Central Asia and China join forces. Will the fresh trade way replace the West?

Faced with expanding trade tensions between China and the United States, Beijing strengthens cooperation with Central Asian countries. During the gathering of the Ministers of abroad Affairs in Almaty, held on Saturday 26 April this year, China, Kazakhstan, Uzbekistan, Kyrgyzstan, Tajikistan and Turkmenistan declared their willingness to deepen economical ties and argue "unilateral protectionist practices". This is simply a clear consequence to the commercial policy of Donald Trump's administration, which, according to Beijing, threatens the global exchange system.

More trade, little barriers

Chinese abroad Minister Wang Yi stressed that the United States "weakened the principle-based multilateral trading strategy and destabilised the planet economy". In response, China plans to increase imports of agricultural products from Central Asia and make infrastructure investments under the Belt and way Initiative (BRI).

The countries of the region in turn expressed interest in facilitating trade with China and integrating supply chains. The key task is to build the so-called. ‘Central Corridor’ – railway network linking Asia to Europe via Kyrgyzstan and Uzbekistan. This is an alternate to conventional routes, which is intended to reduce dependence on western markets.

Predictability as a foundation for cooperation

In his speech Wang Yi pointed out that stability and predictability in global policy are essential for economical development. In the context of a variable US trade policy, China offers long-term agreements and investments to Central Asian partners to guarantee continuity of cooperation.

– We support multilateralism and openness in trade," Wang stressed. – Only through dialog and respect for common principles can sustainable growth be built.

Preparations for the Astana Summit

The gathering in Almaty was besides a phase of preparation for China-Central Asia Summitwhich will take place in Astana in June. It is expected to be attended by the president of China, which will item the strategical importance of the region for Beijing.

Faced with tensions with the West, China has consistently developed partnerships with its neighbours, offering alternate models of cooperation. For Central Asian countries, this represents an chance to diversify the economy, but besides fresh challenges associated with Beijing's increasing influence.

Source:

1. Nikkei Asia – “China, Central Asian nations agree to forge broadcaster tradeties”
2. Communication from the Ministry of abroad Affairs of China (available at www.fmprc.gov.cn)

Leszek B. Glass

Email: [email protected]

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