The United States and its allies are working to establish a global infrastructure funding mechanism to counter the trillions of dollars. China Spending to build projects and buy influence, US officials say. Beijing.“Mercantilist” and “Hunter” Belt and Road Development loan initiative.
While Biden administration. Developing its efforts to combat climate change, it is generally moving at the same pace as the former president. Donald Trump Infrastructure is moving to cope with the flood of debt. China Over the past decade, it has been offering new roads, bridges, ports and railways to low- and middle-income countries around the world.
The current White House says the future US economy will rely heavily on global hunger for infrastructure development. WashingtonThe ability to push funding for such infrastructure is shaping how influential the United States will be as a superpower in the decades to come.
If Washington The White House National Economic Council says the U.S. wants to ensure the security of global supply chains and public health infrastructure, making it more aggressive in reducing the estimated ضرورت 40 trillion needed by the developing world for infrastructure projects by 2035. You have to play a role. Director Brian Des..
Mr. DecSpeaking at the Patterson Institute for International Economics program last week, he said US engagements abroad could promote new economic and export opportunities for US companies that ultimately create jobs at home. An opportunity is at hand, They Claimed, “Industrial power, manufacturing capacity building areas [and] The ability to innovate in the United States, while also providing an alternative to the Chinese government’s trade approach.
So far , Biden administration.Four months ago, the United States and other groups sought to announce a “Bloodback Better World” or “B3W” initiative of a new model of infrastructure funding for transparency by a group of seven industrial democracies. ۔
“It’s not just about competing or moving forward. ChinaA senior White House official told reporters in June about the background to the move. “It’s about providing a positive, positive, alternative vision for the world.” [being] Offered by China And, somewhat similarly, but in some different ways, Russia.
The United States and other democracies have struggled for years to fight them. ChinaOf the Belt and Road Initiative, which had a communist government. Beijing. Developed almost a decade ago as a springboard for its growing global influence.
President Xi Jinping outlined the program, which he first described in 2013.China The dream of rising as an economic superpower. many. Beijing. It is also seen as a renewal of ancient, China-based trade routes, such as the Silk Road through Asia and the Middle East, which cut off global trade flows, first from Europe and then from the United States.
The Council on Foreign Relations survey detailed the Belt and Road project cleanup earlier this year: “Nineteen sub-Saharan African countries have joined the initiative, as well as 34 in Europe and Central Asia, 25 in East Asia. And 18 in the Pacific, Latin America and the Caribbean, 17 in the Middle East and North Africa, and six in South Asia. [the Belt and Road Initiative]Including China, 40% of world GDP.
Belt and Road has worked around the International Monetary Fund and the World Bank, a major part of the post-Western economic order that has long been the standard owner of global infrastructure financing. ChinaArrive on stage
Chinese officials say the projects are a win-win situation, benefiting countries in Southeast Asia, Europe, Africa and Latin America, while creating construction projects for Chinese firms and infrastructure to create new trade routes and exports. Opportunities arise. The largest projects include roads and bridges, power plants, rail lines, fiber optic networks and port overhauls.
U.S. officials and some private analysts have argued that the Belt and Road includes “hunting” loans designed to trap poor nations. China It can later eliminate political and natural resource concessions in exchange for debt relief. Critics have also accused. China Using the Initiative as a cover for a multidisciplinary strategy to establish military bases abroad.
However, in terms of financial distress, a recent study by Ed Data, a research organization at the College of William and Mary in Virginia, found that Belt and Road is based on a “secret overseas development finance program” that has developed dozens. Countries worth about 400 400 billion.
The study claims that about 35% of the more than 13,000 projects financed by Chinese government loans include “major implementation issues,” including corruption scandals, environmental hazards, and labor shortages. Violations and public protests. He added that the Belt and Road is based on loans that often offer heavily conditioned liabilities that are unknown to borrowing nations in Africa, Southeast Asia and other parts of the world.
What’s more, he said. Beijing. Overseas lenders are bound to source from project inputs (such as steel and cement). China“While” allows countries to secure and repay loans with the proceeds from natural resource exports. China. ”
The Ad Data study also states that the United States and its allies are now “coming together” around their “B3W” infrastructure initiative, which focuses on “sustainable and transparent financing, good governance, private capital and the public sector.” Guided by the principles of mobility, consultation and partnership with local communities, and strict adherence to social and environmental concerns.
The G-7 countries – the United States, Canada, France, Germany, Italy, Japan and the United Kingdom – announced the B3W initiative in June, which was named after President Biden’s central economic program in the 2020 presidential campaign.
But it remains to be seen Biden administration. It is geopolitical capital that leads to real results. It is also unclear to what extent B3W will coordinate with other initiatives aimed at competing. ChinaDiplomatic and security alignment of “quad” countries – including the United States, India, Japan and Australia.
The United States, Japan and Australia have already announced the so-called “Blue Dot Network” two years ago, which aims to review and verify infrastructure development projects in the Indo-Pacific and beyond. Of Trump Durr launched a new US-US International Development Finance Corporation aimed at mobilizing large private investment in foreign development projects. Mr. Trump In the context of COVID-19 epidemics, the so-called “Economic Properties Network” was set up separately to reduce dependence on the global supply chain. China.
Biden administration. Officials suggest that B3W will use all of the previously announced measures in an integrated, complementary combination.
“We are working to change our US government’s financing tools so that the full scale of private capital can be used in this effort.” Dec Said last week. “Just to give you an example, the Development Finance Corporation – the newly formed DFC – has tried to open up private capital to new capital this year.”
They. He pointed to DFC’s role in the recent “debt swap” in Latin America, which resulted in a 250 250 million investment in Brazil’s “Smart City Infrastructure” company.
However, Mr. Dec B3W seemed to be as eager to tackle climate change as it is to tackle it. China. Its purpose, They That said, advancing a “multifaceted” approach that encourages “top of the race” among influential countries encourages “a high road, low-carbon investment towards workers who are at the center of our efforts and Protects workers’ rights. ”
They. Suggested that B3W is the role of push. ChinaHas recently announced that it will no longer build or finance coal-fired power plants internationally. “It was a welcome sign, and it comes shortly after South Korea and Japan made equal promises, and if you step back, with these two countries.” ChinaSince 2013, coal-fired power plants have accounted for more than 95% of total foreign investment. Dec Said. “Part of the effort to bring a multifaceted approach to building a better world is to encourage more positive, high-road activities than any other country.”
“None of this will be easy. If it had, a lot of it would have already happened. They Said.
Some observers say the United States and Western pressure can compete positively – or even cooperate. ChinaLong-term development costs
“The idea is to charge the United States and Western development finance in a clear counter. Beijing. – Not up front, “Keith Johnson, a longtime Geo Economics journalist, recently wrote in Foreign Policy.
“B3W, as it is known, focuses on some key areas-climate change, health protection, digital connectivity, and gender equality جو that don’t go down very well. China Digging ports or cutting highways out of the mountains, “Mr. Johnson wrote. Washington And Brussels is now fully mobilized to compete. ChinaOverseas investment, the question arises: can the West – double-collaborate with infrastructure programs with different rubrices and priorities, or face an unorganized tag team China? ”