Chinese Trade Routes Obliterated

in #hive-1679223 years ago

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There is actually a lot going on in the world right now with the Chinese taking a huge thrashing. We all know the Chinese have been running out their Belt Road Initiative in order to benefit from having key strategic logistics points dotted around the world. These are not random undertakings as they are there to serve a purpose further in the future for their trade domination strategy.

Ever since the Suez Canal drama with the container ship blockage the Chinese have been using and promoting their alternative route. China has been building a rail route dubbed the Inland Silk Route from China linking up with Europe. The route travels through China then via Tehran via Istanbul into Moscow and then onto Europe. We can already see the latest implications for this route as Moscow and sanctions will not allow this route to take place. This was key as Moscow was like a key hub into Europe and this corridor is now closed. This route has grown and is estimated to be worth close to $100 Billion in trade revenue every year.

With the supply chains having suffered due to the shipping fiasco over the last 2 years this has been a secret weapon of the Chinese and others have paid close attention to the Chinese.

The India West trade corridor is the biggest threat to the Chinese now as this route doesn't touch any Chinese rail infrastructure and is independent of any Chinese involvement. Maybe the rail tracks are made by the Chinese, but that is where their involvement ends.

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Negotiations are well under way within the Middle East as the UAE, Israel and Greece along with the United States has been planning this. The aim to cut Turkey out of the loop who tend to threaten and bully other countries in the region due to their port positioning's. This bypasses them making them irrelevant as from Israel goods are shipped to the Greek Port of Piraeus. This would mean another change of plans for the Chinese as they are temporarily in charge of this Port with a 60% ownership of the Chinese shipping firm COSCO. Greece would kick them out like Israel will do to China as they have the exact same problem at the Port of Haifa. Two major ports lost that China has no control over anymore. They supported Hamas and Iran in the Gaza war so their is no love lost between Israel and China.

Last month China turned down the Chinese involvement in their light rail project and has asked for bids from other countries. The rift is real and all Chinese projects in Israel are under threat. Their biggest investment thus far was the Port of Haifa and with China no longer welcome this must be seen as a positive. Chinese trade dominance was a massive concern for many and countries taking back what is rightfully theirs is great news.

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I wasn't even aware of this trade route and I live in Israel!

China is benefitting from paying below market for all energy and resources (manufacturing inputs) while "The West" is paying well above market.
The longer this continues the more western economies will be crushed.

While the trade routes are important, the actual raw materials to eat, manufacture and move are far more important.

Looks like this route could be big and good for both Israel and Greece. I agree raw materials plus agriculture is more important.

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Chinese are going to be put to the test now. Putin has asked for help from China as they are best buddies. If China is going to help Russia, he's going to face the same consequences. All their plans will be trashed. It's going to be a very expensive friendship.

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It's interesting to see how things will play out with China now and how the new geopolitical landscape that will emerge from the invasion of Ukraine will impact their ambitions. In one sense, China and Russia have common ground in regards there dislike of NATO (and its potential expansion) and the power that the USD still holds over global trade and finance but as you've demonstrated with what you've written above, China has very different ambitions on the global stage than Russia does and this war is hurting those plans.

I believe there is more to this war than the obvious as I do think it could have been prevented if all parties wanted just that. Russia and the US are playing for far more and those have serious financial benefits which will become clearer over time. I think Ukraine is sadly being used which is seriously wrong.

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