This week’s issue highlights the pent-up news that China’s outbound investment is now the highest in the world when compared to other economies, while we offer strategic assistance to Western and Russian companies seeking a way out of the Ukrainian conflict and Western sanctions. Elsewhere, it’s all about the Far East when we look at China’s C+C5 Central Asia forum, and infrastructure and supply chain developments between China and Russia and India and Russia . We take a look at how Central Asian trade between Kyrgyzstan and Uzbekistan is developing and have our usual global BRI roundup.

Opinion

What belt and road slowdown? China leads the world in outward investment and inward investment

Western media often take aim at China’s Belt and Road Initiative, which must be one of the inaccurately reported Chinese state initiatives. Readers themselves will be familiar with discussions of ‘slowdowns’, ‘disruptions’, ‘debt traps’ and all sorts of problems. It’s a similar story of domestic slowdowns in China, with strict Covid policy attracting all sorts of negative attention among stories of expats leaving China and Hong Kong “in droves”. However, in reality, China’s foreign direct investment and outward investment have reached record highs.

Helping Western and Russian companies plan their post-conflict investment strategies

Professional assistance is available to advise Western and Russian companies in Russia in planning their next strategic actions in light of the current European conflict.

Central Asia

China establishes ten points of cooperation with Central Asian countries

Chinese Foreign Minister Wang Yi attended the third China + Central Asia (C+C5) Foreign Ministers’ Meeting in Nur-Sultan, Kazakhstan. The C5 includes Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan and Uzbekistan. Central Asia has become of increasing strategic importance to China following the Russian-Ukrainian conflict, which pinched direct supply chain routes between China and the EU. We provide an analysis of what was said at the meeting.

Kyrgyzstan’s exports to Uzbekistan surge as growing trends justify China-Kyrgyz-Uzbekistan railway Kyrgyzstan increased its commodity exports to Uzbekistan from January to April 2022, according to Kyrgyzstan’s National Statistics Committee. The news validates the recent decision to begin work on the China-Kyrgyzstan-Uzbekistan (CKU) railway, with export trends supporting the route’s success.

China-Russia

Inauguration of the new Russia-China road bridge for freight and passengers on the Amur River

Freight traffic began using the first road bridge over the Amur River, connecting Blagoveshchensk in Russia and Heihe in China. The bridge was opened to trucks on Friday June 10. Cargo trucks cross the bridge at the Kani-Kurgan – Heihe border checkpoint, with up to 600 trucks capable of crossing the bridge and completing customs formalities daily. The digital crossing points will be able to support the movement of up to 4 million tonnes of cargo and 2 million passengers per year.

India-Russia

Russia tests India Freight Direct via INSTC

Iran’s state-owned shipping company said it successfully carried out the first transit of Russian cargo to India, using the International North-South Transport Corridor (INSTC). The goods originated in St. Petersburg, left the Russian Caspian Sea port area of ​​Solyanka in Astrakhan, were shipped south to Iran’s Anzali Caspian seaport, and then transited south by road through Iran to the Iranian Gulf port of Bandar Abbas. From there the goods were shipped to Mumbai.

Belt and Road Initiative

Belt and Road of China and Beyond

All the latest global headlines on China’s Belt and Road Initiative.


About Us

Dezan Shira & Associates provides business intelligence, market research, legal, tax and compliance matters to foreign investors throughout Asia, and has 28 offices in the region. We are members of the Leading Edge Alliance, a network of related companies with offices around the world. For help with researching the Belt and Road Initiative, please contact us at [email protected] or visit us at www.dezshira.com. To subscribe to our Belt & Road Initiative portal, please click on here.