Outside Kyrgyzstan’s capital, Bishkek, lie two major transit hubs. To the west is the Manas Transit Center, the United States’ main waypoint for soldiers coming in and out of Afghanistan. And to the north is the Dordoi bazaar, said to be the largest re-export market in Central Asia, a funnel for cheap Chinese goods to the relatively rich consumers of Kazakhstan and Russia. The Manas Transit Center is set to close in 2014, marking the end of Washington’s major security presence in the region. Dordoi, meanwhile, will be open indefinitely, an enduring symbol of the region’s Chinese-dominated future. Continue reading →
In his seminal article from October 2012 advocating for China’s ‘March Westwards’ Beijing University Dean of International Relations Wang Jisi spoke of a ‘new silk road [that] would extend from China’s eastern ports, through the center of Asia and Europe, to the eastern banks of the Atlantic Ocean and the Mediterranean coastal countries in the west.’ In addition to this route to Europe, ‘A major route from China’s western regions through the Indian Ocean should also be constructed as quickly as possible.’ An ambitious geopolitical sketch of the world seen from Beijing, but one that is being brought to life under President Xi Jinping, whose recent tour of Central Asia provided some definition of what exactly China is aiming for in its western relationships. Continue reading →
Turkmenistan’s southeastern desert, not far from the border with Afghanistan, is a forbidding place. Its bleak, dusty vistas are punctuated by the ruins of ancient caravansaries: once rest stops on the old Silk Road. But, the silence of that long lost East-West artery is now regularly broken by the rumble of Chinese truck convoys. These are not ordinary tractor-trailers, either: they move slowly carrying massive loads of natural gas extraction equipment, and according to Turkmen officials, the shepherds’ bridges and village roads have had to be reinforced from the impact of their weight. The equipment is headed to one of the top five natural gas fields in the world; Formerly known as South Yolotan-Osman, in 2011 the field was renamed “Galkynysh” or “revival” in Turkmen. The name is apt because this gargantuan reserve of natural gas is the prize motivating CNPC, China’s largest oil company, to revive the old Silk Road — only this time by pipeline. Continue reading →
For a relatively small drilling operation, China National Petroleum Corporation’s (CNPC) project in Afghanistan’s Sar-e-Pul province has a large footprint. Several layers of fences and containers serving as blast walls surround the extraction site, which includes dormitories, an office complex and various security structures. Throughout the day, trucks ferry in equipment and more containers. On the outside, the faces are all Afghan, but CNPC’s logo and bright red Chinese slogans are impossible to miss.
This remote outpost, not far from Afghanistan’s northern border with Turkmenistan, may symbolize the country’s future after the planned U.S. withdrawal of combat troops next year. As Washington prepares its exit following 13 years in the country, signs that Beijing has steadily stepped up its official and corporate presence across Afghanistan have begun to arise. In September, then Politburo member Zhou Yongkang met with President Hamid Karzai, while lower level diplomats have discussed greater engagement with the Afghan government. China even plans to re-open a branch of the Confucius Institute, an organization devoted to teaching Chinese culture and language, in Kabul. Continue reading →
After years as Eurasia’s energy bully, Russia’s state-controlled natural gas monopoly, Gazprom, is getting a taste of its own medicine. Even as Gazprom seeks to build the tallest skyscraper in Europe as its new headquarters in St. Petersburg, pressure from Russia’s neighbors led to a 15 percent decline in the company’s profits last year, eating into the state budget. Moscow’s single-minded focus on gas exports in an effort to become, in the words of President Vladimir Putin, an “energy superpower” has crippled its ability to adapt to profound changes in the global energy landscape — from the shale gas revolution in North America to the dynamism of new market players such as Azerbaijan. Having spent the last decade making enemies in Central Europe and Central Asia, Gazprom and Russian decision-makers are now reaping what they have sown. Continue reading →
As we near the date of withdrawal for U.S. combat forces in Afghanistan, the debate about the country’s largest neighbor has shifted. No longer are American analysts worried about Chinese investments free-riding on U.S. and NATO stability efforts. Now, the hope is that China’s massive state-owned enterprises (SOEs) will pour more funds into Afghanistan in the hope that foreign direct investment will shore up a centralized government and provide opportunities for all to make money instead of war. But, Chinese companies face many of the same uncertainties that U.S. forces and contractors have contended with for a decade.
Much has been written about the controversies and delays at the site of China’s largest investment in the country: the gargantuan copper mine at Mes Aynak. Both company officials and local observers indicate that the SOE leading the project, China Metallurgical Group Corporation, is biding its time, waiting to assess the post-withdrawal security situation.
What could be far more significant in the long run, however, are Chinese plans for oil and gas investment in the north of the country. These have the potential to link Afghanistan into China’s growing pipeline network in Central Asia, providing the infrastructure-led regional integrationthat U.S. officials have been touting for years. Nearby Turkmenistan and Kazakhstan have grown wealthy and centralized partly due to Chinese energy investment. Could the same be true for Afghanistan in the future? Continue reading →
The 2014 deadline for the withdrawal of troops from Afghanistan is fast approaching. China has just over a year before Afghanistan fades from the West’s radar and Western attention toward the country shrinks substantially. However, it is not clear that Beijing has properly considered what it is going to do once NATO forces leave and pass the responsibility for Afghan stability and security to local forces.
And more crucially, it is not clear that China has thought about what it can do with the significant economic leverage it wields in the region. Afghanistan offers China the opportunity to show the world it is a responsible global leader that is not wholly reliant on others to assure its regional interests.
Traditionally, Chinese thinkers have considered Afghanistan the “graveyard of empires.” They chuckle at the ill-advised American-led NATO effort and point to British and Soviet experiences fighting wars in Afghanistan. Continue reading →
On April 2, 2013 Alexandros Petersen conducted an interview with Chris Rickleton, a Bishkek-based analyst and Instructor at the American University of Central Asia.
You have conducted in-depth research into Chinese plans for a refinery at Kara Balta in Kyrgyzstan. What exactly are these plans and on what sort of timetable are they to be carried out?
The refinery is already behind schedule, but is expected to be built by July of this year, and operating at full capacity by September. Local media reported some tough talk in January between Chu Chan, the director of Zhongda, the Chinese state-owned firm that will run the refinery, and Kyrgyz Prime Minister Jantoro Saptybaldiyev. Saptybaldiyev was clearly very keen to see the refinery working as soon as possible and asked Chu why the facility still hadn’t been built. Chu referred to “misunderstandings” having led to the wrong equipment being delivered to the site. Chu also wanted the “sanitary zone”, which governs the distance residential homes can be from the refinery, reduced from 500 metres to 300 metres, which would have helped the company out in some of its compensation battles with local residents. When Saptybaldiyev rebuffed this offer, Chu reminded him that the company have already paid something like $4,000,000 in taxes and that they will have invested $250 million into the project by the time it is up and running.
In the gravelly, uncertain road coursing through Kyrgyzstan’s picturesque Alay Valley, it does not take long to stumble across the Chinese road workers’ camp. Though just a dusty collection of prefab dormitories, the camps nevertheless proudly display the company’s name, logo and various slogans in large red Chinese characters. A Kyrgyz security guard is fast asleep on his cot, and the camp is deserted except for a young engineer from Sichuan. He explains that they work six months out of the year, when snow doesn’t block the passes. Next year, the road will be finished. He says his friends that work on Chinese-built roads in Africa get a better deal.
Further down the road, amid bulldozers and trucks full of dirt, are the road workers. They’re slowly reshaping the mountains, molding them into smooth inclines and regulation grades. Then there are the trucks; hundreds of them, crowding at the Chinese/Kyrgyz border, all engaged in the increasingly active trade between the two countries. One of the truckers, a member of China’s Muslim Uighur minority, is eager to chat. The roof of the world is his workplace. It takes three days to drive a 30 ton load from Kashgar, in China’s Xinjiang province, through Kyrgyzstan to Uzbekistan. He and his colleagues bring 100 such loads across every week. Continue reading →
In the last two years, China has emerged as the most consequential outside actor in Central Asia. As we have described in other writings, China’s ascension to this role has been largely inadvertent . It has more to do with the region’s contemporary circumstances and China’s overall economic momentum than a concerted effort emanating from the Zhongnanhai. The implications for United States and NATO policy are nevertheless profound. Not only have the geopolitics of Eurasia shifted in ways little understood in Washington and Brussels, but the socio-political and physical undergirding of the post-Soviet space from Aktobe to Kandahar is being transformed.
Official Chinese policy in Central Asia is quiet and cautious, focused on developing the region as an economic partner with its western province Xinjiang whilst also looking beyond at what China characterizes as the “Eurasian Land Bridge…connecting east Asia and west Europe” (Xinhua, September 4, 2012). Chinese state-owned enterprises (SOEs) are active throughout the region on major infrastructure projects, but it is not clear how much they are being directed as part of some grand strategy as opposed to focusing on obvious profitable opportunities. The Shanghai Cooperation Organization (SCO), the main multilateral vehicle for Chinese regional efforts and reassuring engagement is a powerfully symbolic, but institutionally empty actor. Many smaller Chinese actors—ranging from shuttle traders to small-time entrepreneurs to schoolteachers and students posted to Confucius Institutes throughout the region—are the gradual vanguard of possible long-term Chinese investment and influence. Continue reading →
Facing a heavy domestic agenda and growing foreign policy tensions in the seas to the east, it is unlikely that Afghanistan is going to be a major priority for incoming Chinese leader Xi Jinping.
Unfortunately, this does not mean the problems are going away. The contrasting fates of China’s large extractive projects in Afghanistan highlight a number of growing issues for the new administration in Beijing as the 2014 deadline for American withdrawal imposed by President Obama looms ever closer.
Up in the north, CNPC has started to extract oil from the ground in its project in the Amu Darya basin, while southeast of Kabul at Mes Aynak, the giant copper mine run by Metallurgical Corporation of China (MCC) and Jiangxi Copper has been put on hold while the Chinese firms reassess their ambitious plans for a project described by President Karzai as ‘one of the most important economic projects in Afghan history’.
PRESIDENT OBAMA’S late 2011 announcement of his administration’s pivot to Asia marked a sea change in America’s geopolitical posture away from Europe and the Middle East to Asia and the Pacific Rim. Reflecting the growing strategic repercussions of China’s rise, the move presages a new era of great-power politics as the United States and China compete in Pacific waters. But is the United States looking in the right place?
A number of American strategists, Robert D. Kaplan among them, have written that a potential U.S.-Chinese cold war will be less onerous than the struggle with the Soviet Union because it will require only a naval element instead of permanent land forces stationed in allied countries to rein in a continental menace. This may be true with regard to the South China Sea, for example, or the Malacca Strait. But it misses the significance of the vast landmass of Central Asia, where China is consolidating its position into what appears to be an inadvertent empire. As General Liu Yazhou of China’s People’s Liberation Army once put it, Central Asia is “the thickest piece of cake given to the modern Chinese by the heavens.” Continue reading →
The prospect of reaching European markets once excited oilmen in the energy-rich Caspian countries of Azerbaijan, Kazakhstan and Turkmenistan. Now, the famed Baku-Tbilisi-Ceyhan oil pipeline has been built and the State Oil Company of Azerbaijan Republic (SOCAR) is on the cusp of realising a natural gas line through Turkey that will finally get the long-stalled Nabucco project going. On the eastern side of the Caspian, Kazakhstan and Turkmenistan’s major energy partner is China. As the uneasy grouping of European governments, EU negotiators and Western companies dithered, China worked to create the world’s fastest-built natural gas pipeline, linking Turkmenistan’s vast southeastern gas fields with Kazakhstan and Uzbekistan’s formidable reserves to help slake the second-largest economy’s seemingly unquenchable thirst for resources. This has caused a split down the middle of the sea. For the moment, most resources on the western side go West, and most resources on the eastern side go East. Continue reading →
Is there a Chinese restaurant in town? The front desk clerk at our hotel answered that he knew of none in the city and could only direct us to a Japanese-Korean establishment, complete with waitresses in kimonos and chopsticks sanitized in Seoul. While the food was good, it wasn’t what we were looking for.
Aktobe is our latest stop through the region tracking China’s influence in Central Asia. We had heard this was the oil town where China National Petroleum Corporation runs the show and we wanted to try to get a sense of China’s role on the steppe. Local Kazakhstani’s have nicknamed the city ‘Chinatown’ – a reflection of the size of the Chinese population. But, how could there be no Chinese restaurants in Chinatown? Continue reading →
A beat was missed on U.S. National Security Adviser Thomas Donilon’s late July visit to Beijing. Described in the Chinese press as a “fire extinguisher visit,” it came as tensions continue to ratchet up in the South China Sea and the United States continues to butt heads with China over Iran, Syria and theoretical war plans. These disputes obscure the one area with scope for much greater cooperation between China and the United States: Afghanistan. Building on mutual goals in Afghanistan could have a positive effect on the overall relationship, showing that the distance between the two sides is not the Pacific-sized gulf that it is sometimes made out to be.
In discussions with Chinese officials about their objectives, the uniform answer is “a peaceful, stable and prosperous Afghanistan.” This is almost identical to answers given by their American counterparts. That said, there is a difference in tone that reflects the underlying concerns that craft it. Continue reading →