Study on Economic Cooperation Strategy of China’s “Silk Road Economic Belt

‘One Road and One Belt’ is ongoing with two strategies, the ‘Silk Road Economic Belt’ and the ‘21st-Century Maritime Silk Road’ The project aims to build a huge economic belt by connecting wide range of areas not only in Asia, but in Africa and Europe. As ‘One Road and One Belt’ covers large areas, economic cooperation with neighboring countries can be an indicator of success. In this study, I analyzed the impact on Chinese economy and regional economic cooperation focusing on the ‘Silkroad economic belt’ linking Central Asia and Europe. Central Asia is the borderland near Xinjiang Province in China. It has played a major role for new energy supply and as a frontier for opening European market by establishing pipelines and railways in recent years. Thereby, China is expecting that it will lead to stable economic growth and a new opportunity to economic take-off. However, countries like China, the US, Japan and Russia are implementing a development strategy in Central Asia. Therefore, it seems as various economic cooperation organization are competing each other in the same area. Furthermore, the management structure of AⅡB is left unresolved and the conflicting interests among nations and organizations, the emergence of a new organization such as EEU which can check China’s interest and problems caused by ideology and conflict among nations could be factors that delay or impede economic cooperation of neighbor nations. Especially, the Korean Peninsula(North Korea) is bordered by China and Russia. However, the Korean Peninsula was not included in the Silk Road economic belt. If the Silk Road economic belt is connected to the ‘Eurasia Initiative’, It will be able to promote the economic development in Northeast Asia. Therefore, China should establish a new economic cooperation organization in order to obtain the agreement of neighboring countries and increase the necessity of economic cooperation through the Free Trade Agreement. China should expand the multiple channels of communication for to receive a new offer of its neighboring countries’s. If China wants economical development and regional economical development through a successful Silkroad economic, stable cooperation in Central Asia would be necessary.