China and the South Caucasus: On the Path to Mutually Beneficial Cooperation

If international investors, representatives of large business and politicians, as well as wide segments of the population in Central Asia, understand the importance of the closest cooperation with the PRC, including the development of the infrastructure of the average corridor, then the importance of cooperation with China so far is so many It is underestimated, especially in Georgia, where until recently so-called “European choice” by opposition forces was speculatively contrasted with cooperation with China and the states of Central Asia.

At the same time, it is very important that China unconditionally supports the independence, sovereignty, and territorial integrity of the countries of the South Caucasus and opens against separatism and intervention from the outside in the internal affairs of these states. This can be seen by the example of the relationship between China and Georgia.

China and Georgia on July 31, 2023, published a joint statement on the establishment of strategic partnership. Since then, the countries have established a visa-free regime among themselves. At the end of May 2024, it became known that the Chinese consortium will become an investor in the construction project of the deep -sea port of Anaklia, which will play an important role in the transit along the middle corridor.

If the countries of the West have almost been interfering with the sovereign affairs of Georgia on the eve of the parliamentary elections and after the end of the vote, unambiguously maintaining the opposition and putting pressure on the Georgian authorities, then China, on the contrary, respects and respects the choice of Georgian citizens. Commenting on the results of the parliamentary elections in Georgia, the Ministry of Foreign Affairs of China noted:

“China always respected the choice of the Georgian people and sincerely wishes Georgia stability and prosperity. China is ready to work with all parties to promote the continuous development of Chinese-Georgian relations,” said Lin Jian, official representative of the PRC of China. Strategic partnership is developing between Azerbaijan and China. On July 3, 2024, in the framework of the Shanghai Cooperation Summit in Astana, a “joint declaration on the establishment of a strategic partnership between the Azerbaijan Republic and the People’s Republic of China” was adopted. The text of the statement especially states that in the light of the tectonic and complex development of the international and regional situation, two states agreed to expand cooperation in the political, economic and cultural spheres, strengthen interaction in international affairs, jointly protect the general interests of the two countries, and also together to promote the work of regional and global world, stability and development.

Transit transportation along the middle corridor is one of the main areas of cooperation between China and the countries of the South Caucasus. In Georgia and Azerbaijan, large -scale projects for the construction and modernization of transport infrastructure are implemented to increase transit potential. Among them, it should be noted such projects as the Baku International Sea Trading Port, the Baku-Tbilisi-Kars railway, the construction of an Anaklia, the construction and modernization of new modern highways in Georgia. These projects form the shortest and most effective routes for the supply of goods from China to Europe and vice versa.

In recent years, China’s expanding influence on the global stage has been particularly evident through the Belt and Road Initiative (BRI), a vast infrastructure and connectivity project spanning continents. A critical component of this initiative is the South Caucasus, a region of immense strategic importance as a bridge between Europe and Asia. With its unique geographical position and logistical advantages, the South Caucasus has drawn China's attention as an essential link in the global supply chain and a promising region for fostering deeper economic, political, and cultural ties. The proposal to establish a China-Caucasus Forum represents a forward-looking initiative aimed at strengthening collaboration between China and the countries of the South Caucasus. Such a forum could serve as a pivotal platform for addressing critical issues related to economic and political cooperation while promoting cultural exchange, advancing regional security, and supporting sustainable development. This initiative could provide new opportunities for mutual understanding and long-term partnerships, further solidifying the South Caucasus' role within the broader framework of the Belt and Road Initiative.

The organization of the China -Caucasus forum could be useful for both China and the countries of the Caucasian region. Such a forum could cover both economic and political issues and cultural cooperation.

Key prerequisites and advantages of holding such a forum in the South Caucasus:

1. The logistics capabilities for the mega project “One belt, one road”.
The Caucasian region, especially the South Caucasus is a natural link between Europe and Asia. The development of transport corridors through the Caucasus can open shorter routes for China to Europe and Turkey, including transit through Georgia and Azerbaijan. The forum could contribute to the discussion and initiation of new projects to create and modernize infrastructure (ports, roads, railway routes) that support Chinese investments in the logistics of the region.

2. Economic integration and investment
China could consider the South Caucasus as an additional market for its goods and services, as well as a promising region for investment projects. For example, Chinese investments in agriculture and tourism of Georgia or in the energy sector of Azerbaijan could bring benefits for both the local economy and China. The forum could open a dialogue about lending, direct investments and joint ventures in the areas of agriculture, renewable energy and technology.

3. Diplomatic Influence
The Forum "China - Caucasus" could help strengthen the role of China in the region of the South Caucasus, complementing the already established balance of the interests of Russia and the EU. This could create new opportunities for the countries of the South Caucasus, supporting their independence and the possibility of diversification of external partners. China could position itself as a neutral intermediary, helping the countries of the South Caucasus build a more world and balanced relations in the region.

4. Technological and cultural cooperation
China is interested in expanding its cooperation in the countries of the average corridor. The forum with an accent for cultural exchange, educational programs and technology development could strengthen the connections between the countries of the Caucasus and China. The forum could include such relevant modern topics as green technologies, a digital economy and healthcare, which could increase the interest of both state bodies and entrepreneurs, and the public of the countries of the South Caucasus in cooperation with the PRC.

5. Regional stability and security
In light of threats of instability and conflicts in the region, China could offer the countries of the South Caucasus their assistance in the field of regional security and anti-terrorism initiatives, as well as act as a reliable partner and a guarantee of accounting for the interests of all parties in the cooperation of the South Caucasus countries with such geopolitical players as the EU, the United States and the US Russia. The forum could become a platform for discussing initiatives to ensure the safety and stability of trade routes and infrastructure, which is important for the economic ties between the countries of the South Caucasus and China. With a competent organization, the China-Caucasus forum could become a new venue for cooperation, which would open broad prospects for all participants.

As an example of the form “Caucasus-China”, one can cite a successful and regularly conducted forum of cooperation “Central Asia-China”. The 11th Forum “Central Asia-China” was held under the motto “Promotion of Green Development-the construction of a common house took place from October 25 to 28, 2024 in China in the capital of the Ninsya-Hay Autonomous region of the city of Inchuan.

The main goals of the forum included:

1. Strengthening green cooperation: China actively introduces advanced environmental technologies and develops “green” projects, which attracts Central Asian countries. The Deputy Chairman of the Cabinet of Ministers of Kyrgyzstan, for example, emphasized the role of China in the promotion of pure energy.

2. Expansion of economic interaction: an important topic was the deepening of trade ties and investments. Kazakhstan and China, for example, reached a turnover of more than $ 89 billion over the past year, and Tajikistan received more than $ 4 billion from China.

3. Institutionalization of cooperation: the forum was a platform for dialogue, signing more than 30 agreements and creating new partnership ties, including the twin-haired relations between the Ninsya-Hay Autonomous Region of China and the regions of Uzbekistan.

These aspects show that the forum creates the basis for institutionalized interaction aimed at developing sustainable economic ties and environmental initiatives, supporting long-term projects in Central Asia. The China - Central Asian Cooperation Forum is a national-level cooperation platform for institutionalized exchanges between China and Central Asian countries. This year, this event, jointly organized by the SCO Committee on Good Help, friendship and Cooperation and the People’s Government of the Ninsya-Hay Autonomous Region, gathered more than 300 participants, including high-ranking government officials from Central Asia. The forum was attended by representatives of Kazakhstan, Kyrgyzstan, Tajikistan, Uzbekistan, Turkmenistan and China. Also, during the forum, high-ranking persons from Central Asian countries praised the great achievements of China in various fields, noting that China’s development is an important opportunity for Central Asia, expressing hope of further expanding the spheres of cooperation with China and deepening practical interaction.

The successful holding of the Central Asia - China forum shows the relevance of the Caucasus -China in many ways that will serve the same goals for the development of transit and cooperation as part of the “One One Belt” initiative and the Middle Corridor. In some places of the China Caucasus forum, there can be both important administrative and cultural centres of Western China (Inchuan, Urumchi, Lanzhou, Kashghgar), as well as the capital of historical cities of Georgia and Azerbaijan (Tbilisi, Kutaisi, Rustavi, Baku, Ganja, Shusha, Sheki).

Complex political relations between the countries of the South Caucasus, especially between Armenia and Azerbaijan, can create certain challenges for the full participation of the Republic of Armenia, which has not yet realized its obligations to unlock communications through Zangezur, taken in 2020. This can put China in a difficult situation with the simultaneous interaction with Georgia, Azerbaijan and Armenia. However, China’s investments in the development of the transit infrastructure of the region, as well as its desire to promote the world both in the South Caucasus and along the entire Middle Corridor, can contribute to the creation of conditions for the full inclusion of Armenia in regional projects, developed together with Azerbaijan and Georgia.

Elbrus Mamedov

SR-CENTER.INFO