Are the wheels coming off China's Belt and Road megaproject?

ponder

Honorary Master
Joined
Jan 22, 2005
Messages
74,667
#1
https://edition.cnn.com/2018/12/31/asia/china-kenya-belt-road-bri-intl/index.html

Are the wheels coming off China's Belt and Road megaproject?
Hong Kong (CNN)Kenya is the latest country where China is frantically defusing a public relations storm over President Xi Jinping's signature Belt and Road megaproject.
In a statement Friday, China's Ministry of Foreign Affairs dismissed as "not true" numerous reports that a key port in Mombasa was at risk of being seized by Beijing over unpaid debts.

Speaking to journalists last week, Kenyan President Uhuru Kenyatta also pushed back, dismissing as "pure propaganda" reports based on a leaked letter from the country's Auditor General warning that assets belonging to the Kenya Port Authority -- including Mombasa's massive Kilindini Harbor, the largest port in East Africa -- were listed as collateral for a multi-billion-dollar loan to fund a railway project.

"The Chinese government themselves say this (it) is nonsense," Kenyatta said, while the AG's office denied publishing any such letter, copies of which circulated widely online.

Despite Beijing and Nairobi's vehement denials, concerns over the loans speak to a growing fear in many developing countries that their governments, in rushing to cash in on China's Belt and Road Initiative (BRI), have left themselves overextended, with Chinese state-owned companies ready to snap up ports, railways and other key infrastructure across the globe should debtors default.

Five years into the BRI, the sheen is also coming off the project in Beijing, amid an ongoing -- though temporarily paused -- trade war with the US, and concerns over future funding and returns on an increasingly unwieldy list of overseas investments.

Debt fears
For critics of the BRI, Sri Lanka's Hambantota port is the perfect example of the risks developing countries are taking on with their Chinese loans.

In December 2017, Beijing acquired a 99-year lease to the port -- located in a key strategic position on the Indian Ocean -- in return for forgiving some of the billions of dollars the South Asian country owed China.

The move sparked fears China would use similar defaults in other countries to acquire a host of new infrastructure, with both potential economic and military benefits -- leapfrogging rivals in the region such as India and the US.

In mid-2018, the Zambian government had to deny reports it was preparing to hand over control of multiple public assets, including the state broadcaster and Lusaka's Kenneth Kaunda International Airport, to China.
Read more here...
 

ponder

Honorary Master
Joined
Jan 22, 2005
Messages
74,667
#2
Where there's smoke there's fire and I suspect the chickens are gonna come home to roost for many more that cannot service their debt.

I suspect this was the strategic end game of the chinese gov from the outset.

They welcomed their new masters with open arms while vilifying the west, at some point you gonna have to pay the piper...
 

ponder

Honorary Master
Joined
Jan 22, 2005
Messages
74,667
#3
https://edition.cnn.com/2018/02/03/asia/china-sri-lanka-string-of-pearls-intl/index.html

With Sri Lankan port acquisition, China adds another 'pearl' to its 'string'
(CNN)When Sri Lanka's government first looked to develop a port on its southern coast that faced the Indian Ocean, it went not to China, but to its neighbor, India.

Then-Sri Lankan Prime Minister Mahinda Rajapaksa said he urgently needed funding to transform the harbor of his home town and asked Indian officials for help with the project.

New Delhi showed little interest in funding a costly and massive port construction project in the underdeveloped fishing village of Hambantota, a district that had been crushed by the Indian Ocean tsunami in 2004.

"It was offered to India first. I was desperate for development work, but ultimately the Chinese agreed to build it," Rajapaksa said in an interview with Singapore's Straits Times in 2010.

Beijing invested $1.5 billion in 2010 to build the port.

The venture was considered economically unviable and indeed, in the years that followed, the port sat empty and neglected, and Sri Lanka's debt ballooned.

But India's economic foresight might have cost it in terms of strategic geopolitics, since the debt incurred on the port and the surrounding infrastructure undertakings now belong to its great rival.

China's official licensing of the port in December last year gives it yet another point of access over a key shipping route, and the prospect of providing it with a sizeable presence in India's immediate backyard and traditional sphere of influence, bringing China closer to India's shores than New Delhi might like.
There will be more of this in the future, selling your future away...
 

MidnightWizard

Expert Member
Joined
Nov 14, 2007
Messages
4,353
#4
BRICS -- my ARSE

India and China have a long standing border -- stand-off , and have actually come to blows

China is about to turn the INDIAN ocean into a CHINESE lake
Look read and gain wisdom

Now -- quite close to you Mr OP ( I am surprised you do not mention it )

Maputo-Catembe Bridge impact on South Africa

The Maputo-Catembe Bridge is guaranteed to cut travel time between Maputo in Mozambique and KwaZulu-Natal in South Africa.

KwaZulu-Natal’s Department of Economic Development, Tourism and Environmental Affairs confirmed that this development, which involved South African engineers, would stimulate trade and tourism between the two countries, saying:

“The road will see the travel time between Maputo to Kosi Bay, KwaZulu-Natal’s East coast border post, drastically reduced, from 6 hours to 90 minutes.

This is a huge achievement. It will boost trade and tourism between South Africa and Mozambique.”

Catembe Bridge

What they fail to tell you is that Mozambique is basically BANKRUPT

Soon the Chinese will be taking over MAPUTO
and
Building a SIX lane highway to Gauteng ! ( Oom Paul Kruger's dream to be rid of the English )

GOODBYE DURBAN and RICHARDS BAY .........

For those still a bit dubious -- ISRAEL hands over port of HAIFA to Chinese

Did Israel compromise its own security and its alliance with the US by allowing a Chinese company to operate parts of the Haifa port?
Several analysts and anonymous officials have in recent weeks expressed great concern over a deal that will put the Shanghai International Port Group in charge of the port’s container terminal starting in 2021.

Allowing Beijing a foothold in so strategically important a location, close to an Israeli naval base, they fear, could compromise Israeli intelligence assets and even lead US military vessels to avoid docking at Haifa at all.

Port of Haifa handed over to Chinese

Washington Times Israeli-China Port Deal

Having established a military base in Djibouti on the coast as recently as last year, China is expanding political and military influence in the region, inspiring substantial concern among US officials and prompting discussion of a stronger commitment.

“Djibouti is a key, strategic United States partner in the region and is host to Camp Lemonnier, the sole enduring presence for the United State military in Africa since 2003. Djibouti remains committed to ensuring the pursuit of our shared interests in the region,” a State Dept. official told Warrior Maven Global Security.

US Military worried about Chinese moves in Africa





Do those look like the SA ROOIKAT ? ( they are CHINESE ! )

Jamestown Foundation




It’s a truism that if a country’s military, no matter how big, cannot operate for a protracted period beyond its own boundaries, then it is little more than a territorial defense force. Since the end of the Cold War, the People’s Republic of China and its People’s Liberation Army have been hard at work to shake this perception of their capabilities and expand their presence around the world. Now, Chinese troops are on their way to the Horn of Africa to staff the country’s first permanent overseas base, which opens the door for deployments well beyond the continent.

The DRIVE The WARZONE

Far from a failure the new "Silk Road" has been / will be a HUGE success -- FOR THE CHINESE IMPERIALISTS


JOHANNESBURG – Chinese President Xi Jinping has given South Africa’s land reform policy the thumbs up.
This has been revealed by President Cyril Ramaphosa, who is on a state visit in Beijing.
Ramaphosa was hosted by Jinping at the State House on Sunday and will on Monday co-chair a Forum on China-Africa Cooperation.

China’s Xi Jinping gives SA land reform thumbs up

One wonders WHY non-one in the West takes much notice of this Colonialism by STEALTH -- "of a special type" !
 
Last edited:

ArtyLoop

Executive Member
Joined
Dec 18, 2017
Messages
6,120
#5
BRICS -- my ARSE

India and China have a long standing border -- stand-off , and have actually come to blows

China is about to turn the INDIAN ocean into a CHINESE lake
Look read and gain wisdom

Now -- quite close to you Mr OP ( I am surprised you do not mention it )

Maputo-Catembe Bridge impact on South Africa

The Maputo-Catembe Bridge is guaranteed to cut travel time between Maputo in Mozambique and KwaZulu-Natal in South Africa.

KwaZulu-Natal’s Department of Economic Development, Tourism and Environmental Affairs confirmed that this development, which involved South African engineers, would stimulate trade and tourism between the two countries, saying:

“The road will see the travel time between Maputo to Kosi Bay, KwaZulu-Natal’s East coast border post, drastically reduced, from 6 hours to 90 minutes.

This is a huge achievement. It will boost trade and tourism between South Africa and Mozambique.”

Catembe Bridge

What they fail to tell you is that Mozambique is basically BANKRUPT

Soon the Chinese will be taking over MAPUTO
and
Building a SIX lane highway to Gauteng ! ( Oom Paul Kruger's dream to be rid of the English )

GOODBYE DURBAN and RICHARDS BAY .........

For those still a bit dubious -- ISRAEL hands over port of HAIFA to Chinese

Did Israel compromise its own security and its alliance with the US by allowing a Chinese company to operate parts of the Haifa port?
Several analysts and anonymous officials have in recent weeks expressed great concern over a deal that will put the Shanghai International Port Group in charge of the port’s container terminal starting in 2021.

Allowing Beijing a foothold in so strategically important a location, close to an Israeli naval base, they fear, could compromise Israeli intelligence assets and even lead US military vessels to avoid docking at Haifa at all.

Port of Haifa handed over to Chinese

Washington Times Israeli-China Port Deal

Having established a military base in Djibouti on the coast as recently as last year, China is expanding political and military influence in the region, inspiring substantial concern among US officials and prompting discussion of a stronger commitment.

“Djibouti is a key, strategic United States partner in the region and is host to Camp Lemonnier, the sole enduring presence for the United State military in Africa since 2003. Djibouti remains committed to ensuring the pursuit of our shared interests in the region,” a State Dept. official told Warrior Maven Global Security.

US Military worried about Chinese moves in Africa



Do those look like the SA ROOIKAT ? ( they are CHINESE ! )

Jamestown Foundation




It’s a truism that if a country’s military, no matter how big, cannot operate for a protracted period beyond its own boundaries, then it is little more than a territorial defense force. Since the end of the Cold War, the People’s Republic of China and its People’s Liberation Army have been hard at work to shake this perception of their capabilities and expand their presence around the world. Now, Chinese troops are on their way to the Horn of Africa to staff the country’s first permanent overseas base, which opens the door for deployments well beyond the continent.

The DRIVE The WARZONE

Far from a failure the new "Silk Road" has been / will be a HUGE success -- FOR THE CHINESE IMPERIALISTS


JOHANNESBURG – Chinese President Xi Jinping has given South Africa’s land reform policy the thumbs up.
This has been revealed by President Cyril Ramaphosa, who is on a state visit in Beijing.
Ramaphosa was hosted by Jinping at the State House on Sunday and will on Monday co-chair a Forum on China-Africa Cooperation.

China’s Xi Jinping gives SA land reform thumbs up

One wonders WHY non-one in the West takes much notice of this Colonialism by STEALTH -- "of a special type" !
Because the West i.e. 1st world doesn't give a toss about Africa
 

krycor

Honorary Master
Joined
Aug 4, 2005
Messages
14,127
#6
Don't forget China just started testing a rail gun (non-gunpowder based ship munition) which essentially render the US navy less capable as they can fire and take down a carrier ship from 150km away apparently
 
Last edited:

Okty

Senior Member
Joined
Aug 25, 2009
Messages
813
#12
This ^^
Havent noticed the West rushing in to build roads and infrastructure in Africa in any major way.
Because labour in the west is more expensive than in China? I.e. Chinese government/companies can afford to ship their own labour stock overseas for these projects.
 

MidnightWizard

Expert Member
Joined
Nov 14, 2007
Messages
4,353
#13
Because labour in the west is more expensive than in China? I.e. Chinese government/companies can afford to ship their own labour stock overseas for these projects.
BECAUSE
"Labour" in China has NO option
ALL businesses in China are linked in some way to the STATE !
 

surface

Expert Member
Joined
Oct 23, 2006
Messages
4,479
#14
This ^^
Havent noticed the West rushing in to build roads and infrastructure in Africa in any major way.
SA received 6.1 billion dollars in 2017 - that is just one country giving aid to one country in africa. We need to ask what countries are doing with this money. I know this is for HIV & TB programmes etc. but african continnent receives billions of dollars of aid - pretty sure there must be some given for infrastructure? Millions of dollars have been donated by Bill gates foundation alone.

https://africacheck.org/reports/sa-received-r6-1-billion-2017-us-not-r300-billion-da-mayor-claimed/
p.s. Seems Atholl Trollip's guestimate was a wee bit off - I suppose we need to divide anything he says by 50.
 
Last edited:

MidnightWizard

Expert Member
Joined
Nov 14, 2007
Messages
4,353
#15
China seems to have impressive record in infrastructure projects. If some countries are not able to pay back (or worse), how is it China's fault? To give anology, is etolls to be blamed on Austria (Kapsch Trafficcom) or SA government?
Does one blame

The drug ADDICT ?
or
The drug PUSHER ?
or
Some sort of amorphous entity called SOCIETY ?
 

MidnightWizard

Expert Member
Joined
Nov 14, 2007
Messages
4,353
#16
This ^^
Havent noticed the West rushing in to build roads and infrastructure in Africa in any major way.
The West provides huge amounts of "AID" -- a con game
Western companies are wary of actually sending anyone to construct anything ( apart from the useless "Peace-Corps" ) in case they are accused of -- neo-colonialism
Western companies also have strict corporate governance rules by which they are meant ot conduct business ( not that they abide by them )

The Chinese have NO such restrictions or scruples -- historically they cannot be accused of colonialism and are not considered European ( white )
They leave the locals to get on with whatever it is that they do
and
Import their OWN labour / technicians / engineers as well as plant

A country within a country
 

Nanfeishen

Executive Member
Joined
Apr 8, 2006
Messages
7,039
#18
The West provides huge amounts of "AID" -- a con game
Western companies are wary of actually sending anyone to construct anything ( apart from the useless "Peace-Corps" ) in case they are accused of -- neo-colonialism
Western companies also have strict corporate governance rules by which they are meant ot conduct business ( not that they abide by them )

The Chinese have NO such restrictions or scruples -- historically they cannot be accused of colonialism and are not considered European ( white )
They leave the locals to get on with whatever it is that they do
and
Import their OWN labour / technicians / engineers as well as plant

A country within a country
So, in reality, the West does little more than offer "aid" which often just disappears to corruption, nepotism and into unknown coffers , while China actually just buys and builds things.
They also have the sense not to use local labour and bring their own, smart.
Seems like the West has shot itself in the foot with its own restrictive rules, and is now trying to make China look bad in the press.
 

pinball wizard

Honorary Master
Joined
Feb 9, 2010
Messages
13,733
#19
I actually don't know what the OP is trying to say. That cnn piece is contradictory and puffy. So, typical CNN.

Anyway, I did go and look at the Kilindini Harbor and found the Fort Jesus Museum, so thanks anyway for the thread.
 

ponder

Honorary Master
Joined
Jan 22, 2005
Messages
74,667
#20
So, in reality, the West does little more than offer "aid" which often just disappears to corruption, nepotism and into unknown coffers , while China actually just buys and builds things.
They also have the sense not to use local labour and bring their own, smart.
Seems like the West has shot itself in the foot with its own restrictive rules, and is now trying to make China look bad in the press.
The chinese know full well their 'beneficiaries' cannot service the debt so they make them sign away strategic national assets as guarantees. Those things they built for the 'beneficiaries' will actually be used by themselves for their own benefit at the end of the day exploiting the assets that were signed over to them. Very smart of them ;)
 
Top