China’s influence in South and Southeast Asia

BEIJING: China’s influence has made significant progress, but there still remain several hurdles, as trade and investment are two keys for Beijing to achieve its economic objectives, while a sound plan is needed, according to an article published in China Today.

China and Pakistan enjoy a strong relationship. Based heavily on cooperation, they both recognise the significance of close relations to attaining foreign objectives.

Pakistan is a gate for China to reach its economic objectives, which cannot be achieved if Afghanistan does not agree to an era of peace and security. The strategy won’t be successful if terrorism and insecurity carry on in the bordering areas of China and Pakistan.

As a result, China is enhancing its influence and investment in Afghanistan. It offers training to Afghan security personnel and gives scholarships to Afghan students. At the same time, China is working to build cooperation with the US to bring peace to Afghanistan. Pakistan is also utilising similar measures to abolish terrorism.

All South Asian countries are important for China regarding its economic goals. China’s energy and trade routes to the Middle East and Europe could be put in danger if disturbances occur in South Asia. China has given full support to Sri Lanka during its times of need, including providing huge financial assistance to develop the Hambantota Port. Sri Lanka is now following a more balanced foreign policy towards China, trying to spur its own development.

China has been the biggest trading partner of Bangladesh for over a decade. The Chittagong Port has seen fast development with China’s support. Beijing and Dhaka also reached an agreement concerning the deep sea port of Sonadia. However, after some time, Bangladesh stepped back on this project.

Southeast Asian countries are watching and observing Chinese movements very carefully. The Belt and Road Initiative is set to launch a new era of trade and partnership between China and Association of Southeast Asian Nations (ASEAN), which will also be extended further to Africa and Europe.

China initiated its opening-up policy in the late 1970s, and, over a short period of time, it has become an important trading partner of ASEAN. The China-ASEAN trade volume was $41 billion in 2000, but is now about $500 billion. In 2010, the China-ASEAN Free Trade Area came into effect, and now China is playing a key role in big projects of ASEAN countries—the Laos high-speed rail, hydropower plants in Cambodia, and Indonesia’s first high-speed rail project, which connects Jakarta with Bandung.

It’s important to know that China plans to invest $1 trillion in 60 developing countries to support over 900 projects.

Chinese activities are also seen as an effort to help solve the issue of global poverty. President of Philippines Rodrigo Duterte and Prime Minister of Malaysia Najib Razzaq are strong voices in favour of Chinese steps in ASEAN countries.

It may be mentioned here that Muhammad Mehdi is the first Pakistani columnist who has contributed an article for China Today, a monthly journal which is published in seven languages.