THE 21ST CENTURY SILK ROUTE: A PROJECT THAT CAN CHANGE THE WORLD
China has embarked on a global transportation project unmatched in history: the new Silk Road. By land and by sea, from Asia to Europe, Africa and Latin America, this titanic plan has the potential to transform the global economy, commerce, industry and culture in its wake.
What was born as a proposal by the Chinese president in October 2014, during the Summit of the Shanghai Cooperation Organization, in which he invited banks and participating countries to be investors, has become the greatest challenge for the economy worldwide, a total revolution that will undoubtedly become a milestone in the transportation of passengers, goods, hydrocarbons and high technology.
The aim is to revitalize the old Silk Road, with modern infrastructure and state-of-the-art technology, providing it with greater logistics and distribution capacity, which would benefit Western countries and contribute to the growth of Asia and the Middle East.
In ancient times, this route linked the markets of the Roman and Chinese empires since the eastern silks that were traded in Europe were sent through it. Over time, other products began to be traded, such as: stones, precious metals, fabrics, manufactured materials, etc.
According to some media this may be the largest infrastructure project in history. It aims to connect two-thirds of the world's population and 70 countries through a network of land links called “The Belt” that involves highways, railways and pipelines; It also proposes a network of maritime routes with the name of "The Rout", in which some maritime ports will be created or modified.
China has already financed thousands of kilometers of this route in road and rail infrastructure, the most famous to date is the Yiwu-Madrid freight train route that travels 13 thousand kilometers through eight countries.
The importance and relevance of this project, coupled with the departure of the United States from the Trans-Pacific Treaty of Economic Cooperation, opens the door for Mexico to be an important bastion in trade with China.
At Arrangoiz & Asociados we are experts in international trade.