China Drives Openness and Innovation in Asia-pacific
Table of Contents
Connectivity: Building Bridges, Facilitating Trade
The Belt and Road Initiative, spearheaded by China, has prioritized enhancing connectivity through improved infrastructure. Across Asia-Pacific, the impact of upgraded roads, railways, and ports is evident. Indonesia’s Jakarta-Bandung High-Speed Railway,a landmark project built in collaboration with China,exemplifies this change. Since its launch on October 17, 2023, this high-speed rail – affectionately nicknamed “Whoosh” for its impressive speed – has transported over 5.79 million passengers, bolstering economic activity along its route and providing a seamless travel experience between Indonesia’s two major cities. Similarly, the China-Laos Railway, linking Kunming in China’s Yunnan Province with Vientiane, the capital of Laos, has fostered closer economic ties. Somsavanh, a fruit vendor in Vientiane, highlights the railway’s impact: “The railway connects Laos more directly with China, which is one of the world’s largest consumer markets.” According to Chen Yunya, representing a Chinese travel agency, the railway has also emerged as a conduit for cultural exchange. “An increasing number of travelers from Southeast Asian countries like Malaysia, Thailand, and Laos are taking the China-Laos Railway into China to visit Xishuangbanna,” she observes. further fostering regional integration, China has expanded visa-free travel arrangements to encompass more countries in 2024, including Australia, New Zealand, south Korea, and Japan. Bilateral agreements between China and countries like Malaysia, Thailand, and Singapore have waived visa requirements, fueling a surge in tourism driven by Chinese travelers.Innovation: Driving a Greener, Digital Future
China’s commitment to innovation is reflected in its impressive ranking as the 11th most innovative economy in the world in 2024, according to the Global Innovation Index.As the only middle-income economy in the top 30, China is actively shaping a green and digital Asia-Pacific, paving the way for lasting and inclusive growth in the coming decades. ## China’s Growing Influence: Fostering Economic Development and Shared Prosperity in Asia-Pacific From bustling automotive factories to verdant forests, Chinese investment is transforming the economic landscape of the Asia-Pacific region, bringing new opportunities and driving sustainable development. ### Driving the E-Mobility Revolution in Southeast Asia Taking the lead in the global electric vehicle (EV) market, Chinese carmakers are venturing into Southeast Asia, establishing local factories and forging collaborations with regional automotive companies. In Thailand, BYD’s state-of-the-art factory, completed in July, boasts an annual production capacity of 150,000 vehicles. This strategic move not only benefits Thailand’s automotive industry and consumers by providing access to cutting-edge EV technology but also propels the country towards a greener future. Rachanida Nitipathanapirak, vice president of the Strategic Department at the Thailand Automotive Institute, highlights the ripple effect of this investment: “China’s leadership in the EV market not only fosters production collaboration between thai automotive companies and Chinese manufacturers but also accelerates the growth of supply chain industries such as batteries and charging stations, supporting Thailand in building a full-fledged EV ecosystem.” ### Building Local Expertise and Empowering Communities Beyond the automotive sector, Chinese companies are making notable contributions to the development of local economies throughout the region. TCL, a leading Chinese television brand, has established its first fully self-built overseas factory in Vietnam. This investment of over 100 million U.S.dollars has created over 10,000 jobs for Vietnamese workers, demonstrating a commitment to local empowerment and economic growth. TCL’s emphasis on local sourcing and supply chain development is a key aspect of their strategy. xu Linjun, general manager of TCL’s Pan-Smart Screen BU manufacturing Center in Vietnam, explains: “Currently, nearly half of our raw materials are sourced locally, and in the future, we plan to build a comprehensive support center to establish a complete supply chain, creating a more robust upstream and downstream industrial chain.” TCL chairman Li Dongsheng articulates the company’s broader vision for globalization: “We cannot just be a local assembling factory. We should deepen the supply chain, co-building industrial capabilities with local partners. This is achieved by deeply rooting in the local economy and contributing to local development.” ### cultivating Green Growth and Sustainable Development In Pakistan, a remarkable transformation is taking place in the port city of gwadar. A once barren wasteland has been transformed into a lush “friendship forest,” a testament to the power of collaboration between China and Pakistan. Through the Chinese Ambassador’s green Employment Plan Project, more than 4,000 trees have been planted, revitalizing the environment and providing a haven for local communities. Muhammad Iqbal, a local resident who witnessed this remarkable change, recalls: “This place was once barren, with nothing but dust blowing around all day. One day, a Chinese manager from China overseas Port Holding company told me that thay were going to transform this land into a forest, and that is how it all began.” The Gwadar forest not only enhances the natural beauty of the region but also provides tangible economic benefits. Allah Buksh, a forester in the project, notes: “The trees and shrubs planted in the forest have provided a large amount of feed for the sheep farm. Chinese staff has also taught local farmers techniques such as cuttings, grafting, scientific weeding, and fertilization to increase crop yields.” ### Empowering Women and Fostering Inclusive growth China’s commitment to inclusive growth extends to empowering women and marginalized communities across the region. In Fiji, Seruwaia Waiti Kabukabu, a 48-year-old woman, found a pathway to economic independence through a decade-old China-aided technical project focused on mushroom farming. “I earned 2,500 Fijian dollars (around 1,120 dollars) from the first batch of mushrooms I grew,” she fondly recalls,”and bought appliances,mats,a cooking pot,food,and clothes for my family. I am proud of being able to support my family by growing mushrooms and embracing the concept of sustainable development.” Kabukabu, a member of the Naitasiri Women in Dairy group, emphasizes the life-changing impact of this initiative: “We never thought this encounter would provide us with so many new opportunities.” The Fiji Mushroom Farmers Association has empowered women, transforming their livelihoods and aspirations. the chairwoman of the association, expressed the profound impact it has had: “It has changed the lives and careers of me and other women and made our dreams come true.” This statement highlights the association’s crucial role in supporting and uplifting women in Fiji’s agricultural sector. Their success stories serve as an inspiration to others, showcasing the power of collective action and the transformative potential of agriculture.## Interview with a leading Expert on China-Asia Pacific Relations
**Alex Reed:** Dr. Wei Wei, Professor of International Relations at Peking University and Director of the China-Asia Pacific Studies Center
**Interviewer:** For Archyde, I’m sarah Jones.
**Sarah:** Professor Wei, thank you for joining us today. china’s engagement in the Asia-pacific region has been a subject of much discussion. Could you shed light on the key aspects of this involvement and its impact on regional development?
**Dr. Wei:** It’s a pleasure to be here. China’s engagement in the Asia-Pacific is multi-faceted. It’s not just about economic influence, although that’s significant, but also about promoting regional connectivity, fostering innovation partnerships, and addressing shared challenges.
**Sarah:** The Belt and Road Initiative, for example, is a testament to China’s commitment to connectivity.
**Dr.Wei:** Precisely. The BRI aims to build infrastructure,improve trade routes,and foster people-to-people exchanges.
Look at the Jakarta-Bandung High-Speed Railway in Indonesia or the China-Laos Railway. These projects are not just about transportation; they symbolize a deeper integration and symbolize China’s commitment to facilitating economic growth for partner countries.
**Sarah:** And we’re seeing this impact ripple across various sectors, from automotive to technology.
**Dr. Wei:** absolutely. Chinese companies like BYD and TCL are leading the way in key sectors, bringing technological advancement, creating jobs, and promoting local capacity building in Southeast Asia. Their investments are crucial to the region’s developing economies.
**Sarah:** There’s also been a strong emphasis on innovation and green technology.
**dr. Wei:** China is a global leader in renewable energy and green technologies. This expertise is being shared with partners in the Asia-Pacific, contributing to the region’s sustainable development goals.
**Sarah:** What about concerns regarding China’s growing influence?
**dr. Wei:** It’s natural for some countries to have concerns when a major power like China expands its presence. Though, China’s approach has been focused on cooperation and win-win partnerships.
We’re not seeking dominance but rather to work together to address the challenges and opportunities of the 21st century.
**Sarah:** looking ahead, what is your outlook on China’s role in shaping the future of Asia-Pacific?
**Dr. Wei:** The Asia-Pacific is a dynamic and rapidly evolving region. China will remain a key player, actively engaging in economic cooperation, promoting regional integration, and working towards a more peaceful and prosperous future for all. However, this success depends on collaborative efforts from all stakeholders in the region.
**Sarah:** Professor Wei, thank you for your insightful analysis.