Historic role of China in international development
Considers the evolution of China's policy of participation in international development, as well as the periodization of stages of development of China's international relations with the world. Determination of consequences of policy of "non-alignment".
Рубрика | Международные отношения и мировая экономика |
Вид | статья |
Язык | английский |
Дата добавления | 13.07.2021 |
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Historic role of China in international development
Oleh Oliynyk
The article considers the evolution of China's policy of participation in international development, as well as the periodization of the main stages of development of China 's international relations with the world. It is established that China's international cooperation and participation in international development have provided China with world recognition and international prestige. As a result of the analysis of the policy of international cooperation, the main priorities, directions and measures of the policy of international cooperation of China were revealed. After the formation of China, the country's leadership preferred China's cooperation with the Soviet Union and developing countries. If through cooperation with the USSR, China attracted technology, credit resources and specialists, then by cooperating with developing countries, China provided international assistance to the newly independent countries. Due to differences in political views between the USSR and China on development strategy and foreign policy priorities, relations between the USSR and China were frozen. As a result, China is declaring a policy of «non-alignment». Public diplomacy played an important role in shaping China's positive image in the international arena. As China's position in the world has strengthened, so do China's tactics of international cooperation with developing countries has also changed. Gradually, China has been transforming from a donor to a global investor. China is becoming an active supporter of the intensification of the globalization of the world economy. It's revealed China's leadership has been linked China's future with increased involvement in global governance. China's political circles believe that the world needs greater political coordination, financial integration, infrastructural connectivity, impartial trade and human relations. China is pursuing its vision of global governance in the «One Belt, One Road» global initiative. China sees the future of human civilization in the joint development and creation of a world community of a common destiny.
Keywords: international cooperation, joint development, globalization, global governance, “One Belt, One Road”.
Олійник О.М. Історична роль Китаю в міжнародному розвитку.
В статті розглянуто еволюцію політики Китаю щодо участі в міжнародному розвитку, а також представлено періодизацію основних етапів розвитку міжнародних відносин Китаю зі світом. Встановлено, що міжнародне співробітництво та участь Китаю в міжнародному розвитку забезпечили Китаю світове визнання та міжнародний авторитет. В результаті аналізу політики міжнародного співробітництва були виявлені основні пріоритети, напрямки та заходи політики міжнародного співробітництва Китаю. Після утворення Китаю керівництво країни надавало перевагу співробітництву Китаю з СРСР та країнами що розвиваються. Якщо через співпрацю з СРСР Китай залучав технології, кредитні ресурси та спеціалістів, то співпрацюючи з країнами що розвиваються, Китай надавав новим незалежним країнам міжнародну допомогу. Через розбіжності в політичних поглядах між СРСР та Китаєм щодо стратегії розвитку та зовнішньополітичних пріоритетів, відносини між СРСР та Китаєм згортаються. Як наслідок Китай проголошує політику «неприєднання». Важливу роль у формуванні позитивного іміджу Китаю на міжнародній арені відігравали публічна дипломатія. По мірі зміцнення позицій Китаю в світі, також змінюється і тактика міжнародного співробітництва Китаю з країнами що розвиваються. Поступово Китаю перетворюється з донора на глобального інвестора. Китай стає активним прихильником посилення процесу глобалізації світової економіки. Встановлено, що керівництво Китаю пов'язує майбутнє Китаю з посиленням його участі в глобальному управлінні. Політичні кола Китаю вважають, що світ потребує більшої політичної координації, фінансової інтеграції, інфраструктурної зв'язаності, неупередженої торгівлі та міжлюдських стосунків. Своє бачення щодо глобального управління Китай реалізує у глобальній ініціативі «Один пояс, один шлях». Майбутнє людської цивілізації Китай бачить у спільному розвитку та створенні світової спільноти єдиної долі.
Ключові слова: міжнародне співробітництво, спільний розвиток, глобалізація, глобальне управління, «Один пояс, один шлях».
Олейник О.Н. Историческая роль Китая в международном развитии.
В статье рассмотрена эволюция политики Китая в отношении участия в международном развитии, а также представлена периодизация основных этапов развития международных отношений Китая с миром. Установлено, что международное сотрудничество и участие Китая в международном развитии обеспечили Китаю мировое признание и международный авторитет. В результате анализа политики международного сотрудничества были выявлены основные приоритеты, направления и меры политики международного сотрудничества Китая. После образования Китая руководство страны предпочитало сотрудничество Китая с СССР и развивающимися странами. Если через сотрудничество с СССР Китай привлекал технологии, кредитные ресурсы и специалистов, то сотрудничая с развивающимися странами, Китай предоставлял новым независимым странам международную помощь. Из-за разногласий в политических взглядах между СССР и Китаем в отношении стратегии развития и внешнеполитических приоритетов, отношения между СССР и Китаем сворачиваются. В результате Китай провозглашает политику «неприсоединения». Важную роль в формировании положительного имиджа Китая на международной арене играла публичная дипломатия. По мере укрепления позиций Китая в мире, также меняется и тактика международного сотрудничества Китая с развивающимися странами. Постепенно Китай превращается из донора в глобального инвестора. Китай становится активным сторонником усиления процесса глобализации мировой экономики. Установлено, что руководство Китая связывает будущее Китая с усилением его участия в глобальном управлении. Политические круги Китая считают, что мир нуждается в большей политической координации, финансовой интеграции, инфраструктурной связности, беспристрастной торговли и межчеловеческих отношений. Свое видение относительно глобального управления Китай реализует в глобальной инициативе «Один пояс, один путь». Будущее человеческой цивилизации Китай видит в совместном развитии и создании мирового сообщества единой судьбы.
Ключевые слова: международное сотрудничество, совместное развитие, глобализация, глобальное управление, «Один пояс, один путь».
Introduction
The research of China remains relevant to many international organizations, research institutions, research centers, periodicals, and ultimately all circles that have been concerned with international development and international relations for more than 40 years, with only change of the accents in the topic research. At the beginning of the policy of reform and openness in 1978, China was the object of skepticism and criticism about the essence of the reform policy, which was seen as another experiment on Chinese society. However, with the implementation of reforms, the subject of research is gradually changing and today the experience of China is an example of the success of economic reforms. China is following its own, hitherto untested path, refuting seemingly well-established theories and standards of development. Of particular importance is the study of China's experience in international relations and international development. This is due to the role that China plays today in international processes, its influence on international processes and global initiatives that China is actively promoting in the world.
As a result, a galaxy of Chinese scholars and scholars from other countries has been formed around the world to study China's international relations and its participation in international development. Among Chinese scholars, this community includes such scholars as Qiu Huafei, Ouyang Xianning, He Yafei, Wu Sike, Li Hong, Zhang Wenzong, Zhang Xin, Zhang Hui, Ma Huiyuan, Jin Ling, Liu Yi, Xu Yanzhuo, Jiang Shixue, Li Anshan, Wu Jianmin, Chen Jing, Tian Dewen, Xu Yanzhuo, Zhou Lin, Wu Li, Kou Liyan, An Xinzhu, Liu Qinghai, Wen Bin, Li Yuan, Chen Sijia, Liu Jia, Shi Yajun, Li Yinyin, Zhu Jintao, Zhong Xiaowen, and others.
In Ukraine, the study of China's international relations and Ukrainian-Chinese cooperation is carried out by such scholars as: Bezruchko O.V., Velichko V.V., Goncharuk A.Z., Gorodnya N.D., Gutsalo S.E., Demenko O.F., Klimenko O.A., Kudryachenko A.I., Leshchenko L.O., Mingazutdinova G.I., Mironchuk A.S., Oliynyk O.M., Prorochenko N.O., Tsapko O.M., Tsivatiy V.G., Chekalenko L.D. etc.
Among the experts from other countries studying the field of international relations of China, the following can be singled out: Henry Kissinger, Zbigniew Brzezinski, Richardson Sophie, Alessandro Arduino, Pichamon Yeophantong, James M. Dorsey, Meidi Kosandi, Michиle A. Flournoy, Henry Farrell, Abraham Newman, Christopher R. Hill, Kevin Rudd, Benn Steil and Benjamin Della Rocca, Laura Rosenberger, Michael Green, Evan S. Medeiros, Andrew J. Nathan, Dexter Roberts, Robert Peckham, Brad W. Setser, Adam E. Casey and Seva Gunitsky, Donald Zagoria, Benjamin Ho, Frank Umbach, John Ross, Sebastian Roussillat, Henry M. Paulson, Robert Parkinson, Deborah Brдutigam, Michael Zдrate, Verena Menzel and others.
This article presents an analysis and results of the formation and evolution of Chinese government policy aimed at international recognition of the country in the international arena and the country's participation in international development and its historical development since the formation of China to the present.
Historic preconditions of China's foreign policy formation
Each country in the world makes its own contribution to the development of world civilization. However, they do it differently. Some countries make a more significant contribution, others less significantly. There is a group of countries that have a significant impact on world development, they set the rules of the game in the international arena, and there are countries that have to adapt to these rules and live by these rules. The philosophical law of development, the essence of which is that the material world is in constant motion, clearly confirms its fidelity in the development of mankind. World history has many examples when some countries, which in different historical periods were leaders of world development, owned many territories and even ruled the world. It seemed that there was no such force that would be able to defeat them and turn the course of history in another direction. However, over time, the former empires gradually lost their power and even went down in history, while the former vassal countries gained power and replaced the former metropolises. In most cases, the latter lost their influence forever, and were no longer able to reproduce the former power, and some even disappeared without a trace from the world map.
A special place in world history is occupied by China, whose history is marked by periods of ups and downs, as well as periods of decline and collapse.
In ancient times, China has made remarkable strides in astronomy, medicine, and geography that have attracted worldwide attention. All these discoveries and inventions were closely connected with production activities, they provided strong support to agriculture and the development of manufacturing. The English philosopher Francis Bacon praised these achievements: “The technique of printing books, the invention of gunpowder and the compass - these three great inventions were able to change the whole material face of the world and its condition. No empire, no religious denomination, or great personality has had much influence or power over the entire process of human development” [1, c. 288].
According to some estimates, by the 16th century, 300 important discoveries and inventions had been made in the world, with China accounting for 173, which is ahead of Europe for the same period. For a long time, China has held a leading position in the world. China's culture and thought, social system, economic development, science and technology have significantly influenced neighboring countries, from which this influence has spread further. However, in the last historical period, China has gradually turned from a leading state into a backward state. One reason for this is that China has lost many of the opportunities and chances for gigantic development provided by the scientific, technological and industrial revolutions [1, c. 289]. china policy international
Speaking on January 18, 2016 at the 5th Plenum of the CPC Central Committee of the 18th convocation, Chinese President Xi Jinping identified three stages in the development of China's relations with the world. The first is the transition from a completely closed state, isolated from the rest of the world, to a semi-colonial and semi-feudal system. Before the Opium Wars, China was completely separated from the world market and the global trend toward industrialization. After the Opium Wars, China was repeatedly invaded from the outside and defeated in these wars, making it a poor and weak state. The second stage is the period of “tilting only in one direction”. After the formation of the People's Republic of China, China followed only one path, at the beginning of which there was a “tilt only in one direction” towards the Soviet Union. The difficult search for ways to build socialism in conditions of relative isolation continued. During the “cultural revolution”, China completely closed the gates for relations with the outside world. The third stage is the stage of comprehensive openness to the outside world. Since the proclamation of reforms and openness, China has been able to take full advantage of the chances and opportunities offered by globalization. Constantly expanding its openness, China has made historic changes in its relations with the rest of the world [1, c. 304].
Given the lessons of the historical development of previous years, the Chinese leadership tried to avoid external isolation by establishing diplomatic relations with other countries and developing economic cooperation. During Mao Zedong's lifetime, China also sought to expand economic and technical exchanges with foreign countries, including the development of trade and economic relations with some capitalist countries. The Chinese leadership even wanted to attract foreign investment and set up joint ventures. However, in those circumstances, other countries kept China in isolation. Later, the “gang of four” called all these intentions “blind worship of foreign countries”, “betrayal of national interests” and China was completely cut off from the outside world [2, c. 20]. Breaking the blockade, gaining international support for economic recovery and growth have become for New China the most important content of the priority course of economic construction. In March 1949, speaking at the 2nd Plenum of the 7 convocation, Mao Zedong said that first of all it was necessary to trade with socialist countries and people's democracies, at the same time it was necessary to trade with capitalist countries. In 1956, Mao Zedong wrote about relations between China and foreign countries in his work “On the Question of Ten Relations”. In this work, he clearly formulated the idea that you need to learn from abroad. He also noted that the country's course is to take advantage of other countries, to take their real advantages in politics, economics and technology, literature and art. In turn, Prime Minister Zhou Enlai, who has made a significant contribution to the theory of international relations not only of China but also of the world, noted that no country in the world, existing in this world and carrying out state-building, can completely isolate itself from the outside world and live on the principles of self-sufficiency [2, c. 21].
These ideas of China's leaders laid the foundation for China's foreign economic policy after its creation. In the first years of its existence, China adhered to the real principle of openness. If a foreign state recognized the new China, China was ready to have equal and mutually beneficial trade relations with it.
Shortly after the formation of the People's Republic of China, Mao Zedong visited the USSR, where the Treaty of Soviet-Chinese Friendship was signed. Later, Zhou Enlai and Li Fuchun also visited the USSR and held constructive talks. With the help of the USSR, 156 large facilities were built in China, and with the help of Eastern European countries, complex enterprises appeared. At that time, these facilities were in line with the advanced international level in terms of technical equipment. During the period from 1949 to 1960, about 20,000 foreign specialists were invited to China, and 10,000 students and interns were sent abroad to study [2, c. 24].
At the same time, China has developed relations with neighboring countries and liberated nation states. In 1952, China and Japan established a bridge of friendship, and the first trade agreement was signed between China and Japan, which was not yet a formal intergovernmental agreement.
In the early 1960's, relations between China and the Soviet Union deteriorated sharply. The Soviet Union unilaterally canceled previously signed contracts and withdrew its specialists from China. Mao Zedong and Zhou Enlai have decided that the main centers of trade and supply of technical equipment will be Western countries, as well as countries that want to have friendly relations with China. From 1962 to 1966, China imported 20 large and small sets of equipment from Western countries, with a total value of $300 mln. Equipment for the metallurgical, petrochemical, electronic industries, high-precision machines was imported [2, c. 27].
Thus, during the 17 years preceding the “cultural revolution”, China sought to be open to the world and to develop relations with other countries, regardless of sociopolitical system. However, during the “cultural revolution” China found itself in a state of self-isolation. In the field of foreign trade and economic relations, the principle of “self-reliance” was opposed to cooperation and mutual exchange with foreign countries.
Mao Zedong pointed out that a strong coalitions of the Third World could be decisive in Cold War confrontations. China's strategy emphasized building political coalitions in the Third World at two different levels. First, China supported “national liberation struggle” both to force out the remaining colonial regimes and to overthrow those independent Third World government that were most closely allied with the West. Second, China attempted to build close cooperative relations with the rest independent Third World government, urging them to reject the West.
China first effort to assume influence in the Third World came in April 1955, when it attended the Bandung Conference of Asian and African states which took place in Bandung, Indonesia. The conference was organized by Indonesia, Burma, Pakistan, Ceylon (Sri Lanka) and India and was attended by representatives from twenty-nine countries with a total population of about 1,4 bln people. The conference's aims were to promote Afro-Asian economic and cultural cooperation and to oppose colonialism and neocolonialism by the imperialistic nations. China played an important role in the conference and strengthened its relations with other Asian countries. At the conference the Chinese Premier Zhou Enlai called for a “nonaligned movement”. Nonalignment, rather than alliance with the West against China was preferred by the major Asian countries, such as India, Indonesia, Ceylon, Malaysia and Burma [3, p. 10].
The theme of peaceful coexistence was repeated at the conference of twenty-nine Afro-Asian states when they signed the 10-point “declaration on promotion of world peace and cooperation” which incorporated the principles of the United Nations Charter. The Final Communiquй of the Conference underscored the need for the developing countries to loosen their economic dependence on the leading industrialized nations by providing technical assistance to one another through the exchange of experts and technical assistance for developmental projects, as well as the exchange of technical know-how and the establishment of regional training and research institutes [3, p. 71].
Five Principles of Peace Co-existence
Since its foundation in 1949, China had given high priority to its relations with Third World. In order to declare the China's philosophy of the proper relations among states in the international system the China developed “Five Principles of Peaceful Coexistence” (f!) which include: mutual respect for each other's territorial integrity and sovereignty; mutual nonaggression; mutual noninterference in each other's internal affairs; equality and mutual benefit; peaceful coexistence. They were first set by forth by Premier Zhou Enlai in his talk to the Indian delegation at the start of the negotiations that took place in Bejing from December 1953 to April 1954 between representatives of the Chinese and Indian government on relations between the countries in Tibet [4].
Over the past 50 years, in spirit of the Five Principles of Peace Co-existence, China settled border problems left over by history with Myanmar, Nepal, Pakistan, and Mongolia and solved the problem of double-nationality of Indonesian-Chinese, thus setting up an image of peace in Asia and becoming an example for strengthening regional stability and consolidating unity of Asian countries. Statistics show that by 1976, the year in which Premier Zhou Enlai passed away, there had been more than 90 countries who recognized the Five Principles in the form of government documents jointly issued with China, and, on this basis, more than 100 countries established diplomatic relations with China. However, India also solved successfully its border disputes with Myanmar and Nepal according to the Five Principles.
Meanwhile, the Five Principles also crossed ideological gap and broke the barrier between western, oriental cultures by winning recognition form western countries. In 1956, Finland, Denmark, Sweden, France and Belgium introduced the Five Principles into related documents; after the 1970s, Japan, Britain, Holland, West Germany, Australia and the United States accepted the Five Principles one after another and wrote them into friendship agreement or joint communiquй signed by China. During half a century, the Five Principles have been included into more than 160 international documents. Just as former Indian President Kocheril Raman Narayanan put it, the fact that a principle agreement signed between two countries got accepted by most world countries is very rare in the international history of international relations [3, c. 75].
Why are the Five Principles so widely accepted by the international community? David Abel, former minister of Myanmar cabinet, gave his explanation in an interview. He believes that the Five Principles proposed by China included basic norms in international relations, and summarized the purpose and principles of the UN Charter in a succinct way, that's why they can be widely recognized. The Five Principles stand for non-aggression, non-interference and peaceful co-existence, thus providing a practical way in solving border disputes and handling relations between big and small countries [3, p. 76].
The Five Principles also lay stress on equality and recognition of the diversity of the world by advocating the norms of seeking common ground while reserving difference and do not impose on others what you yourself do not desire, which demonstrates the democratic spirit in modern international relations and needs of the vast developing countries and therefore are in the fundamental interests of world people.
Former Australia Prime Minister Robern James Lee Hawke once emphasized that the notion of «mutual benefit» put forward in the Five Principles serves as a base for creating a safer world, which calls for a spirit of cooperation, and it is where the vitality of the Five Principles lies. Former Indian President Kocheril Raman Narayanan expressed his opinion on the Five Principles: «I think a new international order can be built on the basis of the five principles, because these principles recognize dignity and sovereignty of each other and respect others' territories. For any peaceful world order, this is the first requisite that you must recognize the sovereignty of each other and respect other nations» [5].
China's Foreign Aid Policy
In the 1950s, soon after the founding of the People's Republic of China, although it was short of funds and materials, China began to provide economic aid and technical assistance to other countries, and gradually expanded the scope of such aid. In 1950 China provided assistance to the Democratic People's Republic of Korea and Vietnam, two neighboring countries having friendly relations with China. Following the Asian-African Conference in Bandung, the scope of China's aid extended from socialist countries to other developing countries, along with the improvement of China's foreign relations. In 1956, China began to aid African countries. In 1964, the Chinese government declared the Eight Principles for Economic Aid and Technical Assistance to Other Countries, which are presented beneath:
1. The Chinese government always bases itself on the principle of equality and mutual benefit in providing aid to other countries. It never regards such aid as a kind of unilateral alms but as something mutual.
2. In providing aid to other countries, the Chinese government strictly respects the sovereignty of recipient countries, and never attaches any conditions or asks for any privileges.
3. China provides economic aid in the form of interest-free or low-interest loans, and extends the time limit for the repayment when necessary so as to lighten the burden on recipient countries as far as possible.
4. In providing aid to other countries, the purpose of the Chinese government is not to make recipient countries dependent on China but to help them embark step by step on the road of self-reliance and independent economic development.
5. The Chinese government does its best to help recipient countries complete projects which require less investment but yield quicker results, so that the latter may increase their income and accumulate capital.
6. The Chinese government provides the best-quality equipment and materials manufactured by China at international market prices. If the equipment and materials provided by the Chinese government are not up to the agreed specifications and quality, the Chinese government undertakes to replace them or refund the payment.
7. In giving any particular technical assistance, the Chinese government will see to it that the personnel of the recipient country fully master the technology.
8. The experts dispatched by China to help in construction in recipient countries will have the same standard of living as the experts of the recipient country. The Chinese experts are not allowed to make any special demands or enjoy any special amenities [6].
In October 1971, with the support of other developing countries, China resumed its legal seat in the United Nations, established relations of economic and technical cooperation with more developing countries, and funded the Tanzania-Zambia Railway and other major infrastructure projects. In this period, China overcome its own difficulties, and provided maximum assistance it could afford to other developing countries in their efforts to win national independence and to develop national economy, thus laying a solid foundation for its long-term friendly cooperation with developing countries [7].
After the adoption of the policies of reform and opening up in 1978, China's economic cooperation with other developing countries extended from economic aid to multi-form and mutually beneficial cooperation. China adjusted the scale, arrangement, structure and sectors of its foreign aid in accordance with its actual conditions. It strengthened its foreign assistance to the least developed countries, paid more attention to the economic and long-term effects of aid projects, and provided aid in more diversified and flexible ways. To consolidate the achievements of existing productive projects, China conducted multi-form technical and managerial cooperation with recipient countries, such as managing aid projects on behalf of recipient countries, lease management and joint ventures. After adopting the aforesaid cooperation models, some already-completed productive projects accomplished more than traditional technical cooperation in improving enterprise management and production level. Through adjustment and consolidation, China's foreign aid embarked on a development road which suits better to China's actual conditions and the needs of recipient countries.
In 1983, the Chinese Government proposed the Four Principles of China-Africa Economic and Technological Cooperation, which included “equality and mutual benefit, efficiency, diversity and mutual development” and which consisted of the next:
1. In carrying out economic and technical cooperation with African countries, China abides by the principles of unity and friendship, equality and mutual benefit, respects their sovereignty, does not interfere in their internal affairs, attaches no political conditions and asks for privileges whatsoever.
2. In China's economic and technological cooperation with African countries, full play will be given to the strong points and potential of both sides on the basis of their actual needs and possibilities, and efforts will be made to achieve good economic results with less investment, shorter construction cycles and quicker returns.
3. China's economic and technological cooperation with African countries takes a variety of forms suited to the specific conditions, such as offering technical services, training technical and management personnel, engaging in scientific and technical exchanges, undertaking construction projects, entering into cooperative production and joint ventures. With regard to the cooperative projects it undertakes, the Chinese side will see to it that the signed contracts are observed, the quality of work guaranteed and stress laid on friendship.
4. The purpose of China's economic and technical cooperation with African countries is to contribute to the enhancement of the self-reliant capabilities of both sides and promote the growth of the respective national economies by complementing and helping each other [8].
In the 1990s, in the course of the shift from the planned economy to the socialist market economy, China took a series of measures to reform its foreign aid mechanism, focusing on diversifying the sources and means of funding. In 1993, the Chinese government set up the Foreign Aid Fund for Joint Ventures and Cooperative Projects with parts of the interest-free loans repaid to China by developing countries. The fund was mainly used to support Chinese small- and medium-sized enterprises to build joint ventures or conduct cooperation with the recipient countries in the production and operation spheres. In 1995, China, via the Export-Import Bank of China, began to provide medium- and long-term low-interest loans to other developing countries, effectively expanding funding sources of its foreign aid. Meanwhile, it attached greater importance to supporting the capacity building of recipient countries, and kept enlarging the scale of technical training. Officials from recipient countries receiving training in China became an important part in the cooperation of human resources development between China and those countries. In 2000, the Forum on China-Africa Cooperation (FOCAC) was initiated, and it became an important platform for dialogue between China and friendly African countries and an effective mechanism for pragmatic cooperation in the new circumstances. Through reforms in this period, China further expanded its foreign aid with more notable effects.
In the 21st century, especially since 2004, on the basis of sustained and rapid economic growth and enhanced overall national strength, China's financial resource for foreign aid has increased rapidly, averaging 29,4% from 2004 to 2009. In addition to deciding aid projects arranged through traditional bilateral channels, group consultations were held by China with recipient countries at the international and regional levels. The Chinese government announced a series of well-targeted foreign aid policies at many international and regional conferences, such as the UN High-Level Meeting on Financing for Development, UN High-Level Meeting on the Millennium Development Goals, Forum on China-Africa Cooperation, Shanghai Cooperation Organization, China-ASEAN Leaders Meeting, China-Caribbean Economic & Trade Cooperation Forum, China-Pacific Island Countries Economic Development & Cooperation Forum, and Forum on Economic and Trade Cooperation between China and Portuguese-Speaking Countries, to strengthen foreign aid in the fields of agriculture, infrastructure, education, health care, human resources, and clean energy. In August 2010, the Chinese government held the
National Conference on Foreign Aid to summarize its experience of foreign aid work, and define the major tasks for strengthening and improving foreign aid in new circumstances. China's foreign aid thus entered a new stage.
Basic features of China's foreign aid policy are as follows:
- Unremittingly helping recipient countries build up their self-development capacity. Practice has proved that a country's development depends mainly on its own strength. In providing foreign aid, China does its best to help recipient countries to foster local personnel and technical forces, build infrastructure, and develop and use domestic resources, so as to lay a foundation for future development and embarkation on the road of self-reliance and independent development.
- Imposing no political conditions. China upholds the Five Principles of Peaceful Coexistence, respects recipient countries' right to independently select their own path and model of development, and believes that every country should explore a development path suitable to its actual conditions. China never uses foreign aid as a means to interfere in recipient countries' internal affairs or seek political privileges for itself.
- Adhering to equality, mutual benefit and common development. China maintains that foreign aid is mutual help between developing countries, focuses on practical effects, accommodates recipient countries' interests, and strives to promote friendly bilateral relations and mutual benefit through economic and technical cooperation with other developing countries.
- Remaining realistic while striving for the best. China provides foreign aid within the reach of its abilities in accordance with its national conditions. Giving full play to its comparative advantages, China does its utmost to tailor its aid to the actual needs of recipient countries.
- Keeping pace with the times and paying attention to reform and innovation. China adapts its foreign aid to the development of both domestic and international situations, pays attention to summarizing experiences, makes innovations in the field of foreign aid, and promptly adjusts and reforms the management mechanism, so as to constantly improve its foreign aid work [9, p. 116].
Between 1950 and 2016, China, despite its modest level of development and low standard of living, provided a total of 400 bln yuan in foreign aid, initiated more than 5,000 aid projects in various fields, including nearly 3,000 complex projects, and conducted on its territory more than 11 thousand trainings for more than 260,000 specialists from developing countries.
“People to People” Diplomacy
The relative isolation of China during its first two decades increased the importance of cultural exchange and informal ties with people of other countries through mass organization and friendship societies. In some cases, activities at this level have signaled important diplomatic breakthrough, as was the case with American-Chinese ping-pong exchange in 1971. In addition to educational and cultural institutions, many other organizations, including the media, women's and youth organization, and academic and professional societies, have been involved in foreign relations. Chinese Ministry of Foreign Affairs has set up the Division for Public Diplomacy and many academic seminars have been held to explore ideas, channels and measures with regards to public diplomacy so as bring about a new situation of public diplomacy in China. Two institutes responsible for this aspect of Chinese diplomacy were associated with the Ministry of Foreign Affairs and staffed largely by former diplomats: the Chinese People's Association for Friendship with Foreign Countries and the Chinese People's Institute of Foreign Affairs.
Public Diplomacy has become a major topic in international relations community. As a new pattern of diplomacy, public diplomacy usually resorts to outflanking strategy to tackle foreign affairs. The classification of public diplomacy divides its practice into five distinct and well established activities, including: listening to foreign publics and refining policy accordingly; advocating to promote a particular policy before a foreign public; engaging in cultural diplomacy to export particular practice and build good feeling abroad; exchanging in cultural diplomacy to export particular practices and building networks to develop links and facilitate mutual knowledge; finally, using international broadcasting to provide news to foreign publics who might otherwise be denied access to balanced information [10].
Although Chinese civil society is far from reaching levels of independence comparable to industrialized countries, China's new public diplomacy seems to have taken careful note of how to strengthen the country's image abroad through cultural relations. The Confucius Institute plays an important role in the implementation of public diplomacy. Backed by the Chinese government, Confucius institutes now present on five continents, stress the global ambitions of Chinese public diplomacy which display the effects of highlighting China's cultural sophistication to the world and providing traditional Chinese philosophy and ideology. The recovery of the figure of Confucius also evoke the soft influence that China exerted over Asia in ancient times and its growing presence now in region.
Sports can figure in all areas of public diplomacy. The Chines government approached the organization of the Beijing Olympics with a conviction that the Games could be used to educate the world about modern China. The heart of the plan was a blending of ancient Chinese culture, which seems to strike a positive note around the world, with images of modern China and spirit of Olympic movement. The 2008 Beijing Olympic Games lived up to the expectations of the Chinese government. It posed a grand gathering of human civilization and were recognized as one of the best ever organized.
Chinese government pay more and more attention to public diplomacy. It's supposed to integrate Chinese hard power and soft power to create a good image of China in international community [11].
China's globalization strategy
As an alternative to the then “development strategy”, the so-called strategy of globalization was proposed in China. The strategy was first presented at the 15th Congress of the Communist Party of China (CPC) in 1997. Its essence was to increase the presence of Chinese companies abroad.
The strategy was formally approved by the CPC's 16th Congress in 2001, which gave a powerful impetus to increase China's foreign investment. Between 2001 and 2011, China's foreign investment rose from $5,5 bln to $65 bln. Presenting the government's intentions for foreign investment for the Fifteenth Five-Year Plan (2011-2015), Premier Wen Jiabao stressed the need to accelerate the globalization strategy. He also stressed the importance of focusing foreign investment on market needs, encouraging enterprises of various forms of ownership to participate in foreign investment projects.
In 2004, the first international forum organized by the Ministry of Commerce of China took place where it was actually presented the concept of globalization to the international community. The Chinese side said that the decision to implement the new strategy is important in terms of further development of openness policy and the need to expand China's participation in international economic development. The development of such a strategy was conditioned by the current trends in the world economy, as well as the problems of China's economic development. The main aspects of the new strategy were presented at the forum, the essence of which is the following priorities:
1. Increase foreign investment, develop toll and assembly production. Strengthening investment cooperation, it is necessary to use any means to create new jobs and thus strengthen opportunities for self-development of local economies in China.
2. Intensify cooperation on resource development abroad. By developing cooperation with other countries in the field of development and extraction of resources, including gas, oil, minerals, forests, fish and vegetation, China can provide appropriate technology, create jobs. This will increase household income, budget revenues and strengthen export potential and opportunities for self-development for local economies. In addition, it is necessary to assist other countries in transforming their resource advantages into development advantages.
3. To expand the practice of contractual cooperation in the framework of technological projects. The participation of Chinese enterprises in the form of contractual participation in technological, research and consulting projects should be encouraged, providing appropriate funding.
4. To develop foreign cooperation in the field of agriculture. The benefits of Chinese technology and equipment in this area must be fully exploited, and companies should be encouraged to implement foreign projects to develop agriculture. This direction requires the application of many approaches to create an international base of agricultural production and processing of agricultural products.
5. To stimulate the development of foreign cooperation in the field of science, technology and talent development. Companies should be encouraged to set up research centers in regions that have the appropriate level of science and technology development. Such centers should intensify technology exchange, cooperation, and stimulate the development of innovation potential and technology.
6. Raise co-operation in the provision of labor services. Given the needs of international markets, Chinese companies need to diversify and expand the use of labor services. This, in turn, should help improve the project management system.
7. Stimulate cooperation in trade and services. Chinese companies should be encouraged to enter foreign markets and develop cooperation in trade, distribution, financial services (banking, insurance, securities trading, futures, fund management), telecommunications, logistics, shipping and brokerage. Chinese companies are expected to intensify international trade in services in order to accelerate international trade and investment. In order to implement the strategy of globalization and mobilization of various forms of investment cooperation abroad, the Chinese government has created a system of support and management of foreign cooperation, based on market levers. Under this scheme, the Chinese government provides services to Chinese companies.
Thanks to a balanced strategy to pursue its own course in foreign economic and monetary spheres, China has reached a leading position in the world. The country ranks first in the world in terms of exports of goods, second in terms of GDP and total foreign trade.
China has gained significant competitive advantages from globalization and the policy of opening up to the global economy. The widespread use of open trade policies by many countries around the world has stimulated steady global demand for Chinese goods, while China's policy of economic openness has increased demand for other countries' goods. The opening of China's domestic market to foreign investors has helped increase the country's economic efficiency, which has also intensified domestic competition and stimulated demand for modern technology. Attracting significant amounts of foreign direct investment has contributed to the intensification of market efficiency of competition, the involvement of modern technologies, training programs for workers, which in turn has allowed China to increase productivity.
Since the beginning of reforms and openness, China has attracted in total of more than $1,7 trln in foreign investment and invested more than $1,2 trln abroad having made a great contribution to the development of the world economy. After the outbreak of the international financial crisis, China's share of world economic growth averaged more than 30% annually. According to these indicators, China ranks first in the world [1, c. 697].
China's success in economic growth has influenced China's political leadership's position on China's role in world affairs. The Chinese leadership is increasingly declaring the need to take an active part in world development and even to influence global processes. In order to expand China's economic presence in the world, the Chinese leadership is actively using a number of economic tools and levers, including: - the creation of special economic zones; - development of foreign trade and production cooperation; - involvement of foreign modern equipment and technologies; - attracting foreign investment and making foreign investments;
- providing financial and technical assistance; - implementation of joint projects;
- scientific and technical cooperation.
China Promotes Common Development through the BRI
In 2014, China adopted a “Strategic Program for the construction of the Silk Road Economic Belt and the 21st Century Maritime Silk Road” which was named “One belt, one road” initiative (BRI). In 2015, the document “Prospects and actions to promote joint construction of the Silk Road Economic Belt and the 21st Century Maritime Silk Road” was proclaimed. This event caused a wide resonance in the international community.
The BRI has become China's vision of playing a responsible power in a new era. China is trying to build a new type of international relations, namely mutual respect, fairness, justice and mutual benefit. This means that many countries can participate in international cooperation in a new way to promote their development. The purpose of the BRI is to foster and expand market for all countries through joint participation and common development. When China developed its strategy, it especially payed attention to the internal and external environment of interactivity.
China attempts to realize two basic domestic and international transformation through the BRI. Domestically, firstly, the relationship between government and market needs adjustment further. A basic experience of China and East Asian economies is that the government should play an active role in economic development and constantly adjust its role. With more and more China's capital and people flows into the international market, Chinese government should adapt to the international rules and promote domestic market. Secondly, it needs transform imbalanced China economy into a much more balanced one. China is moving towards the ranks of high-income countries, but the gap between western and eastern provinces is also expanding. At the same time, China is also facing severe challenges such as environmental pollution. China needs to make a balance in political, economic, social, cultural and ecological relations.
From the perspective of international influence, China also has two basic objectives. First, China attempts to transform from accused of “free-rider” into public good provider. China is becoming more and more active in this direction. Second, China attends to shift from price taker into a rule maker. When making rules, developing countries will give more consideration to the opinions of ordinary people. China believes that will make the world economy more fair and just. With the accelerating development of these two basic transformations, China's contribution will gradually expand through the connectivity, industrial shift and the new globalization.
In the economic belts of the Silk Road Economic Belt, three strategic directions of its orientation were identified: China - Central Asia - Russia - Europe (Baltic Sea); China - Central and Western Asia - Persian Gulf and Mediterranean Sea; China - South East and South Asia - Indian Ocean. The “One Belt, One Road” project should be based on international transit routes and major cities along the “One Belt, One Road” route, thus creating economic corridors, in particular: China - Mongolia - Russia; China - Central and East Asia; China - Pakistan; Bangladesh - China - India - Myanmar; China - Indochina Peninsula. Within the framework of the 21st Century Maritime Silk Road, two strategic directions were identified: from the coastal areas of China, through the South China Sea, to the Indian Ocean; from the coast of China, across the South China Sea, to the South Pacific. The global project has to connect three continents: Europe, Asia and Africa. The “One Belt, One Road” initiative is the largest global project in the history of mankind, as it covers 60 countries and districts along its strategic corridors, with 4,4 billion people, accounting for 63% of the world's population. It should be noted that the Chinese initiative is open to any country in the world. This means that any country can turn to China 's leadership with a proposal to participate in a global project and can count on support. The goal of the global project is to strengthen links and interactions between countries and regions, as well as contribute to creating a favorable climate for investment, an efficient exchange of goods, services, capital, technology and personnel. Unlike traditional forms of interaction, the initiative adopted a mechanism for cooperation, joint participation, planning, construction and use of the fruits of joint development. Most countries located along the strategic lines refer to developing countries. The level of average per capita income of these countries remains lower than the level of developed countries. Most of these countries alone can note establish a perfect infrastructure network. The participation of these countries in the initiative creates new opportunities for building new roads and building an infrastructure network. In addition to the development of infrastructure, the initiative is aimed at the development of sectoral cooperation, development of energy resources, the creation of industrial parks, port economic zones and port logistics networks [13].
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