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2017/08/24

Belt and Road set to boost development in Mideast, Africa

Countries in the Middle East and Africa with get more opportunities and synergize with their own development strategies from the China-proposed Belt and Road Initiative , officials and scholars have said.

Proposed by China in 2013, the Belt and Road Initiative aims to build trade and infrastructure networks connecting Asia with Europe and Africa along the ancient Silk Road trade routes.

Kuwait was among the first Arab countries to sign a cooperation agreement with China under the framework, as well as one of the founding members of the China-initiated Asian Infrastructure Investment Bank.

image credit: internet

Being a country whose oil and gas sector accounts for about 94 percent of its export revenue, Kuwait has been trying to modernize its economic structure and reverse imbalances in its housing and demographics.

In 2010, the Kuwaiti government released "Kuwait 2035," or the Kuwait National Development Plan, formulated to transform the country into a regional financial hub by 2035 via 164 strategic development projects.

The Belt and Road Initiative, in such circumstances, offered a chance for Kuwait to optimize its economic structure and could dovetail well with the country's national development strategy, said Cheng Yongru, economic and commercial counsellor of the Chinese Embassy in Kuwait.

According to China's General Administration of Customs, trade between China and Kuwait reached 5.47 billion U.S. dollars in the first half of 2017, up by 28.6 percent year on year. In 2016, bilateral trade was 9.37 billion dollars.

Similar to Kuwait, Saudi Arabia announced a "Saudi Vision 2030" growth strategy last year in a bid to diversify its heavily oil-dependent economy.

As the world's second largest economy, China has a competitive advantage in manufacturing and industrial engineering, areas Saudi Arabia needs to develop, said Sailim Aljamidi, a renowned scholar in politics in Saudi Arabia.

Promoting the docking of the Belt and Road Initiative with the "Saudi Vision 2030" growth strategy will facilitate the latter's economic transformation, and benefit the people of both countries, Aljamidi added.

Meanwhile, the relationship between Sudan and China has reached new height after the two countries agreed to elevate their ties to a more advanced level.

"The two countries are heading towards consolidating their standing ties on mutual benefits and sharing of balanced development," Mohamed Hassan Saeed, a Sudanese political Analyst, said.

"Since the visit of the Sudanese President Omar al-Bashir to Beijing in 2015, where he agreed with his Chinese counterpart Xi Jinping to upgrade bilateral ties to a more strategic level, the two countries have achieved remarkable progress in the development of relations in all fields," said Saeed.

"The two countries can utilize their potentialities and enter into new economic partnerships, particularly in the field of agriculture, where Sudan enjoys a huge labor force, fertile lands and water resources, and China, in turn, possesses advanced agricultural technology," he said.

Sudan was one of the first countries to embrace the Belt and Road projects, of which it stands to greatly benefit, including in solidifying its relationship with China, Saeed said.

He believes that the initiative would bring about great economic gains for developing countries, including Sudan.


"The initiative is likely to reactivate Sudan's internal and external trade activities and bring great investment opportunities for Sudan under the huge projects that China would establish in countries covered by the initiative," he said.

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2017/07/11

Will China-Made Volvo Cars Win A Big Success in Belgium?

Belgium will become an important partner of The Belt and Road? How do Belgium & China do? 
A freight train carrying 123 brand new Volvo cars made in northeast China arrived in the Belgian port of Zeebrugge Friday afternoon, marking a milestone in the history of cargo transport between the two countries.
The train was welcomed by government officials, diplomats, business representatives and journalists from both countries after a journey of 9,832 kilometers, which took some 20 days, passing through Russia, Belarus, Poland and Germany.
The shipment carried the S90L, Volvo's flagship model, manufactured in the company's Daqing plant in northeast China's Heilongjiang Province.
image credit: internet

A staff member from the car manufacturer at the site told us that all the cars have been reserved and will soon be distributed across Europe from the port.
"If we ship the cars by sea it will take up to 60 days, now we can save over 40 days. We also managed to find a balance between saving time and controlling shipping costs," said Yuan Xiaolin, senior vice president of Volvo Car Group attending the welcome ceremony.
Following the arrival of the first train, the Volvo rail cargo service will continue to run at least once a week, and eventually reach the goal of four to five weekly round trips.
Every year the trains are expected to bring 30,000 to 40,000 new Volvo vehicles to Zeebrugge, an open seaport handling over 40 million tons of cargo annually, and ferry Belgian products to China on their return journeys.
Belgian deputy Prime Minister Kris Peeters, who visited the Volvo Daqing plant during his visit to China in May, hailed the arrival of the train as an example of "concrete results of the Belt and Road Initiative".
The initiative aims to build a trade, investment and infrastructure network connecting Asia with Europe and Africa along the ancient Silk Road.
Peeters stressed that Belgium is demonstrating strong willingness to participate in the Belt and Road initiative as a partner.
"The 21st Century Silk Road marks a new era for trade and cooperation between Belgium and China. As we see today it provides great opportunities for countries to deepen cooperation," said Peeters.
"We firmly believe that strengthening train connectivity and investing in excellent infrastructural links will be a crucial aspect of Europe's future relations with Asia," he added.
Qu Xing, Chinese ambassador to Belgium, believes that the potential of this new train service is tremendous.
"Belgium has great advantages in carrying out cooperation with China under the framework of the Belt and Road initiative," said the ambassador, underlining that Belgium boasts three of the 10 biggest ports in Europe.
As of early June, over 4,000 cargo train trips have been made between Chinese and European cities since the start of the direct rail freight services six years ago, according to Chinese national operator China Railway Corporation.

What do you find from the news? As we are global trade, we should identify the big market in Belgium.
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2017/06/30

B&R Initiative Brings Huge Benefits to All of Trade

During the ongoing 2017 Dalian Summer Davos, the Belt and Road Initiative is the hottest topic. On June 28, a session was held in the Dalian International Conference Center to discuss global implications of the Belt and Road Initiative.

"One Belt, One Road offers a powerful vision in today's world," said Ahsan Iqbal, Minister of Planning and Development of Pakistan.

image credit: internet


In Pakistan where the China-Pakistan Economic Corridor (CPEC), part of the Belt and Road Initiative, is expected to generate $57 billion in long-term investment, the effects are already being felt with significant capital flows in the energy and telecommunications sectors - and with Mandarin Chinese now the most studied language in Pakistan, he said.

Iqbal said that, as connectivity under the Belt and Road Initiative is actualized, the process will stimulate inclusive growth that will "touch the lives of millions of people now cut off from the mainstream."

In a world that seems increasingly fragmented, Zhang Tao, Deputy Managing Director of International Monetary Fund, reckoned that "the bottom line is that the Belt and Road Initiative has the potential to strengthen cross-border dialogue and foster multinational cooperation. This is very important in today's increasingly interconnected world, and is going to be even more important in the next few years."

Danny Alexander, Vice-President and Corporate Secretary of the Asian Infrastructure Investment Bank, observed that China's vision will enable developing countries in Asia to achieve "leapfrog" development, and that the ambitious framework has the potential to secure the region's economic security for decades to come.

"The success of these strategies, to invest in infrastructure and promote connectivity, will be key in determining the prosperity of Asia over the next 20-25 years," he said, before offering a caveat: "The stakes are high, so it matters that we work within partnerships."

Describing the Belt and Road Initiative vision as mutually beneficial, Ann Sim, Senior Minister of State for Trade and Industry of Singapore, said approaching the exciting potential of connectivity in the spheres of infrastructure and finance and deepening people-to-people links will require strong policy-coordination providing not only a clear direction, but also a degree of flexibility.

"In the case of Singapore, I would say that we see a value in having frameworks. At the same time, we see the value in moving ahead with experiments and demonstration projects," she added.

Although the Belt and Road Initiative brings huge benefits along the region, there are still some challenges ahead.

According to Minister Iqbal, effective coordination is required because lots of government departments are involved. In addition, a great deal of skilled labor was required along the Belt and Road.


The Belt and Road Initiative refers to the Silk Road Economic Belt and the 21st Century Maritime Silk Road proposed by Chinese President Xi Jinping in 2013. The initiative aims at promoting policy coordination, facilities connectivity, unimpeded trade, financial integration and people-to-people bond in the international community.

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