The purpose of this chapter is to assess to what extent the Belt and Road Initiative (BRI) can shift the balance of power within the world trading system by increasing connectivity across the Eurasian continent and its neighbours, thus transforming current international production networks (IPNs) and creating a higher degree of economic interdependency between China and the countries targeted by BRI schemes. This chapter will contextualize the amount of Chinese financial flows to the countries participating in the BRI. It will assess to what extent it is possible to claim that such flows have generated significant change in trade structures and IPNs that should strengthen China’s economic influence on the Eurasian continent. It will also attempt to see if Chinese foreign direct investment (FDI) flows in the BRI region are likely to generate a geographical extension of production processes from Chinese firms across the Eurasian continent and transform the global division of labour in ways that will significantly impact BRI recipient countries.
Karima Fachqoul and Jean-Christophe Defraigne
A Triangular Relationship
Edited by Jan Wouters, Jean-Christophe Defraigne and Matthieu Burnay
Maria Adele Carrai, Jean-Christophe Defraigne and Jan Wouters
The introduction to the volume contextualizes the Chinese Belt and Road Initiative (BRI) in relation to global governance. After looking at the initiative within the broader geo-economics and geopolitical context, specifically Obama’s pivot to Asia, the introduction provides a literature review of the main research that has discussed the BRI and global governance. The introduction challenges the general view that sees China simply as a threat, and attempts to provide a more balanced, fact-based account of China as a possible responsible actor in global governance. It then introduces the various contributions and shows how their different perspectives on the rational of the initiative, the effects on geo-economics and the global financial system, contribute to gain new insights about the initiative and the normative relevance of Chinese new global presence.