Iran-China pact turbocharges the New Silk Roads: Pepe Escobar

Iran-China pact turbocharges the New Silk Roads: Pepe Escobar via The Saker

Two of the US’s top “strategic threats” are getting closer and closer within the scope of the New Silk Roads – the leading 21st century project of economic integration across Eurasia. The Deep State will not be amused.

Iranian Foreign Ministry spokesman Abbas Mousavi blasted as “lies” a series of rumors about the “transparent roadmap” inbuilt in the evolving Iran-China strategic partnership.

That was complemented by President Rouhani’s chief of staff, Mahmoud Vezi, who said that “a destructive line of propaganda has been initiated and directed from outside Iran against the expansion of Iran’s relations with neighbors and especially (with) China and Russia.”

Vezi added, “this roadmap in which a path is defined for expansion of relations between governments and the private sectors is signed and will continue to be signed between many countries.”

To a great extent, both Mousavi and Vezi were referring to a sensationalist report which did not add anything that was not already known about the strategic partnership, but predictably dog-whistled a major red alert about the military alliance.

The Iran-China strategic partnership was officially established in 2016, when President Xi visited Tehran. These are the guidelines.

Two articles among the 20 listed in the agreement are particularly relevant.

Item 7 defines the scope of the partnership within the New Silk Roads vision of Eurasia integration: “The Iranian side welcomes ‘the Silk Road Economic Belt and the 21st Century Maritime Silk Road’ initiative introduced by China. Relying on their respective strengths and advantages as well as the opportunities provided through the signing of documents such as the “MOU on Jointly Promoting the Silk Road Economic Belt and the 21st Century Maritime Silk Road’ and ‘MOU on Reinforcement of Industrial and Mineral Capacities and Investment’, both sides shall expand cooperation and mutual investments in various areas including transportation, railway, ports, energy, industry, commerce and services.”

And item 10 praises Iran’s membership of the AIIB: “The Chinese side appreciates Iran’s participation as a ‘Founding Member’ of the Asia Infrastructure Investment Bank. Both sides are willing to strengthen their cooperation in the relevant areas and join their efforts towards the progress and prosperity of Asia.”

So what’s the deal?

The core of the Iran-China strategic partnership – no secret whatsoever since at least last year – revolves around a $400 billion Chinese investment in Iran’s energy and infrastructure for the next 25 years. It’s all about securing a matter of supreme Chinese national interest: a steady supply of oil and gas, bypassing the dangerous bottleneck of the Strait of Malacca, secured with a median 18% discount, and paid in yuan or in a basket of currencies bypassing the US dollar.

Beijing will also invest roughly $228 billion in Iranian infrastructure – that’s where the AIIB comes in – over 25 years, but especially up to 2025. That ranges from building factories to badly needed energy industry renovation, all the way to the already in progress construction of the 900 km-long electric rail from Tehran to Mashhad.

Continue Reading / The Saker >>>

Sharing is caring!

The Saker

Stop the Empire's War on Russia