Belt, Road Initiative and China-Iran cooperation

MNA- Over the past two weeks, the National People’s Congress of China (NPC) and the Chinese People’s Political Consultative Conference (CPPCC) were held in Beijing, China. In addition to reviewing policies relating to crucial domestic economic and social developments, the gatherings also decided on the amendment of the Constitution, election of new leadership of the state, reform of governmental structure as well as legislation on anti-corruption matters.

During the above meetings, foreign policy of China, the Belt and Road Initiative in particular, attracted attention around the globe. Proposed by President Xi Jinping in 2013, the Initiative aims at promoting pragmatic cooperation and joint prosperity among participating countries. It emphasizes the principles of openness, inclusiveness, commercial-oriented operation, mutual benefits and win-win outcome. President Xi Jinping, Premier Li Keqiang and other high-ranking Chinese officials have, on different occasions, stressed that the Initiative does not exclude or oppose anyone. It is open to all and everyone could join and work together as an equal partner. Just as Mr. Wang Yi, the Chinese Foreign Minister explained, the Initiative is a transparent process. It follows the “golden rule” of extensive consultation, joint contribution and shared benefits. Its projects are discussed, planned and implemented by participants in the open. No country is to dominate the process and all parties have an equal say.

The Initiative is not a mere restoration of the ancient silk road by which merchants, artists and common folks drudge for thousands of miles on camel backs in pursuit of fortune and better lives. While envisaging the usage of up-to-date means of transportation to facilitate physical connectivity of participating countries, the Initiative also encourages the discussion of institutional connectivity so that the policies, rules and standards of participating states could be formulated in a more scientific way and garner higher economic returns for all. Importance is also laid on economic, social, fiscal and environmental sustainability of projects.

Thanks to the open approaches and unremitting efforts by all participating states over the past few years, the Initiative has witnessed encouraging progress. The Belt and Road Forum for International Cooperation held last May in Beijing attracted some 1500 representatives from over 130 countries and 70 international organizations. The turnout itself is an evident vote of confidence by the international community. On top of that, more than 80 countries and international organizations signed cooperation agreements with China.

As for China and Iran, the two countries have enjoyed profound friendship for thousands of years. Being a historical hub of trade and transport along the Silk Road, Iran has been a key partner within the Belt and Road framework. At present, the development of China-Iran relation maintains very good momentum. In 2016, President Xi Jinping made a successful visit to Iran, during which the two heads of state agreed to establish comprehensive strategic partnership. A bilateral MOU on jointly promoting the Belt and Road initiative was also signed by the two Governments. Since then, the cooperation between China and Iran has made marked headways.

Today, commonalities of development priorities bring our two countries even closer. The 13th five-year plan of China, the 6th five-year development plan and the Resistance Economy Policy of Iran all focus on the enhancement of domestic development. The two countries’ exchanges on microeconomics policies, bilateral trade and investment practices are making steady progress. China remained as the largest trading partner of Iran. In 2017, the bilateral trade volume exceeds 37 billion USD with year-on-year growth of 19%. The Tehran metro line 1, 2, 5 and the north extension of line 1 were all constructed with the participation of well-known Chinese enterprises which have maintained good records for safe operation. The Tajrish metro station of line 1 has thrived into the largest of its kind in the Middle East. The Tehran-Isfahan high-speed railway, with the top speed of 250KM/H, is the first one to be built in Iran. Its construction will create more than 100,000 jobs. Once completed, the trip between Tehran and Isfahan will be shortened to a little more than one hour.

The North Azadegan and Yadavaran oilfields, jointly developed by China and Iran with contract value of more than 5 billion USD, initiated commercial production in 2016 and respectively reached the peak of 75,000 and 100,000 barrels of crude oil per day. The CNPC has expressed its readiness to join the development of South Pars gas field, while the SINOPEC is in the process of constructing Iran’s biggest oil refinery in Abadan. The Chery MVM, with its market volume of nearly 300,000 per year, has become the third biggest automobile company in Iran, after SAIPA and KHODRO.

The cooperation between China and Iran provided visible input to Iran’s economic growth, industry upgrade and employment. Such cooperation, featuring frank consultation and mutual benefits, helped to enhance understanding between the two peoples as well as mutual trust and support between the two countries. We should explore the past successful experience and work together for a better future so as to bring more benefits to our two peoples.

H.E. Mr. PANG SEN is Ambassador Extraordinary and Plenipotentiary of the People’s Republic of Chinato the Islamic Republic of Iran