China announces plan to develop Central Asia

RUSSIA / FSU POLITICS - In Brief 21 May 2023 by Alex Teddy
On May 19 President Xi said that China will help Central Asia with infrastructure, security and defense. He said he wants to improve trade. Xi was speaking at a summit for China and Central Asian countries. Xi said it would be a gain for all the countries involved. Central Asia is Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan and Uzbekistan. They are all former Soviet countries. Russia was the regional hegemon for centuries but its sway is diminishing due to the Ukraine War. Russia's economy is stagnating, and its population is on the decline. China will fund the construction of warehouses and a railroad. China will provide USD 3.8 billion in loans and grants. That is not a huge amount considering the size of the region and its combined population of 70 million.  Xi wants to accelerate the construction of the Line D natural gas pipeline from Central Asia. China also wants to build a corridor to the Caspian Sea to allow them to ship goods to Azerbaijan and Iran and from there to the West. Trade between Central Asia and China rose to USD 70 billion in 2022. Kazakhstan accounted for almost half of that. China already has an army base in Tajikistan. Besides that, Tajikistan ceded some land permanently to China. But China claims yet more.  Central Asia is a route for China to export its manufacturers and to import fuel and metals. The US is perceived to have little interest in Central Asia. Since the pullout from Afghanistan, US prestige in the region is low. Moreover, the US is preoccupied with Ukraine and Taiwan. 

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