EU decides to develop alternative to China’s ‘New Silk Road’ project

The European Union plans to develop a new strategy to promote infrastructure development in other countries. It should become an alternative to the Chinese initiative of the so-called “New Silk Road,” which is officially called “One Belt, One Road.”

Report informs, citing Deutsche Welle, that the EU foreign ministers made the relevant decision at their meeting on Monday, July 12, in Brussels.

“We see that China is using its economic and financial capabilities around the world to increase its political influence. Complaints will not help here. Instead, we ourselves must offer alternatives,” German Foreign Minister Heiko Maas said ahead of the EU Council meeting.

According to the minister, many countries in Europe, Africa, and Latin America have seen from their own experience that Beijing’s “own interests direct China’s actions,” so they are looking for alternatives.

“We must use this dynamic to offer an alternative to most countries. For this, we must have concrete proposals and projects,” Maas stressed, noting that the European Union must work closely with the United States.

At the same time, China is not directly mentioned in the decision of the EU Council.

The EU Council notes that other vital economies have developed their own approaches and tools to infrastructure and emphasizes that all these initiatives and actions must meet high international standards, the document says.

EU ministers also stressed that the EU infrastructure strategy should be based on respect for human rights and international law and be sustainable in environmental, social, and economic aspects.

The European Commission must now develop concrete proposals and projects for third countries. By decision of the EU Council, they must be submitted no later than spring 2022. Brussels officials are also required to prepare financing schemes for these infrastructure projects, using both public funds and private investment. In particular, the EU Council notes the possibility of financing from the long-term EU budget for 2021-2027 and the European Investment Bank and the European Bank for Reconstruction and Development.

Also, the EU Council wants the EU infrastructure strategy to be visible to the public. To do this, it must have a name and logo that are easily recognizable.

As reported, on June 30, the Ministry of Infrastructure of Ukraine and the Ministry of Commerce of the People’s Republic of China signed an intergovernmental agreement on the implementation of joint projects in the infrastructure construction industry, including the possibility of lending to such projects by the Chinese side.

Before that, Ukraine withdrew from the draft resolution of the UN Human Rights Council on human rights violations in the Xinjiang Uygur Autonomous Region of the PRC. US Deputy Secretary of State for Political Affairs Victoria Nuland spoke about Beijing’s pressure on Kyiv in this matter.