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View of Iran, Kazakhstan and China: The implementation of the program “one belt – one road”

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JakubayevaS.1, Zhekenov D.2

1Ph.D, Al-Farabi Kazakh National University, Kazakhstan, Almaty

2Ph.D, Al-Farabi Kazakh National University, Kazakhstan, Almaty

IRAN, KAZAKHSTAN AND CHINA:

THE IMPLEMENTATION OF THE PROGRAM “ONE BELT – ONE ROAD”

This article analyzes relations between China, Iran and Kazakhstan in the context of China’s new program and the removal of sanctions against Iran. Considered the economic and political aspects of the strengthening of China in the Middle East, found its features and the most important aspects of bilateral relations between Iran and China and China and the Republic of Kazakhstan. Also, were considered patterns of development and analyzed the objective socio­economic situation in the context of the new Chinese initiative “One belt one­road” and the formation of a new geopolitical situation after the remov­

al of sanctions against Iran. This article analyzes the relations between three countries in the context of mutual synergy of the new economic policy of Iran, Kazakhstan and China. Analyzed the effectiveness of the current economic and trade relations and predicted new horizons of mutual beneficial relations. The article is based on the use of the interdisciplinary nature of the subject and on the works of Kazakhstan and foreign authors.

Key words: program, regional cooperation, economy, diplomacy, foreign policy initiatives, the main actors.

Джaкубaевa С.Т.1, Же ке нов Д.Қ.2

1Ph.D., әл­Фaрaби aтындaғы Қaзaқ ұлт тық уни вер си те ті, Қaзaқстaн, Алмaты қ.

2Ph.D., әл­Фaрaби aтындaғы Қaзaқ ұлт тық уни вер си те ті, Қaзaқстaн, Алмaты қ.

Ирaн, Қaзaқстaн жә не Қытaй: «Бір бел деу – бір жол» бaғдaрлaмaсын іс ке aсы ру Бұл мaқaлa Қытaй, Ирaн жә не Қaзaқстaн aрaсындaғы Қытaйдың жaңa бaғдaрлaмaсы ның кон тек сін де жә не Ирaнғa қaрсы сaнк циялaрды бір тін деп aлғaннaн ке йін гі қaрым­қaтынaсты қaрaстырaды. Тaяу Шы ғыстaғы Қытaйды нығaйтудың эко но микaлық жә не сaяси aспек ті ле рі қaрaсты рылғaн, оның ерек ше лік те рі мен Ирaн жә не Қытaй, Қытaй жә не Қaзaқстaн aрaсындaғы екі жaқты қaтынaстaрдың мaңыз ды aспек ті ле рі зерт тел ген. Со ны мен қaтaр, дaму зaңды лықтaры қaрaсты ры лып, «Бір жол – бір бел деу» қытaйлық бaстaмaсы кон тек сін де жә не Ирaнғa қaрсы сaнк­

циялaр aлынa бaстaғaннaн ке йін гі жaңa геосaяси жaғдaйды қaлыптaсты рудaғы объек тив ті әлеу­

мет тік­эко но микaлық жaғдaй тaлдaнaды. Бұл мaқaлaдa Ирaн, Қaзaқстaн жә не Қытaйдың жaңa эко но микaлық сaясaты ның өзaрa си нер гиясы тұр ғы сынaн үш ел дің қaрым­қaтынaсы зер де ле не­

ді. Қaзір гі эко но микaлық жә не сaудa қaтынaстaры ның тиім ді лі гі не тaлдaу жaсaлып, өзaрa тиім ді қaрым­қaтынaстaрдың жaңa мүм кін дік те рі не болжaу жaсaлaды. Мaқaлa пәнaрaлық бaйлaныстa зерт те ліп, қaзaқстaндық жә не ше тел дік aвторлaрдың ең бек те рін қолдaнғaн.

Тү йін сөз дер: бағдарлама, аймақтық ынтымақтастық, экономика, дипломатия, сыртқы саяси бастама, негізгі қатысушылар.

Джaкубaевa С.Т.1, Же ке нов Д.К.2

1Ph.D., Кaзaхс кий нaционaль ный уни вер си тет им. aль­Фaрaби, Кaзaхстaн, г. Алмaты

2Ph.D., Кaзaхс кий нaционaль ный уни вер си тет им. aль­Фaрaби, Кaзaхстaн, г. Алмaты Ирaн, Кaзaхстaн и Китaй: реaлизaция прогрaммы «Один пояс – один путь»

В этой стaтье aнaли зи руют ся от но ше ния меж ду Китaем, Ирaном и Кaзaхстaном в кон текс те но вой прогрaммы Китaя и от ме ны сaнк ций про тив Ирaнa. Рaсс мот ре ны эко но ми чес кие и по ли ти­

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aспек ты двус то рон них от но ше ний меж ду Ирaном и Китaем, Китaем и Рес пуб ли кой Кaзaхстaн.

Тaкже бы ли рaсс мот ре ны зaко но мер нос ти рaзви тия и проaнaли зи ровaнa объек тивнaя со циaльно­

эко но ми ческaя си туaция в кон текс те но вой китaйс кой ини циaти вы «Один пояс – один путь» и фор ми ровa ние но вой геопо ли ти чес кой си туaции пос ле сня тия сaнк ций про тив Ирaнa. В дaнной стaтье aнaли зи руют ся от но ше ния меж ду тре мя стрaнaми в кон текс те взaим но го си нер гизмa но­

вой эко но ми чес кой по ли ти ки Ирaнa, Кaзaхстaнa и Китaя. Анaли зи рует ся эф фек тив нос ть те ку­

щих эко но ми чес ких и тор го вых от но ше ний и прог но зи руют ся но вые го ри зон ты взaимо вы год ных от но ше ний. Стaтья ос новaнa нa ис поль зовa нии меж дис цип линaрно го хaрaктерa пред метa и нa рaботaх кaзaхстaнс ких и зaру беж ных aвто ров.

Клю че вые словa: прогрaммa, ре ги онaльное сот руд ни чест во, эко но микa, дип ломa тия, внеш­

не по ли ти чес кие ини циaти вы, ос нов ные учaст ни ки.

Introduction

Chinese initiative “One belt-one road» ‒ («OneBelt, OneRoad», OBOR) was first announced during President Xi Jinping visits to the countries of Central Asia and Indonesia in the autumn of 2013. The project included two plans: the New Silk Road, which passed through Kazakhstan, Russia and Central Asia to Europe, and the Maritime Silk Road of the 21st century, linking China, India, Pakistan, Africa and could reduce shipping lanes for 1,200 kilometers.

At the same time the Chinese side indicates the importance of the environmental component of the combined project: reducing the route will reduce CO2 emissions into the atmosphere. The project will be implemented using financial instruments of a number of organizations, especially established by China in November 2014 Silk Road Fund, which Beijing has invested 40 dollars billion and plans to increase investment to 100 billion dollars, and the Asian Infrastructure Investment Bank (ABII) with the size of the authorized capital of about 100 billion dollars, the official start of the activities of which was given January 16, 2016 in addition, the project can expect to have opened a new BRICS development Bank in Shanghai. The total capital of the three financial institutions was 240 billion dollars (China: Trends and Forecast for 2016 .KATEHON.

com. katehon.com/ru/article/ritay-tendencii-i- prognoz-na-2016-g). According to Chinese Foreign Minister Wang Yi, implementation of the initiative will be the “focus” of the PRC foreign policy activity in the coming years. Thanks to this strategy, China is going to be better integrated into the global economy through trade, investment, infrastructure and other development projects. «OBOR for Beijing is a road to implement its resource capabilities in the production of steel, cement, aluminum and in finance. It is also a means to provide employment of large construction companies, as many of the country’s infrastructure have been completed. The project should ensure the growth of consumer

demand in the countries involved in the project. The idea is that consumers will buy televisions and cars, which produce a large number of Chinese factories

“ (Info BRICS, 03/17/2016 http://infobrics.org/).

Also, the construction of “One Belt ‒ one road”

was included in the list of important tasks of the Government of China. This project covers more than 60 countries.

Literature review

In the study, we used mainly local materials, Chinese and Iranian experts and politicians. The “One belt one-road” is the focus of Kazakh politicians and researchers. The most fundamental are the speeches of President of Kazakhstan Nazarbayev N.A, the President of Iran Rouhani H. and President of China Xi Jinping. Also was reviewed other China, Iran and Kazakhstan politicians. Overview of the study is based on the Iranian ‒ Chinese and Chinese ‒ Kazakh relations in the context of the adoption of the new China program and the removal of sanctions against Iran. The main conclusion, the authors of this

‒ strengthening the mutually beneficial cooperation and economic development.

Among the Kazakh researchers S.Kushkumbaev (2007) and E. Karin examined in some detail the role of Iran in regional security system in the framework of the SCO, marked the stages and evolution of the Kazakh-Iranian relations. In studies of E. Karin for the first time raised the question of the nature and meaning of the “great game” in Central Asia and Iran’s position, given its assessment, carried out analysis of the impact on the socio-economic processes in Kazakhstan. In addition, his work represented a synthesis of modern threats and challenges in the region, the religious factor and problems of religious extremism.

Issues of bilateral relations between China and the Islamic Republic of Iran and China and the Republic of Kazakhstan, and China’s economic penetration of the problems were discussed in the works of Chinese and Iranian researchers. Thus,

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civilization especially Iran and Central Asian countries covered in the work of Iranian scientists and publicists Mohammadali Islami Nadushan (2008), Muhammad Ali Mirsharifi (2011).

The main purpose of this article ‒ to review bilateral relations between China and Iran and China and the Republic of Kazakhstan in the new conditions, to reveal its features and the most important issues of cooperation, to analyze objective determinants and socio-economic consequences after the adoption of the program “One belt ‒ one road” and issues of expansion of Chinese presence in the Middle East and Central Asia.

Methods

Theoretical and methodological basis of this article is the theory of mutually beneficial cooperation and geopolitical theory. Regional cooperation is dictated by the geopolitical changes after the removal of sanctions against Iran, imposed after the Islamic Revolution In 1979 year. Also neoclassical economic theory “pull-push” factors of the macro-economic level. In writing the article used by the complex scientific and special methods of political science. System and method of use of an analytical approach allowed to substantiate the relationship of economic processes and economic cooperation of China, Iran and Kazakhstan in the context of the adoption of the new China strategy

“One belt-one road» ‒ ( «One Belt, One Road», OBOR) 2013.

The methodology chosen to maximize the full disclosure formulated tasks. We used a set of practical methods offered by the theory of international relations, in conjunction with the historical- comparative method and system approach.

In addition, the theoretical and methodological basis of the study is based on the use of the interdisciplinary nature of the subject and is based on the works of Kazakh, Chinese and Iranian authors. The paper also used scientific methods and techniques: scientific abstraction, grouping, qualitative expert estimates, quantitative assessment, comparative analysis and synthesis.

Using a comparative analysis was possible to trace the general laws and principles of China’s foreign policy, Iran and Kazakhstan and issues of bilateral relations between China and Iran, as well as between China and Kazakhstan. This variety of events were combined, identified and assessed the causal relationships between them.

Was used the method of observation in the using of printed media materials, articles in websites and social networks.

Iran and China in terms of openness

The implementation of the “One belt – one road” project ‒ («OneBelt, OneRoad», OBOR) play an important role bilateral relations of China and the Islamic Republic of Iran. Today, after the lifting of US sanctions economic cooperation between Tehran and Beijing is gaining momentum.

China has firmly taken its place in Iran’s economy, and continues to strengthen its position. Iran and China relations are based on a mutually beneficial partnership. Countries do not represent each other a serious competition, that allows us to develop constructive cooperation. Iran’s President Hassan Rouhani has called a top priority of his country to develop relations with friendly countries ‒ Russia and China. During the action against the Islamic republic’s severe economic sanctions, China has been the country which continued to do business with Iran, without succumbing to the dictation of the West, bought Iranian oil, although the money for it remained in the accounts in China. One of the first foreign delegations visiting the Islamic republic, after the implementation of the Joint Comprehensive Plan of Action (SVPD) 16th January 2016, became the Chinese delegation headed by Chinese President Xi Jinping. It was the first visit of the People’s Republic of China for the past fourteen years. During the visit, it was signed 18 documents and agreements on bilateral cooperation in various fields. According to the business strategy of the Socialists between Iran and China is designed for the next 25 years. This strategy would achieve trade turnover of $ 600 billion, ie. E. $ 60 billion over ten years in the year. Today, turnover is $ 40 billion a year, and this is the sharp fall in oil prices (Ida Sargsyan. Iran and China, “Silk Road” knows no barriers // http://www.vestikavkaza.ru/news/Kitay- i-Iran-nachali-optimizatsiyu-NPZ-Abadan.html).

But there are also criticisms of China’s plans are largely associated with the decline in the Chinese economy, which in the course of 3 decades has demonstrated an extremely high growth rate ‒ 10%

or more per year, and in 2015 did not exceed 6.9% . In this regard, even expressed the view that “in 2016 the Chinese economy will collapse, and China will return to the ranks of the weak states, because the situation in the country is much worse than warn the national bureau of statistics” (Yun Sun, 2015 : 22-24). However, the Chinese themselves are more optimistic. China now consumes more and more of the world’s hydrocarbons. China’s dependence on imported oil is greater than 50%. Moreover, between 11 and 14% of all imported oil, China imports from Iran. On top of that Chinese oil companies

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are involved in the work of the six petrochemical projects in Iran, a total value of 8.6 billion. Dollars.

The total volume of trade between the two countries in 2012 amounted to about 36 billion. Dollars, the growth of trade between Iran and China in 2013 has increased, according to preliminary estimates, by 3.5%, China is Iran’s largest trading partners.

Thus, the oil and gas sector is one of the main directions of the Iranian-Chinese cooperation.

China ‒ a major buyer of Iranian crude, a volume of 6 million barrels per day. But Iran as a supplier for China is only in sixth place after Saudi Arabia, Angola, Iraq, Russia and Oman. Economic growth in China and the country’s increasing energy needs.

The lifting of sanctions has allowed Iran to increase oil production to 4.2 million barrels per day, reaching a level that was before the sanctions. Iran continues to increase production volumes, despite the call for OPEC to suspend production in order to increase oil prices. Iran is China’s determination of great interest. In the oil and gas industry opportunities received Chinese companies as CNPCI, Sinopec and ChinaOffshoreOilCompany. CNPCI has already signed a contract for the development of the 11th phase of the South Pars oil field with the National Iranian Oil Company, as well as with the French oil company Total and Iranian PetroparsLtdCompany.

The agreement was signed under the new scheme of oil contracts developed by the Iranian side. The contract is valued at the sum of $ 4.8 billion. The project will be implemented in two stages. The first phase will include the installation and installation of the platform in the amount of $ 2 billion for gas production, and for the second phase is planned to sign a new contract to install a gas compressor.

According to the agreement between Iran and trilateral consortium, the share of Iranian production is 70% of the contract value, in addition, conduct an underwater pipeline, assembly and installation of gas compressors and wellhead platform will be held in Iran. Technology project, and then the production and operation technologies will be handed over to the Iranian side stages. The total period of implementation of the project activities and is designed for 20 years, with first gas production provided 40 months.

China is interested not only in the process of gas production, but also in the gas, as of today the country is actively developing its petrochemical industry, which requires large supplies of ethylene, which are provided at the expense of coal reserves.

However, it is inconvenient in terms of cost and time.

Iran may well become a profitable direction for the development of petrochemical products in China.

Iran and China have already begun to implement a

joint project on the development and optimization of refinery (refinery) “Abadan”. This was stated by Deputy Iranian Oil Minister and Managing Director of National Iranian Oil Refining and Distribution Company (NIORDC) Abbas Kazemi. According to his opinion, the total project cost is $ 3 billion, is a partner of the Chinese company “Sinopec”.

First phase of the refinery project would require $ 1.3 million Iranian funding, after which the project will enter its second phase, in which the active teach is given to Chinese partners. Iran has a 15% stake in the project, while the rest of the stake will be supplied by Chinese financiers.

Also, Beijing’s foreign policy toward Iran is closely linked to economic interests and energy security. In the future, China’s foreign policy pragmatism in its relations with Iran will continue. In China in building relations with the Islamic Republic has a number of advantages. First, China and Iran are not geographically contiguous with each other, which helps to avoid friction, usually occurring between the neighboring countries. For example, the question of the legal status of the Caspian Sea in the Russian-Iranian relations. Secondly, China

‒ the biggest buyer of Iranian oil, and one of the few importers have continued to cooperate with Iran in a Western oil embargo. Finally, China is a nuclear power and a permanent member of the UN Security Council with veto power. Iran is counting on China, as a country, hindering the adoption of radical decisions in the Security Council. Tehran believes that China ‒ is the only country in Asia that in the foreseeable future can become a superpower and challenge US power. For Iran, China ‒ not the most convenient trading partner, as the Chinese are perfectly able to twist arms and taking advantage of Iranian economic difficulties, embossing for themselves huge discounts and preferential terms.

Nevertheless, Tehran, on the basis of strategic considerations, trade with China at a discount, often -on the limit of profitability. At the same time, we should not forget that the key sectors of the Iranian economy, oil, gas and energy, are public. While some liberalization in this matter and there, for the Iranians the risk of transmission of their control is not Chinese. In this connection it may be noted, and the threat of artificiality about the likely reshuffle ‒ the EU will displace China from Iran. Investment needs for the development of oil and gas sector are planned by the Iranian authorities in the amount of 86 billion. Dollars, China’s share may reach 10- 15%, which does not create significant obstacles for investors, both from Europe and from Russia (China: Trends and Forecast for 2016 .KATEHON.

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com. katehon.com/ru/article/ritay-tendencii-i- prognoz-na-2016-g). But the dynamics of the development of trade relations with Iran clearly points to the advantage of the Chinese. So, after the Islamic revolution took place in Iran, the US trade embargo has allowed China to gradually occupy frees up space that once belonged to the Western countries. In 1978, the share of Chinese goods in Iranian imports was 1%, the US ‒ 21%, Germany

‒ 19%, Japan ‒ 16%, and the UK ‒ 8%. Over the past ten years there has been a significant increase in the volume of trade between the two countries.

Today, Iran’s major trading partners are Japan (14%

of Iranian exports), China (12.8% ‒ 10.5% and exports ‒ imports), as well as a number of European countries: Germany, Italy, France.

Thus, Iran and China relations are a vivid example of mutually beneficial partnership. If in relation to Russia in Iran there is a certain lack of confidence, based on the historical past and a number of contemporary factors (in particular, the prohibition of the sale of S-300 to Iran in 2007), the China Islamic Republic has alroads had a relationship of trust. Even during the period of sanctions, China has continued to cooperate with Iran, of course, based on their own interests, which coincided with Iranian interests. At this stage, serious obstacles to bilateral and regional cooperation does not exist. Tehran still stands ready to join the Shanghai Cooperation Organization, one of the founders of which is China, and if earlier Security Council sanctions hinder Iran in the SCO to take the series, then this is no obstacle to date. For Tehran is important that, in contrast to the West, Beijing does not interfere in the internal affairs of the state, and considers it as an equal partner.

For Iran, the deepening of relations with China is an ally in the acquisition of a group of countries, the leaders of contemporary international relations and investment, so necessary for the development of the Iranian economy. In our opinion, the Iranian- Chinese cooperation will preserve the character of a strategic partnership.

The project “One belt-one road” and Kazakhstan

China Initiative “Economic belt of the Silk Road,” are largely consonant with Kazakhstan’s development program “Nurly Zhol”, announced by the Head of our state in 2014. In matters of implementation of the “Economic belt of the Silk Road” Kazakhstan shares China’s commitment to the development of Eurasian transport corridors, which fully complies with the imperatives of the economic policy of the Republic of Kazakhstan.

The actions of our countries coincide in the fact that we are building a motorroad Western Europe ‒ Western China, paving the pipelines and railroads.

Now the Kazakh-Chinese relations are on the rise, reaching the highest level in its history of development. Strategy “Kazakhstan ‒ 2050” and the program “Chinese dream” and are similar in terms of objectives and implementation.

Kazakhstan, along with other Central Asian states, China is an important geopolitical and geo- economic region in the immediate vicinity of the pulses of its global impact, dissemination and promotion of culture, language, spiritual values, attitudes, technology, and other things. At this stage, our land, with China having a common land border, related by ethnic composition, in common with the most ancient history in the first place is important for China’s geostrategic.

Today, China is the largest economy and the second largest consumer of oil and gas in the world.

According to the forecast of the Chinese state oil company CNPC, oil consumption in China this year will increase by 3% to 10.68 million. Barrels per day. The import of oil in the country is expected to increase by 5.4% to 6.49 million. Barrels per day.

Gas consumption in China will grow by 9.3% to 200 billion cubic meters, while imports, including liquefied natural gas-on 10,2%, to 65 billion cubic meters. One of the main problems of the further development of China is a growing demand for energy, in this connection, China is engaged in is not just buying the country’s oil-rich hydrocarbons (for example, in the Middle East), and trying to establish control over resources, ie buys worldwide oil deposit (Australia, Canada, Indonesia, and others.), and needless to say, the rapid build-up of China’s oil assets in Kazakhstan is observed (Li Xing, Hayk Martirosyan, Zhao Zhen, 2010 : 33-35).

In the oil and gas sector of Kazakhstan today operates more than 30 companies with Chinese participation, of which 12 are wholly owned by Chinese investors (Syroezhkin, 2014: 32). The participation of Chinese investors in the oil industry of the country is expanding through the acquisition of the assets sold by western companies, and China is willing to continue lending in this sphere. According to various estimates, it controls between 20 and 40%

of the oil sector of the country (Syroezhkin, 2010 : 336). Currently, Kazakhstan is able to supply to China through the pipeline Atasu-Alashankou up to 20 million tons of oil per year. In addition, our country as a reliable transit country can annually pass through their territory to China to 55 billion cubic meters of Central Asian gas.

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Kazakhstan, as a country rich in hydrocarbons, mineral resources of interest to China as a source of raw materials, but at the same time, it is a market for its finished products, plays the role of a bridge linking China to Europe and the Middle East. In this regard, it is clear that China will increase its economic policy activity in Kazakhstan, as well as throughout the Central African Republic, as the main instrument of comprehensive influence, taking all sorts of free economic niches.

In recent years, with the deepening of the international economic relations on the Eurasian continent and the growth of cargo traffic between East Asia and Europe becomes more urgent revival of the transport corridor “Great Silk Road”.

Currently, Kazakhstan is actively working to create an integrated Eurasian transcontinental bridge, implemented about 200 projects related to the modernization of the transport infrastructure, it is planned the construction of terminals, launching container block-trains in the direction of China ‒ Europe ‒ China. Creating multiple routes between Europe and Asia is in the interests of all countries of the Eurasian continent. This approach is a key priority of Kazakhstan, as through the territory of our country are almost all transport corridors linking Europe and Asia. Now across the country are five international transport corridors. Built 1,700 km of new railroad lines, 19,000 km of road reconstruction 9 airports. In general, it is expected that by 2020 the transit through Kazakhstan will increase two-fold (Luzianin S., E. Safronova, Chufrin, 2011: 164- 166).

The revival of the Great Silk Road, it is ‒ a landmark project that China attaches great importance. The revival of the Great Silk Road to China will give a lot of advantages and significantly strengthen its geopolitical position ‒ perhaps more than other countries, through which runs the Silk Road. According to Chinese experts, the Silk Road project rests on five pillars: policy, transport logistics, trade, investment, as well as communication and friendship between the people.

With its economic and financial power, the possibilities of investment and trade, China will only expand its presence in Kazakhstan (as in all of Central Asia), and “will behave more actively, primarily in economic terms,” as Vice-Chairman Shanghai Center for international studies at the Shanghai Academy of social Sciences, director of the Center for the SCO Shanghai prof. Pan Guang [9].

An important role is played by the project in the bilateral Kazakh-Chinese economic cooperation, the western direction belt will pass through Kazakhstan.

During his visit to China in 2016 the President of Kazakhstan N.A. Nazarbayev said: “....Now there is crisis in the world. We narrowed all the funding possibilities of the world’s financial institutions.

China is a big outlet for us and a great help in this difficult time of crisis. A large steel plant in Kostanay region, the plant for the production of oil and gas equipment in the Mangistau region, a whole new brand of cars in Kazakhstan Kostanay. In Southern Kazakhstan ‒ chemistry. We did not, we imported, we are building a plant of chemical fertilizers.

Big plant for nitrogen fertilizers, all of them, as you can see, are in machine-building character, “ (Kazakhstanskaya pravda. 23 May 2014. // https://

www.kazpravda.kz/en/news).

At the official meeting in Astana with the President of the Republic of Kazakhstan N.A. Nazarbayev in 2013, Chinese President Xi Jinping has initiated a strategic project to create “economic belt of the Silk Road.” He stressed in his speech that, “Kazakh land, through which the routes of the ancient Silk Road, has made a significant contribution to the integration of Eastern and Western civilizations have contributed to the development of relations with different people and cultures.” “Today there was a need to apply new models of cooperation, joint efforts to form an” economic zone “of the Silk Road, starting from specific areas.” The aim of this ambitious project ‒ to stimulate economic growth in the countries along this belt and the creation of a new format of political and economic cooperation among States from East Asia to Western Europe on the principles of mutual respect, trust and interdependence. Chairman Xi Jinping also pointed out areas of cooperation, it is ‒ a continuous exchange of views on various issues of economic development strategy for the development of measures and economic integration programs; construction of an integrated transport infrastructure from the Pacific Ocean to the Baltic Sea; strengthening of trade relations with the elimination of barriers and increase the speed of delivery; strengthening of the national currency flows; strengthening the ties between the people (

专 访上合组织研究中心主任潘光。

2006

06

13

日。

http://news.xinhuanet.com/world/2006-06/13/

content_4691643.htm).

The downturn in the Chinese economy 2015- 2016 years gave reason to the experts and the media to predict the reduction in the volume of Sino- Kazakh economic cooperation. However, despite the pessimistic forecasts, Beijing is taking on new commitments. This clearly showed the visit, which was held by N.A. Nazarbayev to China and the signing of new agreements. During the talks, the

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leaders signed a series of contracts valued at $ 23 billion. China will invest $ 600 million in projects of “Kazakhstan Temir Zholy”. The country is in a period of five years will invest in the development of the logistics sector and the industrial area in the special economic zone “Khorgos ‒ Eastern Gate”.

Kazakhstan, for its part adopted a policy to strengthen economic and trade cooperation with China, which is one of the largest economies in the world, on a range of areas (Bugaenko A., 2015: 64-73).

Kazakhstan supports China’s initiative to create an economic zone of the Silk Road, aimed at closer cooperation in such fields as economy, trade, transport, investment, finance and culture.

The Chinese side there are three main routes, two of which are complementary to the Kazakhstan infrastructure program “Nurly Zhol”: from China through Central Asia, Russia to Europe / the Baltic Sea to / from China through Central Asia, West Asia to the Persian Gulf and the Mediterranean Sea. To date, the list of investment projects between Kazakhstan and China includes 51 projects totaling more than $ 26.2 billion in the chemical industry, mining and metallurgical sector, machine-building, infrastructure, energy, agriculture, light industry, oil refining, production of building materials and information technology. Of these, two projects have already been launched ‒ modernization of installation of powdered polypropylene production and the production of cars.

Conclusion

China remains committed to its basic foreign policy principle of equality and mutual benefit.

It needs a stable Central Asia and Iran open to continue the reforms and development policies.

Iran and Central Asia to Beijing ‒ energy security and acquisition of new markets for goods and investment. It strives to maintain relationships with existing regimes in Central Asia, speaking of stability, after the departure of I.Karimov in Uzbekistan and the forthcoming elections in Kyrgyzstan, for the resolution of conflicts in the region through negotiations and cooperation. This

policy pays dividends to China that confirm its relations with Central Asian countries. Thus, China is strengthening relations with Iran and Kazakhstan strives to avoid actions that would put them in a position of confrontation with the United States and Russia in the region.

It is obvious that the international influence of China will grow more and more, and its presence in Kazakhstan to deepen and expand more and more intense. At the same time, for large-scale modernization of Kazakhstan’s economy requires huge investments and serious scientific approach in all spheres of activity.

Kazakhstan needs to improve relations with China in non-raw material sectors of the economy, in the processing sector of the chemical industry, machine building, agriculture, tourism. It would be useful to enhance cooperation between the regions.

We would be interested in cooperation in the sphere of ecology, water protection projects, etc.

It is safe to say that the provision of a truly civilized world order of the XXI century, based on the will of the majority of the world community, its real and potential centers of influence will depend, among other things, the success of developing a trusting partnership strategic nature between Kazakhstan and China, stable Kazakhstan-Chinese relations on the basis of a common understanding of the new, emerging architecture of international relations today, aimed at building a fair, equitable and non-violent peace. Thus, the geographical location of Kazakhstan in the neighborhood of such political and economic giant like China, making China a priority vector of Kazakhstan’s foreign policy.

Summarizing all the above, we can safely say that Iran, Kazakhstan and China have new opportunities of scientific and technological cooperation, the implementation of the strategic vision and the creation of resource and market the bridge of the Economic Belt of the Silk Road. In the context of falling oil prices and other negative factors, only cooperation will help our countries to pass the current transitional period. Only close cooperation of the these countries will help counter the economic problems.

References

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Kazakhstanskaya pravda. 23 May 2014. // https://www.kazpravda.kz/en/news

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KISR under the President of the Republic of Kazakhstan, 2010. ‒ 336 p.

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