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1. From Trade to Supply Chain Investments: China’s Three Roles in the Solar Surge of the Gulf Region

Author:
Qi Wang
Publication Date:
04-2025
Content Type:
Journal Article
Journal:
Journal of Public and International Affairs (JPIA)
Institution:
School of Public and International Affairs (SPIA), Princeton University
Abstract:
This paper examines China’s evolving role in the solar energy surge of the Gulf region, with a focus on the United Arab Emirates and Saudi Arabia. It identifies three approaches through which China has progressively deepened its participation: (1) large-scale export of solar products, (2) investment and construction of solar power projects, and (3) offshore investment in local solar manufacturing bases in the Gulf. These approaches reflect not only China’s response to ambitious green energy commitments and rising solar demand in the Gulf, but also the strategic efforts of China’s solar industry to address domestic overcapacity under the framework of the Belt and Road Initiative and mitigate growing trade protectionism. The paper concludes with policy recommendations for China and the Gulf countries to strengthen solar cooperation, tackle trade barriers, and ensure a balanced, transparent, and sustainable energy transition.
Topic:
Investment, Trade, Solar Power, Supply Chains, and Energy Transition
Political Geography:
China, Middle East, Asia, Saudi Arabia, United Arab Emirates, and Gulf Nations

2. India-China rapprochement: what are the long-term prospects?

Author:
Nayanima Basu and Alicia Garcia-Herrero
Publication Date:
05-2025
Content Type:
Working Paper
Institution:
Bruegel
Abstract:
China-India relations, which have long been fraught, were further complicated by the 2020 military standoff on the Himalayan border. The political disruption had a significant impact on Chinese companies’ presence in India. And yet, India’s dependence on Chinese imports has increased since. The Indian economy is decelerating at a challenging time for Prime Minister Modi, who governs in a coalition. China could offer a partial solution to India’s economic woes by providing manufacturing FDI and creating jobs. The Modi-Xi ‘rapprochement’ after their encounter at the October 2024 BRICS summit signals that relations could improve. India may be willing to accept targeted investment from China, but relations are unlikely to fully normalise, particularly since the 2025 India-Pakistan military stand-off. There are three main reasons for this. First, the Indian army remains cautious about the situation at the border and security risks relating to China. Second, the United States under President Trump will exert pressure on Modi not to depend further on China. This is even more relevant in the context of Trump’s threat to impose tariffs on India. Third, Indian public opinion on China and the Belt and Road Initiative remains negative. India is predicted to experience greater growth than China in the coming decades, meaning China could lose its upper hand in economic relations between the two countries. This, however, will depend on how dependent India might have become on China for imports or for jobs through FDI and other channels. The militarised border, India’s asymmetric economic dependence on China and China’s leadership in the Global South will still shape the relationship even if the Indian economy grows to a similar size to China’s. India-China ‘rapprochement’ is possible but will remain fragile and unlikely to be maintained in the long run.
Topic:
Bilateral Relations, Governance, Economy, Economic Growth, Investment, and Trade
Political Geography:
China, India, and Asia

3. Gender in Strategic Competition: A Non-Traditional Strategy for Building Resilience in the Indo-Pacific

Author:
Charity Borg
Publication Date:
06-2024
Content Type:
Special Report
Institution:
Pacific Forum
Abstract:
Today’s era is defined by strategic competition with “autocrats [who] are working overtime to undermine democracy and export a model of governance marked by repression at home and coercion abroad.”[1] The People’s Republic of China (PRC) is the leading autocratic force, operating with both the intent to reshape the democratic rules-based international order and the resources to advance those aims. States interested in upholding the international rules-based order must enhance their ability to withstand PRC coercion and invest in cultivating a values-based security alliance against the spread of authoritarianism. International collaboration on the Women, Peace, and Security (WPS) agenda offers a low-cost, high-return opportunity to bolster national and regional resistance to authoritarian coercion while building a coalition of like-minded allies and partners. Increasing national resilience and building alliances that center on enhancing the security of women is a data-backed approach that ensures elevated state stability, democracy, and economic prosperity while increasing the likelihood of a coalition’s willingness to defend the current international rules-based order from those who seek to dismantle it. An overwhelming body of empirical analysis demonstrates a significant correlation between the security of women and the democratic or authoritarian tendencies of a state. That same analysis also finds that women’s security is a precondition for a state’s level of democracy. Otherwise stated, countries with higher levels of gender equality are more democratic, less corrupt, and more stable. Whereas “states with higher levels of violence against women are less peaceful [internally and] internationally, less compliant with international norms, and less likely to have good relations with neighboring states,” they are also more likely to align with autocratic governance structures.[1] Authoritarian states such as the PRC understand the benefits of empowered societies, which is why their actions on domestic and international fronts actively seek to suppress women. They fear that like-minded allies and partners will successfully improve security for fifty percent of the population and, as a result, will ultimately tip the scales of power and influence to preserve the values-based international order they desire to uproot. Interest and investment in the WPS agenda are growing around the globe, but not fast enough. Thus far, 18 Indo-Pacific states and one regional organization have sought meaningful engagement and integration of the WPS agenda by various means, opening a door for cooperation across the spectrum of civil, diplomatic, and military security cooperation engagements.[2] However, several transformative policy and operational measures must be implemented to achieve the desired end states. To be transformative and enable lasting change in governmental and national behavior, the thoughtful implementation of the WPS agenda at all levels, from national and subnational to the community and household, is required. First, domestic and international policymakers need to clearly define the security of women as a national security imperative. Second, implementing WPS in the defense sector should focus on training defense personnel to apply a gender perspective to enhance mission effectiveness. Last, those advancing WPS must take an inclusive, context-specific, and localized approach to its integration. To defend the current rules-based international order, like-minded countries must accelerate change and follow through by investing in women’s security.
Topic:
Security, Investment, Strategic Competition, Resilience, Gender, Women, Peace, and and Security (WPS)
Political Geography:
China, Asia, and Indo-Pacific

4. Mild Deglobalization: Foreign Investment Screening and Cross-Border Investment

Author:
Vera Z. Eichenauer and Feicheng Wang
Publication Date:
03-2024
Content Type:
Working Paper
Institution:
Kiel Institute for the World Economy (IfW)
Abstract:
Openness to foreign investments is associated with risks. To mitigate these risks, many high-income countries have strengthened the control of foreign investments over the last decade in an increasing number of sectors considered critical. Investment screening distorts the market for cross-border investments in controlled sectors, which might lead to unintended economic effects. This is the first cross-country panel study to examine the economic effects of investment screening mechanisms. We combine deal-level data on cross-border mergers and acquisitions (M&A) for the period 2007–2022 with information on sectoral investment screening. Using a staggered triple difference design, we estimate a reduction of 11.7 to 16.0 percent in the number of M&A in a newly screened sector. The effects are driven by minority acquisitions and deals involving a foreign government or state-owned enterprises or US firms as investors. There is no reduction in the number of deals within the EU/EFTA, most of which are not subject to screening. The findings call policymakers’ attention to weighing the benefits of national security and the economic costs of introducing investment screening.
Topic:
Globalization, International Trade and Finance, National Security, Foreign Direct Investment, Investment, Geoeconomics, Global Capital Allocation, and Deglobalization
Political Geography:
China, Europe, and United States of America

5. Xi Jinping’s Quantitative Easing Unlikely to Save Economy

Author:
Willy Wo-Lap Lam
Publication Date:
10-2024
Content Type:
Journal Article
Journal:
China Brief
Institution:
The Jamestown Foundation
Abstract:
In an apparent U-turn, the People’s Republic of China (PRC) has initiated stimulus policies that have boosted the stock market and are attempting to jump-start key sectors and meet the annual GDP growth target of 5 percent. In the last week of September, the central bank announced a package worth at least 2 trillion Renminbi (RMB; $280 billion), cut the banks’ reserve requirement ratio by 50 basis points, and hinted at further measures. The domestic and international response has been underwhelming, in part because the package leaves the economy even more overleveraged than before. President Xi Jinping’s attempts to enhance the PRC’s global stature, including through a recent ICBM test and by deepening support for Russia’s war in Ukraine and for other countries willing to denounce the United States and the West, will not help the domestic economic woes as they discourage foreign investment.
Topic:
Monetary Policy, Economy, Economic Growth, Investment, and Quantitative Easing
Political Geography:
China and Asia

6. China's Outbound Investment Policy in Recent Years

Author:
Jiyoung Moon, Munsu Kang, Minsuk Park, and Yongsun Kim
Publication Date:
12-2024
Content Type:
Policy Brief
Institution:
Korea Institute for International Economic Policy (KIEP)
Abstract:
China's Outbound Direct Investment (ODI) strategy has been changing along with its national development strategy. In the early 2000s, China launched “Going Out (走出去)” strategy to encourage domestic companies’ overseas expansion, which laid the foundation for Chinese companies to venture abroad. Since then, the Chinese government has actively simplified administrative procedures to encourage ODI on the part of Chinese companies. Under the Xi Jinping administration, China's ODI has been functioning as a significant tool for the national development strategy. China’s ODI has increased particularly in strategic industries, such as high-tech industries, critical raw materials, and emerging industries. However, the explosive expansion of Chinese ODI in high-tech industries has led to the increased screening of Chinese ODI especially in developed countries. Through a series of events, the strategy of China's ODI has undergone various changes, with Chinese government strengthening its ODI management. Nevertheless, China’s strategy of aligning ODI with its national strategies continues, and its influence has recently expanded to Global South countries.
Topic:
Development, Science and Technology, Investment, and Industry
Political Geography:
China and Asia

7. West and China Compete for Tech Influence in Arab Persian Gulf States

Author:
Sara Nowacka
Publication Date:
05-2023
Content Type:
Working Paper
Institution:
The Polish Institute of International Affairs
Abstract:
New technologies are an increasingly important element of the Sino-American rivalry in the Persian Gulf. China has become the preferred partner in this area due to, for example, the dominant role of government (vs. private) investment in the technology sector in both China and the Gulf states. The intensification of cooperation between the Gulf Cooperation Council (GCC) and China in the field of new technologies may increase the influence of authoritarian states in setting technological standards.
Topic:
Science and Technology, Authoritarianism, Investment, Rivalry, and Gulf Cooperation Council
Political Geography:
China, Middle East, United States of America, and Gulf Nations

8. U.S. Re-Focuses Arctic Policy-The Consequences for Its Allies

Author:
Paweł Markiewicz
Publication Date:
03-2023
Content Type:
Working Paper
Institution:
The Polish Institute of International Affairs
Abstract:
The Biden administration is increasing the U.S. capabilities in countering the effects of climate change in the Arctic, an aim overlapping the rivalry with Russia and China in this region. The U.S. announced increasing investments in infrastructure projects and defence, for example, modernising the Coast Guard’s Arctic fleet. The planned measures provide an opportunity for closer American cooperation with their allies and may mark the beginning of a regional division of labour in the area of shared defence.
Topic:
Climate Change, Infrastructure, Investment, and Rivalry
Political Geography:
Russia, China, Arctic, and United States of America

9. Intertwined Interest: What’s behind China-Ivory Coast strengthened relations?

Author:
FARAS
Publication Date:
03-2023
Content Type:
Policy Brief
Institution:
Future for Advanced Research and Studies (FARAS)
Abstract:
The diplomatic relation between China and Ivory Coast spans over more than four decades. Both sides have strengthened their relations in recent years as China looks to cement its presence in Africa.
Topic:
Foreign Policy, Diplomacy, Bilateral Relations, Investment, and Economic Cooperation
Political Geography:
China, Asia, and Ivory Coast

10. How Indonesia Used Chinese Industrial Investments to Turn Nickel into the New Gold

Author:
Angela Tritto
Publication Date:
04-2023
Content Type:
Working Paper
Institution:
Carnegie Endowment for International Peace
Abstract:
China has become a global power, but there is too little debate about how this has happened and what it means. Many argue that China exports its developmental model and imposes it on other countries. But Chinese players also extend their influence by working through local actors and institutions while adapting and assimilating local and traditional forms, norms, and practices. With a generous multiyear grant from the Ford Foundation, Carnegie has launched an innovative body of research on Chinese engagement strategies in seven regions of the world—Africa, Central Asia, Latin America, the Middle East and North Africa, the Pacific, South Asia, and Southeast Asia. Through a mix of research and strategic convening, this project explores these complex dynamics, including the ways Chinese firms are adapting to local labor laws in Latin America, Chinese banks and funds are exploring traditional Islamic financial and credit products in Southeast Asia and the Middle East, and Chinese actors are helping local workers upgrade their skills in Central Asia. These adaptive Chinese strategies that accommodate and work within local realities are mostly ignored by Western policymakers in particular. Ultimately, the project aims to significantly broaden understanding and debate about China’s role in the world and to generate innovative policy ideas. These could enable local players to better channel Chinese energies to support their societies and economies; provide lessons for Western engagement around the world, especially in developing countries; help China’s own policy community learn from the diversity of Chinese experience; and potentially reduce frictions.
Topic:
Development, Industrial Policy, Belt and Road Initiative (BRI), Investment, and Innovation
Political Geography:
China, Indonesia, and Asia