Author: Kadira Pethiyagoda

The Silk Road Summit, covering China’s One Belt, One Road (OBOR) initiative, is as much about celebrating Beijing’s rise as the 2008 Olympics were. For the first time in the history of the Westphalian system, Asian and other non-European heritage countries are not only ascending to central places in the global order, but are refashioning its structure.

Unprecedented in size and scope, China’s infrastructure project promises investments of around $1 trillion (though only $50 billion has been spent so far), covering countries accounting for 60 percent of the world’s population and one-third of global GDP (though this includes critic of the plan, India). All this occurs at a time when Western global leadership is hamstrung by internal rifts. If policymakers are to respond to China’s global thrust, they must understand the factors behind it and reflect on some of the conventional wisdom that has placed the West at a disadvantage in certain respects.

Factors at play

Economic

At its core, OBOR is an economic project that enables China to export its surplus productive capacity. Furthermore, many of the 68 countries involved in the project export the raw materials and energy that China requires. This is important domestically, given China’s cooling economy and increasing inequality. In recent years, the Communist Party’s claim to leadership has come to rest on economic growth. As long as prosperity continues to increase at a sufficient rate, the people will accept some getting richer faster than others.