Journal of Political Strategy

China's Economic Activities in Iran Under the Belt and Road Initiative: Opportunity or Challenge?

Volume 3, Issue 11 - Serial Number 11
Winter 2020
Pages 149-162
Journal of Political Strategy

Document Type : Original Independent Original Article

Authors

Song Jiangbo 1
Wang Zezhuang 2

1 Phd Candidate of International Relation Allameh Tabataba'i University, Tehran, Iran

2 Professor International Relation Anhui University, Anhui, China

Abstract
As an international project, the Belt and Road Initiative includes strategic areas covering 65 countries. Given that Iran is at the heart of this road and China recognizes Iran as a strategic actor on this road, the type of policy the two countries have taken in relation to this initiative is crucial. In addition, economic activity has long been a central focus of Iran-China relations. The automotive industry is crucial to both countries as one of the driving forces of the growing economies. Iran's failed experience of working with Western companies as well as China's rapid progress in this area provides the potential for greater cooperation in this initiative. In this regard, this article attempts to answer some of the most important questions in this regard: What is the impact of Iran-China trade and investment on Iran's automobile industry? Will China's trade and investment in Iran put the development of the automobile industry in Iran at risk? Does China's influence on products and capital drive the automobile manufacturing industry in Iran? This article firstly studies the Iran-China trade relations within a one-way belt and explains why we have focused on the automotive industry. Then we will outline the main factors of China's foreign investment in the industry

Keywords

Trade Development
Automotive Industry
Iran-China Relations
Foreign Investment
Belt and Road
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