Sunday, July 25, 2021

"China & Egypt Strengthen Belt And Road Collaborations Including The Suez Canal International Logistics Zone"

I'm beginning to see a pattern here.*

From Silk Road Briefing, July 23:

Egypt’s Free Trade Agreements with AfCFTA and the EU make it an attractive Chinese investment destination to access new export markets

China and Egypt have signed a deal to establish an intergovernmental cooperation committee aimed at further enhancing bilateral relations, in an agreement signed by Chinese Foreign Minister Wang Yi and his Egyptian counterpart Sameh Shoukry. Wang is on an official visit to Egypt and has also visited Syria.

“Egypt is one of China’s most important strategic partners among Arab countries, in the Islamic world, in Africa and among developing countries,” Wang said, reiterating that Beijing appreciates Cairo for its support on issues concerning Beijing’s core interests and said China also supports Egypt in safeguarding its own sovereignty, security, and development interests.

“China is ready to work with Egypt to deepen the alignment of their development strategies, expand cooperation in production capacity, infrastructure, new energy, space and aviation, as well as new and high-tech industries, and open up new prospects for mutually beneficial cooperation,” he said, adding that China will continue to support Egypt’s localized production of vaccines to help the country fight Covid-19.

For his part, Shoukry said that “Egypt is willing to work with China to strengthen their cooperation in economy, trade, industry, science and technology within the framework of the Belt and Road Initiative (BRI), expand people-to-people and cultural exchanges and maintain communication on the reform of the United Nations Security Council and other international and regional issues,” he added.

Egypt is currently regaining stability after the ”Arab Spring” disturbances and problems with fighting ISIL. It is a huge market of some 100 million people and an important regional player. Russia has also been making inroads into Egypt with a Special Economic Zone at Port Said near the mouth of the Suez Canal, building Egypt’s hi-speed Red-Mediterranean Sea railway and is shortly to conclude an Egyptian-Eurasian Economic Union free trade agreement....

*Starting with the Bosporus/Dardanelles between the Black and Mediterranean Seas:

And the Panama Canal:
China Will Help Panama Secure the Canal Against Terrorists


 And all of a sudden you have China on-site on three of the world's MAJOR shipping chokepoints and what could very well become the fourth at the Bering Straits.

Battery Metals and Rare Earths: The U.S. Will Use The Slightly Controversial Blanche DuBois Extraction Method

....It's just that, as we've seen over the last year, supply lines are fragile, a weak spot even without unfriendlies doing an interdiction.

Should someone actively attempt to halt transportation it would make the Ever Given snafu look like child's play. As just one example, China has been very active in extending their belt and road initiative in Panama, including a $1.4 billion bridge over the canal and rail and other infrastructure.

And that's just one potential flashpoint. The Chinese influence in Brazil, hitherto based on VALE and iron ore could potentially go exponential as Brazil expands/modernizes its shipping and rail infrastructure. And then there's Australia...and...

I suppose somebody should keep an eye on Morocco to note if the Chinese set up camp on the Straits of Gibraltar.