China Iran Oil Agreement

septiembre 14, 2021 leedeforest

China will promote this partnership as a new part of its Belt and Road Initiative (BRI), but, like most BRI, the agreement was reached ad hoc. Beijing saw opportunities in Iran`s international isolation and created conditions under which Tehran could accept conditions it would traditionally refuse, such as. B the authorization of a long-term preferential price for oil and natural gas and Chinese military units and state enterprise personnel to be active in strategic areas of the country. Rumors of an imminent grand partnership between China and Iran seem to be well-founded. A leaked draft agreement, published in July by the New York Times, says it would involve a deep economic partnership that would open the door to strategic measures. The leak was followed by much speculation about the deal. It can rightly be said that this agreement would have important geopolitical consequences for the Middle East and the Indian Ocean region. All regional actors would suffer directly or indirectly from political costs. The 25-year Iran-China Cooperation Program or Comprehensive Strategic Partnership between I.R.

Iran, P.R. China[1] is an agreement on Iran-China relations drawn up in Beijing on June 24, 2020 between Iran and China. [2] [3] The possible design of the document is 18 documents. The project was first leaked to the New York Times by someone close to the project. [4] [5] Petroleum Economist reports that the deal covers up to $280 billion for the development of Iran`s oil, gas and petrochemical sectors and an additional $120 billion in investments in modernizing Iran`s transportation and manufacturing infrastructure. [6] [7] According to the Iranian authorities, the revitalization of the New Silk Road is also part of the agreement. [8] The Sino-Iranian strategic partnership will also have repercussions on neighboring regions, including South Asia. In 2016, India and Iran signed an agreement to invest in Iran`s strategic port chabahar and build the railway linking the southeastern port city of Chabahar to the eastern city of Zahedan and connecting India to Afghanistan and landlocked Central Asia. Iran is now accusing India of delaying its investments under pressure from the US and has kicked India out of the project. The bilateral agreement offers China an exceptional opportunity to participate in the development of this port. China will be able to expand Jask to its network of strategic platforms in the region. According to the plan, regional industrial parks developed by Chinese companies in some Persian Gulf countries will be linked to ports where China has a strong presence.

This network of interconnected industrial parks and ports may still challenge the dominant position of the United States in the region surrounding the strategic Strait of Hormus. China`s growing influence in East Asia and Africa has challenged the United States. The Middle East is the next battlefield where Beijing can challenge US hegemony, this time through Iran. This is particularly important, because the agreement and its effects go beyond the economic field and bilateral relations: it works at internal, regional and global levels. But the deal says Russia remains a niche partner and its vast power is overshadowed by Beijing. Beijing and Moscow may often agree, but this agreement does not signal the imminent arrival of a new Asian axis. In the oil industry in particular, what could be seen as the main motivation for the Chinese to sign an agreement conflicts with the numbers. China`s oil imports from Iran collapsed by 89 percent in March, as Beijing tried to strike a trade deal with the United States. In June, China did not import crude oil from Iran, at least officially, against an all-time high from Saudi Arabia. In addition, all the significant incidents that have occurred in recent years in the Middle East, including the assassination of Soleimani, the Iranian attack on Abqaiq Khurais, and the ongoing war in Syria and Yemen, have not influenced the price of oil in the long run. . .