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Participation of Chinese multinational corporations in implementation of the strategy of the 21st-century Maritime Silk Road


Anton A. Shelukhin
(about the author)

Shelukhin Anton A. – Postgraduate (Primakov National Research Institute of World Economy and International Relations, Russian Academy of Science)

Published in:
Russian Journal of Entrepreneurship
– Volume 17, Number 13 (July 2016)

JEL classification: F21, F23, F40

Keywords: Chinese multinational corporations, direct foreign investments (DFI), economic expansion, the 21st-century Maritime Silk Road


Citation:
Anton A. Shelukhin (2016). Participation of Chinese multinational corporations in implementation of the strategy of the 21st-century Maritime Silk Road. Russian Journal of Entrepreneurship, 17(13), 1549–1568. doi: 10.18334/rp.17.13.35401


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Abstract:

China is the greatest trade nation in the world, it accounts for about 10% international commodity trade. Most commodities are transported by ships and, as a consequence, China has become the main destination and dispatching point of international sea routes. Seven out of ten busiest container ports are located in China and Shanghai Port is the greatest port in the world. In this context, it is not surprising that China plays an active role in international freight traffic. Three Chinese shipping companies are included into the list of twelve greatest container freight carriers. Moreover, Chinese ambitions in the international shipping industry are beyond this field. With increasing frequency, Chinese companies actively participate in construction and maintenance of ports around the world. This is especially relevant from the European viewpoint, as the Chinese government is now developing a full-scale program for maritime infrastructure building along the main Asian-European maritime route. The Chinese initiative in the so-called “21st-Century Maritime Silk Road” aims to develop ports of South-East Asia in the region of the Eastern Mediterranean and the Indian Ocean. The purpose of this article is to assess the involvement of Chinese ports in the Asian and European sea lane – from the South China to the Mediterranean Sea – that is significant for the European Union, in particular, when considering the “One Belt, One Road” concept, which may lead to the increase of Chinese influence on trade routes between China and the EU. It may have a particular effect on transit countries and companies that deal with transportation and infrastructure issues not only within the EU but also in the line between East Asia and Europe.








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