Source: www.asiaecon.org |
NEW ROAD FOR FUTURE TRANSPORTATION
The heavy industry in China, factories for daily use products spread from Vietnam through China to S. Korea, high-tech goods in Japan and Taiwan, raw materials and resources in all parts of Asia, including gas and oil exports from the Middle East, central Asia and Russia. They are almost totally transported by sea.With the groundwork laid, a better way to move products and good from Asian countries to EU and Africa is through a new Silk Road, beginning with the rail links that will allow a newly aligned Eurasian trading bloc to emerge. In this zone, China will be the economic power country.
The large amount of world’s energy resources, raw materials, factories, communication and production centers are in the Asia zone. Outsourcing factory production from the West has been a blessing for this region. Factories of every conceivable type are in China and the Information Technology revolution where an optic fiber world is now connected to India’s cheap labor and English-speaking skills.
Foreign direct investment will continue to pour in as China’s central location makes it the transit hub of the new Eurasian trade bloc for those businesses that want ready rail access to the Koreas, Japan, India and S.E. Asia.
Sea-borne cargo will become more regional, but with navies from other countries patrolling coastal waters, land delivery routes by rail are essential. This puts China in an advantageous position to have a fast railroad link with Europe, Russia and the Middle-East, if their plans come to fruition.
Trade routes from Europe to China were established over a thousand years ago using camels and fortified positions against hostile threats to commerce. Along the modern Silk Road, transport locomotives will save the environment by using clean fuel. This will allow a realignment of trade in Eurasia as we pass into a post-peak oil reality that will re-define civilization.
The new Rail road has endless benefits. In fact, the major advantage is to save the ocean from oil and fuel pollution.
Th exports from Africa to Asia tripled in the last five years, making Asia Africa’s third largest trading partner (27 percent) after the European Union (32 percent) and the United States (29 percent).
China and India each have rapidly modernizing industries and burgeoning middle classes with rising incomes and purchasing power. These societies are demanding not only natural resource-extractive commodities, agricultural goods such as cotton, and other traditional African exports, but also diversified, nontraditional exports such as processed commodities, light manufactured products, household consumer goods, food, and tourism.
There are more than economic benefits to increased regional cooperation. The ancient Silk Road became a prosperous route largely due to the free movement of goods, people and ideas. The cul-tural integration will consolidate regional stability, not only making the countries better equipped at tackling global challenges such as environmental degradation, HIV/Aids and poverty, but also inspiring the exchange of ideas for strengthened development.
Source: www.asiaecon.org |