Station that will play an important role in ensuring the country's energy security.  A new road is being built between China and Pakistan that will form part of the China - Pakistan Corridor.  
The spread of BRI far exceeds the limits of the original Silk Road as it spreads worldwide.  Hungarian Prime Minister, Viktor Orban, attended the Bejing Forum and had talks with his Chinese counterpart.  He was the only EU leader to attend the milestone event.  Hungary was the first European country to sign a BRI cooperation agreement with China. Current projects in Hungary include the construction of the 350 km railway linking the cities of Budapest and the Serbian capital Belgrade.  China is to build a huge car plant that will produce electric vehicles in Hungary.  The country's positive approach is in sharp contrast to the collapsing and dysfunctional EU whose weak leaders have been led into a dependence trap by the US. 
Many world leaders attended the BRI Forum in Beijing.  President Putin of Russia was the guest of honour at the celebration event.  In his speech he spoke of forming closer links with the Eurasian  countries and outlined railway developments linking his vast country with the world.  He said that the world today is experiencing revolutionary changes as more countries seek to build a new architecture of international relations that is fairer and based upon mutual respect and mutual benefit. 
Smiles all round as Putin was warmly greeted by Xi Jinping when the two leaders met at the Forum.  Cooperation between the two great nations has never been better.  Cross border infrastructure projects such as the Tongjiang river bridge will help boost trade further. Work is underway to connect China's Northeastern rail network with Russia's Siberian railways. Emphasis was placed on work to link BRI with the Eurasian Economic Union. 
The involvement of BRI in Africa and the Middle East has seen remarkable progress.  A total of 62 States in the region have joined the initiative , most of which have low income and are eager to escape the poverty trap.  A number of key construction projects are starting to have a positive impact.  Five years ago only 40 per cent of Africans had access to electricity and only 33 per cent paved roads. BRI is starting to change all that. The main focus of Chinese investment has been  transport and energy. It is estimated that 10,000 Chinese firms operate  in the region. A typical project is the Addis Ababa - Djibouti Railway linking landlocked Ethiopia to the sea. To the north, in the Middle East, Syria is joining to participate in creating a corridor linking it to Iran via Iraq.  The opportunity exists to bring prosperity and hope to a whole region destroyed by US imperialism. 
In 2015  NATO member, Turkey, signed a Memorandum of Understanding.  Trade with China is expanding and work is underway to construct rail links to Central Asia and beyond. 
To Washington’s dismay, 21other states in the Americas have joined BRI.  In Argentina the 1310 MW Santa Cruz River Hydroelectric Station is being built with 70 per cent finance from China.  Construction will allow local workers to acquire new skills.  On completion 5,000 direct jobs with a further 15,000 in associated industries will be created.  Brazil, the largest economy in Latin America, is not a member but cooperation grows stronger each passing day.  China and Cuba have vowed to deepen practical cooperation.  Joint trade and development initiatives are being pursued in the telecommunications, mining and energy sectors. The successful growth of BRI takes place as US influence declines. 


No comments: