China-CEEC cooperation will boost EU integration
With the implementation of the Belt and Road (B&R) initiative and 16+1 cooperation, investment from China and infrastructure projects have become the new driving force for economic growth within Europe.
Europe has complex feelings about the B&R initiative and the 16+1 initiative, China’s platform for cooperation with 16 Central and Eastern European Countries (CEEC). The continent does not have a unified and consistent attitude, with some considering the B&R initiative an unprecedented opportunity, while others treat it as a threat.
Those who consider it a threat believe the B&R initiative will divide Europe and undermine the unity of the EU. Critics argue it lacks transparency and is not compatible with the norms of the EU.
However, while carrying out B&R projects, China always tries to connect its cooperation with CEEC to China-EU cooperation. The 17th China-EU summit in 2015 resulted in a pledge to support the synergies between the B&R initiative and the Investment Plan for Europe. Moreover, the “ChinaEU 2020 Strategic Agenda” serves as guidance for ChinaCEEC cooperation. CEEC has become the focal point to drive cooperation between China and Europe to a deeper level by rejuvenating the regional economy.
CEEC are not core members of the EU. After a series of revolutions, many countries in the region have turned to a form of capitalism that heavily depends on the EU. As most of them have chosen to become members of the EU, they have been required to adopt market economies and mechanisms. As latecomers, their limited infrastructure has confined their speed and scope in linking with the EU on every front.
The China-CEEC cooperation model not only helps deepen bilateral relations but also strengthens the multilateral principles that bring all of Europe even closer together.
Infrastructure construction will benefit China, Western Europe and Eastern Europe. Better transportation provides cost-efficient alternatives to Chinese goods going to the European market. CEEC will aid the integration of the EU by helping the West Balkan region catch up economically and in infrastructure. And a wealthier Eastern Europe will grow stronger ties with Western European countries.
The new Silk Road has significantly brought down transportation costs. European countries along the B&R have seen a positive effect on trade volume. According to Eurostat, most of the goods traded within the EU are transported through roads, while the use of railways is increasing, meaning there will be need for infrastructure projects, and the influence they bring will be substantial.
Transportation connectivity has gradually replaced traditional geopolitical principles, and countries around the world have made infrastructure construction a priority. Trans-European Transport Network and the B&R initiative are two huge infrastructure projects across Europe and Asia.
China-CEEC cooperation will be able to alleviate tensions between countries by meeting economic demand on both sides. Investment from China Ocean Shipping Group to Piraeus port in Greece has boosted the privatization process as well as the port’s reputation. Piraeus port now has positioned itself as one of the busiest ports in the region. More economic opportunities have improved relations between Greece and Macedonia, which are two hubs along the China-Europe land-sea express.
West Balkan countries, which are supporters and participants in the China-CEEC cooperation, are seeking to join the EU. Both China and the EU have a common interest in keeping this region stable and secure. China can provide a framework where the EU’s laws and norms will function more smoothly.
Overall, the multilateralism supported by China is highly compatible with the integration process in Europe. CEEC investment has promoted regional unification and created more interconnection within. The investment and infrastructure will have spillover effects. Starting from there, the CEEC along the B&R can build better economies.