ISLAMABAD – American hostility towards the China-Pakistan Economic Corridor(CPEC) has now come into the open. Indirect criticism such as by DefenceSecretary Mattis that CPEC would pass through “disputed territory” wasreplaced by a frontal assault last month by Secretary of State Pompeostating, in the context of Pakistan possibly seeking an IMF bailout, that“there is no rationale for IMF tax dollars to bail out Chinese bond holdersor China itself.
Even more direct was the letter of August 3rd signed by 16 US senators tothe Secretaries of State and Treasury which claims that Pakistan will seekan IMF bailout to pay off “debt obligations caused by CPEC”, which not only“illustrates the dangers of China’s debt trap diplomacy but also poses a“national security threat to the United States”. The letter goes on toelaborate this “threat” as China’s alleged control of Gwadar Port thatcould be “converted into a naval base” to enable the Chinese Navy to“maintain a permanent presence in the Indian Ocean”. It concludes byalleging that China’s Belt and Road Initiative (BRI), of which CPEC is anintegral part, is designed to create “an economic world order ultimatelydominated by China”.
These American pronouncements, widely supported by the American media,clearly demonstrate a coordinated assault on CPEC, which has become a flashpoint in the evolving strategic competition between the US and China. Notsurprisingly, India, as America’s strategic partner and keen aspirant tobecoming a counter-weight to China, has fully supported the Americanapproach, alleging that CPEC will pass through Indian territory “occupied”by Pakistan. These developments pose serious challenges for Pakistan, bothfrom the economic perspective and broadly at the strategic level.
For Pakistan, CPEC has been correctly described as a “game changer” as itwill jumpstart a flagging economy with infusion of more than $65 billion.It will improve and expand the country’s infrastructure, bring inmuch-needed FDI from China and other countries, create greater employmentopportunities, increase productivity and enlarge exports. Therefore, CPECwould ensure integrated and sustained development in Pakistan withconnectivity to the entire South and Central Asian region, leading toeconomic and social development throughout the country, bringing millionsof our people out of poverty while enhancing Pakistan’s geo-strategicsignificance globally.
Admittedly there is a need to remove the obstacles to implementing such ahuge project, including increase in the debt burden over the short tomedium term, as well as keeping the process transparent in variousagreements, the overall long-term gain is bound to be positive forPakistan. Therefore, we need to avoid falling into the American trap, whichis raising doubts, even within Pakistan. As we have experienced from thedebt trap created by American aid and IMF bailouts, for which there are fewtangible gains, their real objective is to ensure that Pakistanconsistently remains in the circle of poverty, and, therefore, dependent onthem.
The strategic dimension of the Indo-US opposition to CPEC is even moreominous. With the rise of China as a strategic competitor, a declining US,instead of acknowledging the emerging multi-polar world, is tryingdesperately to cling on to its erstwhile position of being the sole‘superpower’. To contain China, the US, “Pivot to Asia”, has strengthenedexisting alliances with Japan, Australia and South Korea while developingstrategic alliances with new partners India and Vietnam, which have theirown differences with China. In particular they have developed the“Quadrilateral Alliance” involving the US, Japan, Australia and India, tocontrol the Indian and Pacific Oceans, through the newly- termed US“Indo-Pacific Command”. The ostensible purpose is to ensure freedom ofnavigation in this region.
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But the real objective is to contain China — especially by holding hostageits vital shipping links on which 80 per cent of Chinese trade depends. TheUS has also instigated the littoral states of the South China Sea toabandon their bilateral negotiations with China to settle territorialdifferences, while promoting itself as the final arbiter in these disputes.These efforts are backed up by American naval and air operations in theSouth China Sea.
The pushback by China to protect its strategic interests is totallyjustified. But its military build-up is still a fraction of the US, whosedefence budget is larger than the next 10 countries put together. If theChinese are seeking naval bases to protect their shipping in the region,the US has over seven known bases in the “Indo-Pacific” apart from thenaval facilities of the “Quad” countries. Whereas China seeks a negotiatedsolution to territorial claims in the South China Sea, as demonstrated byits agreement on a code of conduct with Asean countries, the US is pushingfor military confrontation in the region. It is also in this context thatChina is developing the BRI as an alternative to the sea lanes threatenedby the US in order to outreach to Asia, Africa and Europe. Therefore, it isin order to “contain” China that the US is opposing BRI and CPEC.
In this strategic confrontation, Pakistan has come to play a pivotal role.CPEC will be a virtual lifeline for China in the future while the US andIndia will exert multiple means of pressure to prevent its realisation. Atstake is not only Pakistan’s strategic partnership with China but its owneconomic development that can ensure our genuine sovereignty. Thegovernment and people of Pakistan must recognise this reality and not fallprey to American machinations to sow mistrust between Pakistan and China toderail CPEC. Those deficiencies that exist in CPEC need to be corrected butthe overall project must continue to be implemented. Together with China,Pakistan needs to defeat this assault on CPEC.
*BY: Zamir Akram, originally Published in The Express Tribune.*
