![]() ![]() ![]() ![]() It is estimated that about 30 percent of the world’s undiscovered gas reserves lie at the bottom of the Arctic Sea, while a potential 13 percent of global oil reserves are situated in the Arctic.Īll of this considered, it is not surprising that the People’s Republic of China (PRC) is investing heavily in Arctic affairs. Rising temperatures however, will in the medium and long term be a game changer. The Arctic represents a massive reservoir of untapped and undiscovered energy resources. Aside from the perspective of cost-saving benefits afforded by new shipping lanes, a further potential economic “advantage” of climate change in Arctic is energy accessibility. In addition, while connecting Europe, Asia and North America, an open Arctic passage would present an alternative artery for Chinese trade, enabling it to bypass several important strategic chokepoints. A new northern route, or “Arctic Silk Road”’ as it is sometimes styled by proponents, would represent a noticeable reduction in the time and cost of circum-continental transportation. If this new northern passage is accessible enough for sea-borne trade, it would have the potential to upend, or at least significantly alter, the current shipping lanes that dominate the Euro-Asian trade flows. The rapid pace of the melting ice-caps is set to openup a 6,000 km sea route through the Arctic connecting Northern Europe and East Asia. While it has very serious and destructive consequences for the global eco-system, the effects of climate change afford opportunities in maritime trade. Global climate change is providing Chinese planners with interesting options to develop new trade routes. For this reason, China is seeking new commercial avenues and this thinking plays a key role in the ambitious Belt and Road Initiative (BRI). Reliance on overseas consumer markets and producers means that shipping lanes and port infrastructure are of the utmost importance to Beijing and the Chinese leadership has made sustained economic growth as a national security priority. Since embracing a market-oriented system, China has become increasingly dependent on foreign trade, with imports and exports having become deeply embedded in Chinese society and economic practice. Her paper provides an analysis on the measures taken by China to ascertain greater access to the region and reap the financial benefits of this new frontier. Maud Descamps explores the economic and political impact surrounding potential new trade routes that could open-up in the Arctic region given the rapid pace of melting polar ice-caps. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |