October15,2017:ThebustlingcontainerwharfofRizhaoPort,ShandongProvince.ICInrecentyears,theglobaleconomicoutlookhasgenerallybeenconsideredtrendingpositively.Butwithrecentdevelopmentsofprotectionism,isolationismandpopulism,profoundadjustmentsinglobalgovernance,industrialstructure,energylayout,monetarysystemandgeopoliticsareunfoldingoneafteranother.
TheBeltandRoadInitiative,whichfocusesonoptimizingtheprocessofeconomicglobalization,advocatessafeguardingtheinternationalorderbasedonmultilateralismandaimstoachievecommondevelopmentandprosperityinallcountries.ItisanewinternationalpublicgoodprovidedbyChinatothewholeworldandanimportantconduitforChinatopromotebuildingacommunitywithasharedfutureformankindinthenewera,demonstratingChina鈥檚keycontributionstoglobalpeace,development,andwin-wincooperation.
ImpressiveJointConstruction
TheBeltandRoadInitiativehasyieldedfruitfulresultsafteronlyfiveyearssinceitsinception.
Intermsofpolicycoordination,Chinahassigned103cooperationdocumentswith88countriesandinternationalorganizationstojointlyimplementtheBeltandRoadInitiativeandhascompletedalignmentwiththe鈥淏rightRoad鈥漣nitiativeofKazakhstan,theEurasianEconomicUnionproposedbyRussia,theJunckerPlanofEurope,the鈥淪teppeRoad鈥漰rogramofMongolia,andthe鈥淭woCorridorsandOneRing鈥漣nitiativeofVietnam.
Intermsofinfrastructureconnectivity,anumberofrailways,highways,ports,airportsandcross-borderbridgeshavebeenbuilt.TheJakartaBandungRailway,GwadarPort,China-LaosRailway,Hungary-SerbiaRailwayandthesecondlineoftheChina-Russiaoilpipelineareallproceedingwell.Morethan8,000trainsoftheChinaRailwayExpressruntoEurope,andthenetworknowextendsto42citiesin14Europeancountries.Theseprojectsaregraduallypayingoutrealdevelopmentdividendsandimprovingthepeople鈥檚wellbeing.
Intermsofunimpededtrade,thetotalvolumeofgoodstradebetweenChinaandcountriesalongtheBeltandRoadhasreachedmorethanUS$5trillion,andChina鈥檚outboundinvestmentinthosecountriesexceedsUS$70billion.AsofApril2018,Chinahasbuilt75overseaseconomicandtradecooperationzonesincountriesalongtheBeltandRoadroutes,withatotalinvestmentofUS$25.5billion.Morethan3,800enterpriseshavesettledinthosecooperationzones,creatingnearlyUS$1.7billionoftaxesforhostcountriesandnearly220,000jobsforlocals.
Intermsoffinancialintegration,theSilkRoadFundhassignedfinancingcontractswith19projects,promisinginvestmentofUS$7billioninsupportfortheprojects.ChinaDevelopmentBank,theImportExportBankofChinaandChina鈥檚commercialbanksareincreasinginvestmenttosupporttheconstructionoftheBeltandRoad.Intermsofcloserpeople-to-peopleties,Chinahassignedculturalcooperationagreementswithmorethan60countries,andtheconceptoftheBeltandRoadInitiativeisbecomingmoreunderstood,betterrecognizedandoptimisticallysupportedbypeopleofcountriesalongtheroutes.Overthepastfiveyears,mutualvisitsmadebytouristsbetweenChinaandcountriesalongtheBeltandRoadroutesexceeded25million.BuildingaCommunitywithaSharedFutureforMankind
BuildingacommunitywithasharedfutureformankindisthecoreelementofcontemporaryChineseforeignpolicy,aswellasthemostdistinctivefeatureofmajor-countrydiplomacywithChinesecharacteristicsandtheuniqueChinesewisdomcontributingtothedevelopmentofgreaterhumansociety.Theideaofbuildingacommunityofsharedfutureisrootedintheachievementsofancientandmoderncivilizations.Proposedinresponsetothenewera,itinvolvesstate-to-staterelations,group-to-grouprelations,relationsbetweenvariouscivilizationsandrelationshipbetweenmanandnature,andradiatesrichconnotations.JointconstructionoftheBeltandRoadandpromotingbroader,deeperandhigher-leveleconomicandtradecooperationamongtheBeltandRoadcountriesareconducivetobuildingconsensus,carryingforwardthenewconceptofmutualbenefitsandwinwinoutcomesandmoreaccuratelyaddressingvitalinterestsofmostcountries.Italsofacilitatestheconstructionofacommunitywithsharedinterestsandresponsibilities.Thecommunity,inturn,providesfreshnewopportunitiesandexperiencesforeachofitsmembers.
May13,2018:Nearly40overseasstudentsfrom12countriesalongtheBeltandRoadrouteswhoarestudyingatSichuanUniversitylearnandexperiencetraditionalChineseartandculturesuchasSichuancuisine,teaceremonyandbambooweavingatMeishanVocationalandTechnicalCollegeinSichuanProvince.ICJointlyconstructingtheBeltandRoadridesthetideofpeaceanddevelopmentoftheeraandprovidesasolidguaranteeforsafeguardingthecommoninterestsofmankind.Astheeconomicglobalizationtrendcontinues,theflowofcapital,technology,informationandpersonnelaroundtheworldhasbecomeincreasinglyinterdependent.Theexistinginternationalorderandinternationalruleshaveformedacommoninterestbondaroundtheworld.Theworldisfacingseverechallenges,andtheSilkRoadSpirit,whichfeaturespeaceandcooperation,opennessandinclusiveness,mutuallearningandmutualbenefit,ismoreneedednowthaneverbefore.Nomatterhowcomplicatedandsharpcontradictionsbetweenstates,groups,religions,andsocialclassesmaybe,humanbeingsasawholesharetheultimategloriesofvictoryandpainsofdefeat.JointconstructionoftheBeltandRoadprovidesapracticalpathforrealizingcommoninterestsofmankindunderthethemeofpeaceanddevelopment.ByadheringtothecooperativeconceptoftheBeltandRoad,theinternationalcommunitywillbecomemoreresistanttoeverykindofcrises,andourcollectivestrengthwillbecontinuouslyenhanced,thusmoreeffectivelysafeguardingworldpeaceanddevelopment.
TheBeltandRoadInitiativepointsthedirectionanddesignsablueprintforthefuturedevelopmentofhumansocietyandtheconstantpromotionofpeople鈥檚wellbeing.ItalignswiththeUnitedNationsmillenniumdevelopmentgoalstoreducepoverty,promotedevelopmentthroughcooperationandnarrowdevelopmentdisparities.ItembodiesChina鈥檚commitmentandnewroleinpromotingglobaldevelopment.Chinaadvocatestheprinciplesofextensiveconsultation,jointcontributionandsharedbenefitsininternationalcooperation,andiswillingtoworkwithothercountriestorealizetheultimategoalofcreatingabetterworldfreefromwantwhereallcanliveindignity.
TheBeltandRoadInitiativeisaninnovationmadebyChinaforglobaleconomicgovernance,withanaimtopromoteafairandreasonableglobaleconomicorder.Aheadoftheonsetofthe2008internationalfinancialcrisis,globaleconomicgovernancewasdominatedbytheframeworkoftheWashingtonconsensus.Aftertheoutbreak,theWashingtonconsensuslostmuchofitsglory.Theglobaleconomicgovernancesystemisobviouslycallingforreformtoreinforceinclusiveness,representativeness,effectivenessandriskcontrol.TheconceptoftheBeltandRoadcallsforconstructinganinclusiveandcoordinatedworlddevelopmentgovernancestructure,anopenandcooperativeglobaltradeandinvestmentgovernancestructureandasafeandefficientinternationalfinancialandmarketgovernancestructure.ItisbasedonChina鈥檚experience,whichhasinspiredtheschemeandconceptforsolvingproblemshinderingworlddevelopmentandimprovingglobaleconomicgovernance.ItisaninstitutionalpublicgoodofgreattheoreticalandpracticalsignificanceinreshapingtheinternationaleconomicorderthatChinaprovidestotheinternationalcommunitytopromotereformstowardsajustandinclusiveglobaleconomicgovernancesystem.
July5,2018:AworkerassemblesacarattheassemblyplantofChinesecarmakerGeelyinBelarus.Onaverage,theplantwitnessesavehiclerollingoffitsassemblylineevery240seconds.ICGlaringLags
ThedevelopmentdisparitybetweencountriesalongtheBeltandRoadisquiteglaring,whichincreasesdifficultiesinconstructinganinclusiveanduniversalcooperationmechanism.Thosecountriesvaryineconomic,politicalandculturalconditions.Intermsofeconomicdevelopmentlevel,theBeltandRoadInitiativecoversdevelopedeconomiesinWesternEurope,energyandresource-exportingcountriesofCentralandWestAsia,emergingindustrializedcountriesofCentralandEasternEuropeandASEANandunderdevelopedagriculturalcountries.Fromthepoliticalpointofview,bothcapitalistandsocialistcountriesareincludedasaredemocraciesandmonarchies.Fromtheculturalperspective,theBeltandRoadInitiativecoverssixoftheeightcategoriesofcivilizationsidentifiedbySamuelP.Huntington:Chinese,Hindu,Islamic,Western,OrthodoxandAfricancivilizations.Countriesalongtherouteshavedifferentinterests,valuesandcooperationmodes.Thisdiversityhasincreasedthecomplexityanddifficultyofbuildinganinclusiveanduniversalcooperationmechanism.
Chinahaslongbeenonthereceivingendofglobalmultilateralgovernancerules,andisnotwellpreparedtobuildmultilateralcooperationmechanisms.Foralongtime,ChinatendedtofollowandadapttotherulesofmultilateralinstitutionssuchastheWTO,IMFandWorldBank.Inthepasttwoyears,ChinahasbeenactivelyvoicingitsopinionsandplayingtheleadroleonmultilateraldiplomaticoccasionssuchasthesummitsoftheG20,BRICSandtheSCO.ButChinahasnotbeenpositionedatthecenteroftheworldstageforlongandstilllacksprofoundtheoriesandexperienceinestablishingmultilateralcooperationmechanismsandsettingstandardsandrules.Thelackoftalentreserves,capitalinvestmentandeffectivesupportofdomesticinstitutionalmechanismsintheoperationofmultilateralmechanismsalsodemandsChinamakepreparationsmorecarefully.
Furthermore,thegeopoliticalsensitivityandcomplexityofcountriesalongtheBeltandRoadposeamajorobstacleinstrengtheningmultilateralandinstitutionalizedcooperation.TheBeltandRoadInitiativeinvolvessensitiveareasoftheMiddleEast,EastAsiaandEasternEuropeaswellasIndia,Pakistanandotherregionssufferingconflicts.Manycontradictionsexistforcountriesalongtheroutesinpolitics,economics,culture,religionandotherrealms.Somelong-standingdivergencesaredifficulttoreconcile,whilesomeexistduetocompetitionandmaneuveringbetweenglobalmajorcountries.Intheforeseeablefuture,China鈥檚effortstopromoteamultilateralcooperationmechanismundertheframeworkoftheBeltandRoadInitiativewilleasilybeaffectedbysensitivegeopoliticalrelations.
FuturePolicies
ThefocusofChina鈥檚futurepoliciestopromotetheconstructionoftheBeltandRoadcanbesummedupinthreeaspects:
First,basedonexistingbilateralandmultilateralcooperationagreements,ChinawillestablishastrategicplanningandcoordinationmechanismundertheBeltandRoadInitiative.OnthefoundationoftheexistingbilateralcooperationstrategicagreementssignedbyChinaandcountriesalongtheroutesorinternationalorganizations,anumberofpermanentworkinggroupscanbeorganizedtomapoutfutureplansforalignmentsofdevelopmentplansandcarryoutmajorcooperationprojects.Forthemediumandlongterm,permanentmechanismsundertheBeltandRoadInitiative,suchasstrategicdockingcooperationcommissionsandinformalmeetingsofseniorofficialsofstrategicplanningdepartments,canbesetuptoensurecoordinationandcommunicationonmacroeconomicpoliciesbetweenrelevantcountries,suchasformulatingtransnationalortransregionaleconomicdevelopmentstrategiesandplansandpromotingthedeeperintegrationofcountriesalongtheroutes.
Thesecondaspectisconsolidatingtheachievementsoftheexistingfreetradeareas(FTAs)anddesigningrulesandmechanismsfortradeandinvestmentundertheframeworkoftheBeltandRoadInitiative.Basedonpreviousinternationalexperience,FTAsarekeyplatformsforcoordinatingtradeingoods,tradeinservices,investment,intellectualproperty,environmentandotherrelatedfields.Already,theChina-ASEANFTA,theEurasianEconomicUnion(EEU)andotherFTAshavebeensetupbetweencountriesalongtheBeltandRoaddespitetheirdistinctdifferencesinmechanismstandards.ByactivelyadvancingtheChina-GCCFTAandtheChina-EEUFTA,theoverallframeworkofFTAsalongtheBeltandRoadrouteshasgraduallytakenshape.Inparticular,inadditiontosuchtopicsastrade,investment,andtechnicalbarriers,theoverallframeworkalsoincludesissuesthatembodytheconceptofbuildingacommunityofsharedinterests,responsibilitiesandfuture,suchasintellectualpropertyprotection,environment,infrastructure,capacitybuildingandcooperation.However,consideringthevaryingnationalconditionsofrelevantcountries,specificrulesandregulationsshouldbeflexibleanddifferentiated.Inthemediumandlongterm,similartotheFreeTradeAreaoftheAsia-Pacific(FTAAP),weshoulddrawontheexperienceoftheAPECmodeltoestablishalarge-scaleFTAthatcoversallcountriesalongtheBeltandRoadroutesledbyChinaandASEANandisopentoevencountriesbeyondtheregion.Effectiveintegrationwillprovidea鈥淐hinesesolution鈥漟orreformingandimprovingglobaleconomicgovernance.
Finally,weshouldintegratetheAsianInfrastructureInvestmentBankandotherfinancingplatformsandimprovethefinancingarrangementmechanismundertheframeworkoftheBeltandRoadInitiative.Mostcountriesalongtheroutesarerelativelyunderdevelopedandlackfinancialresources.SomeprojectsalongtheBeltandRoadroutesrequirelengthyconstructiontimeandonlyproducemodestcommercialreturns.Inaddition,significantgeopoliticalandeconomicrisksreducethemotivationforinternationalcapitaltoinvestintheregion.FormingauniqueBeltandRoadfinancingsystembyintegratingvarioustypesoffinancingplatformsincludingdevelopmentbanks,commercialfinancialinstitutionsandaidfundsistheeffectivesolutiontothehugefundinggapplaguingtheconstructionoftheBeltandRoad.
TheauthorisanassociateresearchfellowattheInstituteofInternationalEconomicResearchoftheChineseAcademyofMacroeconomicResearch.
TheCzechfreighttrainstationoftheMadrid-YiwulineofChinaRailwayExpresstoEurope,July2,2018.ChinaRailwayExpresstoEuropeisaninternationalcontainer-shippingrailwaylinethatrunsthroughcountriesalongtheBeltandRoadroutes.Inthepastfiveyears,52servicelinesthatextendto12countriesand32citiesinEuropewereopened,and33,882TEUsofcargoweretransportedon402trips.IC