Current trends in China's international development cooperation to Latin America: potential opportunities and challenges with the belt and road initiative

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Tatiana Andrea Gélvez Rubio ◽  
Juan Carlos Gachúz Maya
Keyword(s):  
Latin America ◽  
International Development ◽  
Chinese Foreign Policy ◽  
Development Cooperation ◽  
Structural Factors ◽  
Belt And Road Initiative ◽  
Content Type ◽  
Belt And Road ◽  
The Belt And Road ◽  
International Development Cooperation

PurposeThis paper enquires into general trends of China's International Development Cooperation over the past decade in Latin America and provides insights into the challenges with the Belt and Road Initiative.Design/methodology/approachThis paper analyses quantitative data for Chinese Official Development Assistance (ODA) and Other Official Flows (OOF) for projects in Latin America based on recent data contributions including Bluhm et al. (2018) and Gallagher & Myers (2019).FindingsBased on the data available, it can be concluded that the cooperation between China and Latin America has been increasing. For instance, the value of China's cooperation increased by 4.5% per year on average from 2000 to 2014. Moreover, China's economic and political motivations in the region indicate that the cooperative relationship has been changing from a South–South to a North–South framework. Two main factors are involved in this transition: the evolution of China from a developing country to a global emerging power and the implementation of the Belt and Road Initiative to strengthen political and economic ties with the governments of the region.Practical implicationsThis investigation suggests that the increasing number of loans in the region and Beijing's growing interest in trade and natural resources are structural factors that guide the Chinese foreign policy.Originality/valueThere are few analyses of China's cooperation for development in Latin America that involve the evaluation of concessional and non-concessional loans for projects in the region in the last decade. This paper also analyses the challenges and opportunities that the implementation of the Belt and Road Initiative represents for the region.

scholarly journals Mutual Learning in Development Cooperation: China and the West

IDS Bulletin ◽  
2021 ◽  
Vol 52 (2) ◽  
Author(s):  
Jiantuo Yu ◽  
Evan Due
Keyword(s):  
Foreign Aid ◽  
International Development ◽  
International Aid ◽  
Development Cooperation ◽  
Belt And Road Initiative ◽  
The West ◽  
Mutual Learning ◽  
Belt And Road ◽  
The Belt And Road ◽  
International Development Cooperation

This article looks at some of the characteristics of China’s foreign aid system and its development over the years. It discusses China’s foreign aid based on its own development experiences and its view of South–South development cooperation. Both the modalities and narratives of China’s international development cooperation need to be considered in order to better understand the complexities, strengths, and weaknesses of its aid system. As China’s international aid continues to grow and become more prominent, particularly in the context of the Belt and Road Initiative, the article calls for a deeper understanding of China’s aid institutions and the need for greater cooperation and capacity building.

Deconstructing the Belt and Road Initiative in Latin America

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Juan Enrique Serrano Moreno ◽  
Diego Telias ◽  
Francisco Urdinez
Keyword(s):  
Latin America ◽  
Belt And Road Initiative ◽  
Economic Implications ◽  
Content Type ◽  
Wide Range ◽  
Mise En Scene ◽  
Belt And Road ◽  
Accession Process ◽  
Education And Development ◽  
The Belt And Road

PurposeThe objective of this study is to address the diplomatic and economic implications of the participation of Latin America and the Caribbean (LAC) countries in the Belt and Road Initiative (BRI).Design/methodology/approachThe study examines official documents related to the BRI and LAC's signing of the Memorandum of Understanding within the framework of the BRI (MoUs) in order to look into what it means to join the BRI. Additionally, it also introduces the findings of articles in Asian Education and Development Studies' current issue published in 2020.FindingsIn LAC, the BRI does not represent a new policy, but rather the updating and rebranding of a pre-existing one. The BRI primarily consists of an official discursive framework which aims to build a coherent narrative for a wide range of different projects and policies geared toward the improvement of connectivity with China through the development of trade and investments. However, most of these projects were implemented prior to the BRI. Pragmatism lies at the core of this framework which neither has a regulated accession process nor any binding effects. As a result, the signing the MoU represents, foremost, a diplomatic mise-en-scène. The study operates under the belief that BRI membership is not dichotomous; rather, it must be observed in terms of the countries' level of participation. In line with this, the implementation of a generalized BRI policy in LAC countries would not be advisable. Moreover, it must be noted that the BRI's reach to Latin America can be rather problematic due to the fact that the latter was not initially a participant.Originality/valueThe study aims to explore the significance of the BRI beyond the official discourse and discuss the involvement of LAC countries in it. Scholars studying the BRI in other regions have noted that there is not enough information on this policy in the context of LAC.

China’s Implementation of Goal 9 of the 2030 Agenda for Sustainable Development: International Capacity Cooperation under the Belt and Road Initiative

2019 ◽  
Vol 07 (01) ◽  
pp. 1940004
Author(s):  
Yanhong LIU
Keyword(s):  
Sustainable Development ◽  
International Development ◽  
Industrial Development ◽  
Sustainable Growth ◽  
Development Cooperation ◽  
Belt And Road Initiative ◽  
Industrial Cooperation ◽  
2030 Agenda ◽  
Belt And Road ◽  
The Belt And Road

The experience in reform and opening up shows that China’s achievements in industrialization are largely attributed to its industrial openness towards the outside world and the international cooperation. As it enters the second decade of the 21st century, China’s industry has stepped into a new era of leading international development cooperation and promoting inclusive and sustainable growth in global industry, namely a period of developing international capacity cooperation supported by the Belt and Road Initiative (BRI). As vigorously driven by the BRI, the international capacity cooperation has not only pushed forward the creation of new industrial cooperation models among developing countries, but also opened new paths and contributed Chinese approaches to regional and global industrial cooperations under the new situation, in particular for the implementation of the inclusive and sustainable industrial development goal set in the United Nations 2030 Agenda for Sustainable Development. This mainly manifests as: dovetailing the top-level design with planning to build new mechanism-based capacity cooperation models, achieving cross-border infrastructure connectivity to promote trade, investment and industrial cooperation, constructing cooperation zones as an important platform for small and medium-sized enterprises to participate in capacity cooperation, breaking the financial bottleneck of regional development through diversified and open financial cooperation, and leading the leapfrog development of countries along the Belt and Road through technological cooperation and collaborative innovation.

Viewpoint – could the belt and road initiative be derailed? An analysis of impediments to completion

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Peter Enderwick
Keyword(s):  
Design Methodology ◽  
Dynamic Environment ◽  
Belt And Road Initiative ◽  
Relative Significance ◽  
Content Type ◽  
Belt And Road ◽  
Trade War ◽  
The Belt And Road

Purpose The continuation of China’s belt and road initiative (BRI) is assumed in most analyses. Yet, recent events have created significant reputational damage for China and Chinese businesses. With a trade war evolving into a hegemonic struggle, there are a number of potential developments that could derail the BRI. This paper aims to provide a contemporary review of the factors that could negatively impact its continuation, and what China has done to mitigate the risks. Design/methodology/approach A descriptive paper that groups possible disruptive factors into three groups: internal weaknesses of the BRI and its design; those related to China’s implementation of the BRI and external concerns and pressures. Findings China has actively reviewed and refined the BRI to reduce its perceived weaknesses and increase its attractiveness to potential participants, focussing on debt dependency, transparency and governance. However, this has occurred at the same time as growing concerns regarding China’s international assertiveness, the hegemonic challenge and recovery from the COVID-19 pandemic. Research limitations/implications These changes are occurring within an extremely dynamic environment and any analysis at one point in time is subject to considerable limitations. However, the paper brings together a range of disparate perspectives in a structured manner. Originality/value The classification of possible threats to the BRI is original and provides insights into the relative significance of the diverse challenges that China faces. The paper concludes that while China’s operational focus on the mechanics of the BRI process is necessary, it may not be sufficient to ensure its continuing development. The paper identifies the next step which is conceptualisation of these ideas and of the BRI. Some guidance as to how this might be done is provided.

scholarly journals China’s Belt and Road Initiative 2.0

2019 ◽  
Vol 05 (02) ◽  
pp. 233-248
Author(s):  
Jiahan Cao
Keyword(s):  
Sustainable Development ◽  
International Development ◽  
Development Cooperation ◽  
Belt And Road Initiative ◽  
Host Countries ◽  
Developmental Needs ◽  
2030 Agenda ◽  
Development Agenda ◽  
Belt And Road ◽  
Development Goals

As China’s Belt and Road Initiative (BRI) quickly evolves into an updated version for realizing high-quality development, its long-term success will increasingly depend on how well it can earn international legitimacy and credibility. Since sustainability is a critical source of credibility for the BRI, it is necessary to move the BRI forward by amplifying its role as a development agenda and tapping its potential to support global sustainable development and facilitate implementation of the United Nations’ 2030 Agenda for Sustainable Development (2030 Agenda) through delivering more public goods to other developing countries. The BRI projects designed to strengthen infrastructure inter-connectivity can greatly fit the developmental needs of countries along the routes and expedite their achievement of sustainable development goals (SDGs), both explicitly and implicitly. Besides, the growing alignment between the BRI and the 2030 Agenda will generate more strengths and opportunities for China to be recognized as an indispensable player in international development cooperation, enhance the capacity of the BRI to manage environmental, social and governance risks in host countries, promote social cohesion and inclusiveness along the routes, and ultimately transcend short-term economic and political interests for China to win the hearts and minds of other stakeholders involved in the BRI.

scholarly journals The 2030 Agenda for Sustainable Development and China’s Belt and Road Initiative in Latin America and the Caribbean

2019 ◽  
Vol 11 (8) ◽  
pp. 2297 ◽  
Author(s):  
Yuanbo Li ◽  
Xufeng Zhu
Keyword(s):  
Sustainable Development ◽  
Latin America ◽  
Latin American ◽  
Belt And Road Initiative ◽  
2030 Agenda ◽  
Belt And Road ◽  
Development Goals ◽  
The Caribbean ◽  
Political Economic ◽  
The Belt And Road

During the initial implementation of the 2030 Agenda for Sustainable Development (the 2030 Agenda), the Second Ministerial Meeting of the Forum of China and the Community of Latin American and Caribbean States (CELAC) was held in Santiago, Chile, in January 2018. During this forum, China officially invited 33 countries in Latin America and the Caribbean (LAC) to join the Belt and Road Initiative (BRI). This study links three important global governance issues: The 2030 Agenda, China-LAC relations and BRI. The authors attempt to analyze how China’s BRI in the LAC region can learn from the 2030 Agenda of the United Nations with 17 sustainable development goals (SDGs). This study shows that although China and the LAC region have strong political, economic and trade relationships, they must deepen dialogues and cooperation on sustainable development, especially the 2030 Agenda with 17 SDGs, which can be inspirations for China’s BRI in this region. BRI, which aligns with the 2030 Agenda and contributes to Chinese experience in development, can generate new opportunities for the LAC region to implement such an agenda. However, the challenges and risks of BRI cannot be ignored, and adequate answers and solutions should be provided to allow BRI to achieve a win–win outcome for China and LAC countries. The authors also examine the alignment of China’s policies towards LAC and BRI with the 2030 Agenda (17 SDGs) and the involvement of each SDG in these policies as the 2030 Agenda (17 SDGs) should be considered in policy-making for China’s BRI in the LAC region. Moreover, on the basis of previous analyses, suggestions for a successful BRI in the LAC region in six sectors are proposed in the context the 2030 Agenda.

scholarly journals China’s Belt and Road Initiative and large-scale outbound investment

2018 ◽  
Vol 1 (2) ◽  
pp. 219-240 ◽  
Author(s):  
Shen Kunrong ◽  
Jin Gang
Keyword(s):  
Large Scale ◽  
Belt And Road Initiative ◽  
Chinese Enterprises ◽  
Content Type ◽  
Cultural Exchanges ◽  
Institutional Differences ◽  
Belt And Road ◽  
The Impact ◽  
Enterprise Investment ◽  
The Belt And Road

Purpose The purpose of this paper is to comprehensively examine the influence of formal and informal institutional differences on enterprise investment margin, mode and result. Design/methodology/approach This paper is based on 2,440 micro samples of large-scale outbound investment from 609 Chinese enterprises from the years 2005 to 2016. Findings The study has found that formal institutional differences have little impact on investment scale, but significantly affect investment diversification. In order to avoid the management risks brought by formal institutional differences, enterprises tend to a full ownership structure. However, the choice between greenfield investment and cross-border mergers and acquisitions is not affected by formal institutional differences. In contrast, the impact of informal institutional differences is more extensive. Both formal and informal institutional differences significantly increase the probability of investment failure. Further research found that the Belt and Road Initiative (BRI) bridges the formal institutional differences. Originality/value The study concludes that developing the BRI, especially cultural exchanges with countries alongside the Belt and Road, will help enterprises to “go global” faster and better.

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