President Xi Jinping publicly promoting his Belt and Road initiative. AP
President Xi Jinping publicly promoting his Belt and Road initiative. AP

How the GCC and China stand to benefit from a deeper 'Belt and Road' partnership



Donald Trump is about to embark on one of the most challenging tests of statecraft in his young presidency. Early next month, he will travel to Asia where he will meet leaders of traditional American allies such as Japan and the Philippines, as well as new partners, such as Vietnam.

Mr Trump has much to prove to these countries. Former president Barack Obama's famous "pivot to Asia" resulted in fresh engagement between the US and Asia primarily designed to offset China's growing influence. Mr Obama appointed an ambassador to the Association of Southeast Asian Nations, opened a new chapter in US-Vietnamese relations and helped design the Trans-Pacific Partnership Agreement to counterbalance Chinese economic influence in the region and beyond. One of Mr Trump's first acts in office, famously, was to remove the US from the TPP, effectively handing China the geoeconomic upper hand that Mr Obama sought to keep in check.

As such, the most watched part of this marathon trip will take place in China, where Mr Trump will attempt to broker some sort of solution to the continued crisis in North Korea and combat China's increasingly aggressive foreign policy. Lost in the rhetoric of impending war with North Korea is how the US plans to respond to China's booming economic footprint across Asia and beyond. Specifically, how does Mr Trump intend to address China's Belt and Road initiative now that the programme is touching on traditional US allies far beyond Asia's borders?

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Through the initiative, China is creating a new global economic reality in which all roads lead to Beijing. The project has begun with massive infrastructure investment designed to connect the Chinese market to Europe and create a new maritime trade network throughout the Indian Ocean. Quite literally, China is building its ideal economic reality through construction and capital.

The relationship between Belt and Road and the Gulf Co-operation Council is one clear example of how the project could change not just global economics but also geopolitics. In a report that will be published this week on the opportunities and challenges for the GCC in the initiative, the emerge85 Lab detailed various outcomes of China's rising influence in the Middle East. Both the GCC and China stand to benefit enormously from a deeper partnership.

Building on already strong relations, China would have a guaranteed source of energy by extending the initiative into the Arabian Peninsula. As we have found, the GCC's central location, aviation and port infrastructure, and strong bilateral relations with China make it attractive to Chinese politicians. Moreover, the GCC has strong relations with Pakistan, which is a key Belt and Road partner, much to India's chagrin.

From a GCC perspective, as the report lays out, the initiative could be a driving force behind regional energy integration, including gas pipelines, electricity transmission and strategic energy security initiatives such as storage facilities. A stronger economic partnership with China could also offset Iranian influence in the Belt and Road and further strengthen Egypt's economy, given the importance of the Suez Canal in global trade. The Qatar crisis notwithstanding, the GCC stands to benefit enormously from a united bargaining position with the rising economies of the world.

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When Mr Trump arrives in Beijing, he will probably not be thinking about China's energy security needs and the GCC. Given the speed at which China is raising capital and investing in infrastructure to make the initiative a reality, this should be a matter of concern.

This boils down to a question of leadership. Previous US presidents appeared to understand the intention, if not the exact design, of China's economic ambitions. In turn, they took steps to firm up traditional alliances and foster new allies in an effort to ensure the power of America's global footprint. Mr Trump's decision to effectively rip up the TPP, coupled with his aggressive message of protectionism, has done much to tarnish America's leadership image just as China spreads its wings through the initiative.

The countries of the GCC are among America’s core allies, through whom US foreign policy in the Middle East and beyond is shaped. That is why the emerging GCC-China axis, facilitated through the initiative, is critical to the overall debate about China’s growing economic and political leadership role. As the US retreats behind bombastic protectionist rhetoric, China is offering access to a new global marketplace. Trade is increasingly defined between emerging markets and not simply from emerging markets to developed ones. Deeper trade between the GCC and China is one of many examples of this new economic reality.

While energy concerns attract the Chinese to the GCC, both in terms of the initiative and bilateral relations, these concerns are not permanent. With advances in technology and oil reserves increasing by the month, energy will not always define the relationship. As such, the GCC should use energy to attract China now to ensure it becomes a long-term partner through other aspects of trade, such as infrastructure development and technological advancements.

This transforming economic relationship is one part of the backdrop to Mr Trump's Asia trip. While the headlines are focused on North Korea, it is critical not to lose sight of the long-term issues at play.

Joseph Dana is the editor-in-chief of emerge85 Lab, a project exploring change in the emerging world and its global impact

PROFILE OF INVYGO

Started: 2018

Founders: Eslam Hussein and Pulkit Ganjoo

Based: Dubai

Sector: Transport

Size: 9 employees

Investment: $1,275,000

Investors: Class 5 Global, Equitrust, Gulf Islamic Investments, Kairos K50 and William Zeqiri

Where can I submit a sample?

Volunteers can now submit DNA samples at a number of centres across Abu Dhabi. The programme is open to all ages.

Collection centres in Abu Dhabi include:

  • Abu Dhabi National Exhibition Centre (ADNEC)
  • Biogenix Labs in Masdar City
  • Al Towayya in Al Ain
  • NMC Royal Hospital in Khalifa City
  • Bareen International Hospital
  • NMC Specialty Hospital, Al Ain
  • NMC Royal Medical Centre - Abu Dhabi
  • NMC Royal Women’s Hospital.
Company profile

Company name: Suraasa

Started: 2018

Founders: Rishabh Khanna, Ankit Khanna and Sahil Makker

Based: India, UAE and the UK

Industry: EdTech

Initial investment: More than $200,000 in seed funding

UPI facts

More than 2.2 million Indian tourists arrived in UAE in 2023
More than 3.5 million Indians reside in UAE
Indian tourists can make purchases in UAE using rupee accounts in India through QR-code-based UPI real-time payment systems
Indian residents in UAE can use their non-resident NRO and NRE accounts held in Indian banks linked to a UAE mobile number for UPI transactions

THE SIXTH SENSE

Starring: Bruce Willis, Toni Collette, Hayley Joel Osment

Director: M. Night Shyamalan

Rating: 5/5

BEETLEJUICE BEETLEJUICE

Starring: Winona Ryder, Michael Keaton, Jenny Ortega

Director: Tim Burton

Rating: 3/5

Tank warfare

Lt Gen Erik Petersen, deputy chief of programs, US Army, has argued it took a “three decade holiday” on modernising tanks. 

“There clearly remains a significant armoured heavy ground manoeuvre threat in this world and maintaining a world class armoured force is absolutely vital,” the general said in London last week.

“We are developing next generation capabilities to compete with and deter adversaries to prevent opportunism or miscalculation, and, if necessary, defeat any foe decisively.”

Company Profile:

Name: The Protein Bakeshop

Date of start: 2013

Founders: Rashi Chowdhary and Saad Umerani

Based: Dubai

Size, number of employees: 12

Funding/investors:  $400,000 (2018) 

Company%20profile
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Vikram%20Vedha
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Results:

2.15pm: Handicap (PA) Dh60,000 1,200m.

Winner: AZ Dhabyan, Adam McLean (jockey), Saleha Al Ghurair (trainer).

2.45pm: Maiden (PA) Dh60,000 1,200m.

Winner: Ashton Tourettes, Sam Hitchcott, Ibrahim Aseel.

3.15pm: Conditions (PA) Dh60,000 2,000m.

Winner: Hareer Al Reef, Gerald Avranche, Abdallah Al Hammadi.

3.45pm: Maiden (PA) Dh60,000 1,700m.

Winner: Kenz Al Reef, Gerald Avranche, Abdallah Al Hammadi.

4.15pm: Sheikh Ahmed bin Rashid Al Maktoum Cup (TB) Dh 200,000 1,700m.

Winner: Mystique Moon, Sam Hitchcott, Doug Watson.

4.45pm: The Crown Prince Of Sharjah Cup Prestige (PA) Dh200,000 1,200m.

Winner: ES Ajeeb, Sam Hitchcott, Ibrahim Aseel.

Pupils in Abu Dhabi are learning the importance of being active, eating well and leading a healthy lifestyle now and throughout adulthood, thanks to a newly launched programme 'Healthy Lifestyle'.

As part of the Healthy Lifestyle programme, specially trained coaches from City Football Schools, along with Healthpoint physicians have visited schools throughout Abu Dhabi to give fun and interactive lessons on working out regularly, making the right food choices, getting enough sleep and staying hydrated, just like their favourite footballers.

Organised by Manchester City FC and Healthpoint, Manchester City FC’s regional healthcare partner and part of Mubadala’s healthcare network, the ‘Healthy Lifestyle’ programme will visit 15 schools, meeting around 1,000 youngsters over the next five months.

Designed to give pupils all the information they need to improve their diet and fitness habits at home, at school and as they grow up, coaches from City Football Schools will work alongside teachers to lead the youngsters through a series of fun, creative and educational classes as well as activities, including playing football and other games.

Dr Mai Ahmed Al Jaber, head of public health at Healthpoint, said: “The programme has different aspects - diet, exercise, sleep and mental well-being. By having a focus on each of those and delivering information in a way that children can absorb easily it can help to address childhood obesity."

Emergency phone numbers in the UAE

Estijaba – 8001717 –  number to call to request coronavirus testing

Ministry of Health and Prevention – 80011111

Dubai Health Authority – 800342 – The number to book a free video or voice consultation with a doctor or connect to a local health centre

Emirates airline – 600555555

Etihad Airways – 600555666

Ambulance – 998

Knowledge and Human Development Authority – 8005432 ext. 4 for Covid-19 queries

The specs

Engine: 2.0-litre 4-cylturbo

Transmission: seven-speed DSG automatic

Power: 242bhp

Torque: 370Nm

Price: Dh136,814

COMPANY%20PROFILE
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