US steps up belt and road offensive saying it offers fairer deals than China’s ‘debt trap’

[shahbaz baig]

US steps up belt and road offensive saying it offers fairer deals than China’s ‘debt trap’

• Video on US State Department website tells countries to ‘be wary’ of risks from Beijing’s infrastructure drive
• America is trying to promote its ‘fairer and more transparent’ alternative

Orange Wang Friday, 3 May 2019, 5:35AM

The United States has stepped up its attacks on China’s Belt and Road Initiative claiming Washington offers a better option through “transparent, free and fair trade deals”.

ShareAmerica, a website managed by the Department of State to promote US policy and culture, warned in a new video that as China pushes the initiative, countries should be careful “not to get caught in China’s belt and road debt trap”.

The video – which has been subtitled in six other languages, including Chinese – repeated warnings from the Centre for a New American Security, a US think tank, that taking part countries would face the risk of excess debt, environmental problems and losing control of their strategic assets if they signed up for the transcontinental infrastructure project.

The clip, which urged countries to “be wary and examine the record of previous investments” was posted on April 25, the first day of the second Belt and Road Forum in Beijing, where China welcomed leaders from 37 countries and signed US$64 billion worth of deals.

On Thursday the US embassy in Beijing retweeted the warning in a Chinese language post.

Concerns that countries that sign up for the initiative will end up being saddled with unsustainable debts have been growing – even among those that have endorsed it – prompting an effort from Beijing to allay those fears.

At last week’s summit Chinese President Xi Jinping, defended the plan saying it would benefit all its participants and not just China.

While the spotlight focuses on belt and road forum, the subplot evolves offstage

“The belt and road is not an exclusive club,” he said, “it aims to enhance connectivity and practical cooperation … delivering a win-win outcome and common development”.

The Belt and Road Initiative has been seen as an attempt by China to strengthen its global influence through reshaping the economic and geopolitical landscape across the world, and been attacked as form of “chequebook diplomacy” that might damage its partners.

The ShareAmerica video repeated these warnings, saying the “liabilities for host countries – loss of control, opacity, debt, dual-use potential and corruption – are often strategic assets for Beijing”.

As an example of the risks, it cited the Chinese-funded Coca Codo Sinclair dam in Ecuador – which has been beset with allegations of corruption and bribery and contributed to a situation whereby the South American country has to hand over 80 per cent of the oil it produces to China to pay its debts.


Last month the US announced that its Overseas Private Investment Corporation would team up with its Canadian and EU counterparts to offer emerging economies a development alternative to “unsustainable state-led models” – a veiled reference to the Belt and Road Initiative.

The ShareAmerica website has posted a number of other videos and articles criticising China.

China seeks to prove critics wrong with star belt and road projects

These include attacks on its repressive controls in Xinjiang, where the United Nations has estimated that a million or more Muslims are being held in detention camps; on Chinese lending and support for businesses in Venezuela; and warnings that Confucius Institutes in American universities threaten academic freedom.

The video highlighted US warnings of a debt trap associated with the project. Photo: Handout


However, earlier this week the Rhodium Group, a New York-based consultancy, downplayed the risks of a belt and road debt trap by saying that China was generally inclined to renegotiate or write off belt and road debts rather than seizing assets.

Its research looked at 40 cases of external debt renegotiation between 2007 and this year and found there was only one confirmed case of asset seizure – the Hambantota port in Sri Lanka.

 

[shahbaz baig]

It's America who has already betrayed with almost rest of the world including European countries. You can write the book on USA betrayal from the world.

Americans, overseas “brother” of Europe sided with their hated enemy because Nasser expelled British and French companies to nationalise the Suez.

The British and French reacted as any American president would, and in UK ill fated attempt at preservation of UK prestige and empire, UK ally shot it down.

They threatened to call in US loans and ruin the pound over the deployment of British troops to assist in an allies war. UK pulled out and Britain remained tainted until the Falklands. UK/french wonderful allies helped destroy the empire and threatened nation with economic ruin over a waterway they used to own. Which the French, UK other erstwhile ally built.

There are many other examples too in which USA interfered & ruined the other country interests, in simple word USA can't be a trustworthy for any sane country. On the other end China is new only time will tell us either it's a trap or genuine efforts to share the prosperity among different nations through trade & economy.

Countries are not fool enough to ruin their own interest just because of USA wish & demands, it is not clear yet what actually USA is offering then China.

Well it's may be good for other countries, if both China & USA allow their partners to join both economic camps, nothing is impossible in this world if there is a will.

 

[nahtanbob]

It's America who has already betrayed with almost rest of the world including European countries. You can write the book on USA betrayal from the world.

Americans, overseas “brother” of Europe sided with their hated enemy because Nasser expelled British and French companies to nationalise the Suez.

The British and French reacted as any American president would, and in UK ill fated attempt at preservation of UK prestige and empire, UK ally shot it down.

They threatened to call in US loans and ruin the pound over the deployment of British troops to assist in an allies war. UK pulled out and Britain remained tainted until the Falklands. UK/french wonderful allies helped destroy the empire and threatened nation with economic ruin over a waterway they used to own. Which the French, UK other erstwhile ally built.

There are many other examples too in which USA interfered & ruined the other country interests, in simple word USA can't be a trustworthy for any sane country. On the other end China is new only time will tell us either it's a trap or genuine efforts to share the prosperity among different nations through trade & economy.

Countries are not fool enough to ruin their own interest just because of USA wish & demands, it is not clear yet what actually USA is offering then China.

Well it's may be good for other countries, if both China & USA allow their partners to join both economic camps, nothing is impossible in this world if there is a will.

Sooner or later the Suez Canal was going to Egyptian control. Suez fiasco happened in 1956
In 1979 USA handed over the Panama Canal to Panama

 

[shahbaz baig]

It is suggested, whatever is happening around the world it should be observed through the lenses of american obsessions with belt & road.

Sooner or later the Suez Canal was going to Egyptian control. Suez fiasco happened in 1956
In 1979 USA handed over the Panama Canal to Panama

Betrayal is the History but history can't be changed.

 

[Pakhtoon yum]

Yes and we will destroy you if you dont take our offer.

 

[nahtanbob]

It is suggested, whatever is happening around the world it should be observed through the lenses of american obsessions with belt & road.


Betrayal is the History but history can't be changed.

After World War 2 USA told Britain and France that colonialism was untenable
I can argue the betrayal is the other way around.

 

[YeBeWarned]

 

[IceCold]

US and Fairer.......does anyone sees the irony in that?

 

[rambro]

Be wary of US debt trap as sanctions,bombs, coup agents, overthrowing of your gov, millions dead, your country turned to rubble n puppet installation comes in the package

Marketed as "freedom n democracy"

 

[nahtanbob]

Be wary of US debt trap as sanctions,bombs, coup agents, overthrowing of your gov, millions dead, your country turned to rubble n puppet installation comes in the package

i wonder who supported the likes of Khmer Rouge and now props up the current Dear Leader in North Korea

 

[sinait]

i wonder who supported the likes of Khmer Rouge and now props up the current Dear Leader in North Korea

THE US supported the Khmer Rouge.
https://www.counterpunch.org/2014/10/16/who-supported-the-khmer-rouge/
Who Supported the Khmer Rouge?

With U.S. backing, Cambodia would continue to be represented in the United Nations by a Khmer Rouge diplomat until 1993.
U.S. funding to the KPNLF and ANS armies allied with the Khmer Rouge was handled by a working group composed of representatives from the United States, Singapore, Thailand and Malaysia.
.

 

[rambro]

i wonder who supported the likes of Khmer Rouge and now props up the current Dear Leader in North Korea

Dont worry, when usa goes under u can still migrate to india

The largest democracy + total freedom

 

[Cthulhu]

The US: Don't deal with China, I offer fairer and more transparent alternatives.
The rest of the world:╭∩╮(-_-)╭∩╮

 

[Bengal71]

USA is sounding desperate.

 

[salarsikander]

After World War 2 USA told Britain and France that colonialism was untenable
I can argue the betrayal is the other way around.

ofc because new form of economic dependence was there and untested