China's overland Silk Road and Maritime Silk Road Thread

t2contra said:

I am the lone holdout here, but I still believe the omission is due to Philippines' geographical position. Ships will have to make a detour, but if the volume justifies it on their way to China or Africa, who is to stop them? COSCO, like other shipping lines, has to mind its bottom line and market share and is answerable to its shareholders.

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Actually I am in your camp on this one.

I have no doubt that the Maritime Silk is just as important to China as the new land corridors, but that the practicalities will dictate that the land routes will be the immediate priority and ready/operating in their final intended form before the facilities of the maritime route are ready.

The maritime route is more likely to experience organised opposition than are the land routes, but that opposition will be dramatically reduced in effectiveness, if it encounters Chinese influence already supported by the working land routes.

Sampan, I agree with you in principle...but at the same time...the Maritime route is already open in terms of its ability to funnel resources, material, etc. between Africa, the Mid-East...even Europe and China.

Now, all of the significant details associated with the desired infrastructure and agreements between nations to make that Maritime Silk Route operate as the PRC ultimately intends...yes, that is going to take time, and presents different challenges than the land route does.

At the same time, the ability to move quantities of material across the maritime route is already occurring.

The main difference is that the land route is more difficult for third parties to disrupt than the maritime route. Anyone can roam the open ocean but on land there is usually a local authority, even in failed states.

Jeff Head said:

Sampan, I agree with you in principle...but at the same time...the Maritime route is already open in terms of its ability to funnel resources, material, etc. between Africa, the Mid-East...even Europe and China.

Now, all of the significant details associated with the desired infrastructure and agreements between nations to make that Maritime Silk Route operate as the PRC ultimately intends...yes, that is going to take time, and presents different challenges than the land route does.

At the same time, the ability to move quantities of material across the maritime route is already occurring.

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Well indeed and looked at in that light, you do wonder what all the fuss about a Martime Silk Route is all about? The Sea already exists, Container Ships already built, so too the Ports that receive them and indeed trade equivalent to hundreds of billions of dollars sails out of China every year. Add to this, that for goods to make it inside a container and be loaded aboard a ship ready for departure, those goods have been bought, paid for and insured by the customer and so, the moment they leave the quay side they no ,longer belong to China or are a Chinese problem.

From that perspective, the Maritime Silk Route starts to look a very empty PR announcement. Now of course, we know that the PRC does not do empty PR. So the Maritime Silk Road must be something else.
It is something else.
The Maritime Silk Road is not primarily about goods out from China, its all about goods in. Just as goods leaving China for Western markets are owned by Western Customers, materials leaving Africa, SE Asia, the Middle East and South America for China are already bought and paid for by the Chinese customer. These shipments are China's problem.

So the Maritime Silk Road is not about just another trade route for finished Chinese Goods, it is about re-establishing the old Chinese Trade model, where materials come to China and make China the global hub for Value Adding and then Distribution/Logistics, re-export to market.
China wants to corner as much of this global market as it possibly can.

SampanViking said:

. So the Maritime Silk Road must be something else.

It is something else.

The Maritime Silk Road is not primarily about goods out from China, its all about goods in. Just as goods leaving China for Western markets are owned by Western Customers, materials leaving Africa, SE Asia, the Middle East and South America for China are already bought and paid for by the Chinese customer. These shipments are China's problem.

So the Maritime Silk Road is not about just another trade route for finished Chinese Goods, it is about re-establishing the old Chinese Trade model, where materials come to China and make China the global hub for Value Adding and then Distribution/Logistics, re-export to market..

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I understand this.

And China has a lot of infrastructure and agreements it is in the process of putting together to make the Maritime Silk Route accomplish that for it.

That is my point, and I believe what is implicit in their announcement.

And that is fine too. If they can accomplish that to the benefit of their people and society and to those nations who work with them along this mega-SLOC...bully for them.

But my meaning was that although the Oceans exist and Sea Lanes exist, and container ships exist...in order to fully realize their goal and maximize the benefit of all of those things ...well, the infrastructure all along that path (and in China too), and the agreements with willing partners along that path are still going to have to be put in place.

And that is going to take time, money, and a lot of work.

A very real example of this (IMHO) is the massive investment China is making in the reclamation projects in the South China Sea...I believe that effort is aimed squarely at solidifying and enhancing their ability to work the Maritime Silk Road SLOCs right through there.

Expanding the silk route here are pics of the new KKH between Pakistan and China

Chinese have done some amazing work in this area

Thanks to modern machinery, the work could be done faster and with far less casualties. The old highway was nothing like this one.

t2contra said:

Thanks to modern machinery, the work could be done faster and with far less casualties. The old highway was nothing like this one.

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Don't forget some dynamite to cut through those rocks.