The Silk Road Economic Belt is a vast belt of nations that run through the China seas and connect the largest countries in the world. This vast land runs for over 500 kilometers and links all of the major civilizations in the world today. Today, China is the number one economic power in the world, second only to the United States. When you add the large international market and the one that it serves, one can quickly see why China is so successful. And with the globalization going on today, more countries are looking to China as a place to invest and raise money for the future.
However, when China was first considered, it seemed like a wildcard. Silk Road countries did not have a stable political system or a stable economy. However, with the recent rise of Silk Road economic belts, these nations are starting to take notice of China and how it is starting to reshape the global economy. Some nations such as India are starting to invest more in Chinese companies and institutions.
Silk Road nations are starting to look at China as a major partner, even trading partners. These nations have decided that it is in their best interest to join in the trade deals that are being made between China and different countries. By doing this, they are gaining access to markets that they would otherwise not have had access too Silk Road economic belt.
Many nations are looking to promote their own industries, which helps them develop faster and provides employment for their citizens. By investing in Chinese companies, these countries can gain access to the markets they would otherwise have had to invest in other countries. It is also in the best interest of these countries to diversify away from traditional Western industries and make sure that they are providing goods and services that people want and need. By working closely with the Chinese government and making sure that they stay on track, these nations will be able to do just that.
However, sometimes the Chinese government does not do what they say they are going to do. For example, there have been concerns raised over the past several years about their attempts to take control of a large section of South China Sea. When the Chinese began making claims in the region, many countries immediately had issues with that and boycotted the trade agreement between the two countries. At the time, the US said that this was unacceptable behavior and showed the lack of respect for international law. Now that the US has returned to these countries, they have made it clear that they are not going to allow the Chinese to access the disputed waters under any circumstances. If China does continue their aggressive behavior, then there will be more tensions between the US and China and all types of diplomatic problems that will be created.
On another hand, other countries are worried about the growing dominance of the Chinese in the global economy. They feel that it is a danger to the world’s stability and could lead to trade barriers and even war. The Silk Road Economic Belt is supposed to boost China’s economy and help that country become a more democratic system of governance. By creating economic connectivity between various Asian countries, it should stimulate growth in that area as well and allow the free flow of goods and services internationally. For the US, this would be a chance to do business with some of its most important neighbors in the world and create jobs, not to mention it’s ability to keep the Chinese economy on an even keel.
As this happens, it will be interesting to see what happens between these two powerful nations. Some analysts think that the US will find itself backing away from its Asian allies, while others think that the US should embrace the economic belt as long as it benefits America. There are also those who fear that once the economic belt is operational, there will be nothing stopping China from taking its place as the main center of the international economy. In the past, China was often criticized for stealing American intellectual property, but after the Silk Road Economic Belt was operational, those worries may begin to fade.
With so much riding on this, it is no wonder that the Chinese government is very eager to get things started. China wants to be a part of the globalization phenomenon and the Silk Road Economic Belt is the perfect way for them to achieve this. Just remember though, when dealing with a Chinese government official, you need to always ask for their name and location, and never give up your own due diligence. In the case of the Belt, China has a powerful ally in the form of India and with the Indian economy is doing great on its own, they have no reason not to push their belt forward. Whether or not they succeed remains to be seen, but one thing is for certain: Whether they come to help or hurt, the US economic belt route will continue to serve as one of the most important trade alliances in the world and this certainly doesn’t hurt.