New stage for China and its Silk Road project

New stage for China and its Silk Road project

The last Silk Road summit was held in Beijing the last 14th and 15th may under the initiative of President Xi Jinping who wishes to position China as a new major actor of free exchange and global trade.

More than a simple intercontinental infrastructures project, OBOR is mostly a major issue for China who wishes to prevail as a new global trade center of gravity. Indeed, OBOR could change the economy in a way that was never done before and question the USA’s position at a time when Donald Trump took the decision to bury free trade agreements and specially the Trans-Pacific Partnership Agreement.

65 guests country representing 60% of the world’s population and the third of global GDP were present in order to keep on building the OBOR project (One Belt One Road). This pharaonic project designated as “the project of the century” according to the Republic of China, will enable the involved countries to benefit from a strong growth and jobs and this will allow to develop living standards and improve stability in trouble zones. According Xi Jinping, this project would have a vocation to benefit the entire world.

During this summit, the Chinese president said that the OBOR project will benefit from an additional envelope of 100 billion yuan (approximately 15 billion dollars) allowing to build new infrastructures in Asia, Europe and Africa. All along the road, numerous cities are going to emerge like Lanzhou and Horgos in China or Terespol in Poland and Anaklia in Georgia. Everywhere, from Kazakhstan to Poland, the Silk Road is going to help create new economic clusters which will benefit crossed countries. The creation of these new economic hubs should enable to open up domestic markets’ of countries crossed by the Silk Road. The lack of infrastructures in some areas induce an exchange slow down, thus, infrastructures investments will enable to make grow exchange volumes and to raise levels of development.

For international trade, the Silk Road project is a major event. Indeed, it promotes opening and it is eleven time more important that the Marshall Plan set up by the US at the end of the WWII. On the long run, every Eurasian roads should lead to Beijing. Central Asia will become a required path of merchandises transportation, this is why CMA CGM Log is present all along the road, from China to Germany through Russia. CMA CGM Log is already implemented in Kazakhstan, Uzbekistan, Turkmenistan, Tajikistan and Kirgizstan through its Almaty agency and its presence in the Khorgos’ hub. Demonstrating as from now its experience in central Asia countries, CMA CGM Log is able to take in charge your merchandises and redistribute it in the entire zone thanks to its expertise and know-how in this area of the world.