Skip to main content

US pushes “Blue Dot” scheme to counter China’s Belt & Road

11 June 2021 | By GCR Staff | 

The US is promoting an infrastructure initiative involving Japan and Australia that would provide less developed countries with an alternative to China’s giant Belt and Road Initiative (BRI).

The so-called Blue Dot Network, first proposed by the Trump administration, was the subject of talks between the countries in Paris on Monday. This resulted in the launch of an executive consultation group, financed by Washington and Canberra under the auspices of the Organisation for Economic Cooperation and Development (OECD).

The goal is to attract private capital to fund infrastructure in emerging markets. Commercial lenders shy away from financing projects in less developed economies, seeing it as too risky, while sources of development finance such as from the World Bank have been inadequate to meet the needs of recipients.

The idea of the Blue Dot Network is not to match China’s funding but rather to certify projects as “market-driven, transparent and sustainable” in order to reassure investors, the State Department said in a statement.

A blue dot would be “like getting a Michelin-star rating for your restaurant”, Matthew Pottinger, who was Trump's deputy national security adviser and an architect of the former administration’s China policy, told Nikkei Asia.

However, Derek Grossman, senior defence analyst at the RAND Corporation think tank, told the paper that Australia, Japan and the US were unable to match China’s level of investment, so the network fell “far short of effectively ‘competing’ against China and, frankly, may come across as not only unimpressive, but even petty in the eyes of BRI recipients”.

The OECD commented in a 2018 report that as much as $1 trillion of infrastructure funding may be disbursed under the BRI brand between 2017 and 2026.

The US’ aim is to give the private sector the confidence to sink some of the trillions of dollars accumulated in pension and insurance funds in countries they have tended to ignore, up until now.

As well as Blue Dot, the US has launched the “supply chain trade strike force”, which also seeks to counter what the US claims to be China’s predatory investment and trade practices.

In a 255-page White House report, released on Tuesday, National Security Adviser Jake Sullivan said US trade policy toward China should include examining how existing trade agreements and future measures could help make domestic supply chains more resilient.

Image: Map shows countries that have signed cooperation agreements under China’s Belt and Road Initiative (Owennson/CC BY-SA 4.0)


Popular posts from this blog

SSG Commando Muddassir Iqbal of Pakistan Army

“ Commando Muddassir Iqbal was part of the team who conducted Army Public School operation on 16 December 2014. In this video he reveals that he along with other commandos was ordered to kill the innocent children inside school, when asked why should they kill children after killing all the terrorist he was told that it would be a chance to defame Taliban and get nation on the side. He and all other commandos killed children and later Taliban was blamed. Muddassir Iqbal has deserted the military and now he is  with mujahedeen somewhere in AF PAK border area” For authenticity of  this tape journalists can easy reach to his home town to interview his family members or   ISPR as he reveals his army service number” Asalam o Alaikum: My name is Muddassir Iqbal. My father’s name is Naimat Ali. I belong to Sialkot divison (Punjab province), my village is Shamsher Poor and district, tehsil and post office  Narowal. Unfortunately I was working in Pakistan army. I feel embarrassed to tell yo

RWR Advisory: Belt and Road at a Glance

This edition covers developments from March 12 - March 26..  Belt and Road at a Glance   Subscribe to the Belt and Road Monitor Top Developments China National Machinery Industry Corporation, commonly known as Sinomach, has agreed to  build  a $845 million, 255-mile railway across  Iran , building upon a sustained period of growth for Chinese investment in Iran that accelerated after Xi Jinping’s state visit to the country in January 2016. The railway will link the cities of Tehran, Hamedan and Sanandaj. China Civil Engineering Construction, a subsidiary of CRCC, is currently also  building  a 263-km railway line from Kermanshah to Khosravi. According to Chinese entrepreneur Lin Zuoru, who  owns  factories in Iran, “Iran is at the center of everything.”On March 23, China’s Ministry of Commerce announced that foreign direct investment by Chinese companies in 50 Belt and Road countries fell by 30.9% year-on-year. While the Ministry stated that this number covers investment across al

CPEC Jobs in Pakistan, salary details

JOBS...نوکریاں چائنہ کمپنی میں Please help the deserving persons... Salary: Salary package in China–Pakistan Economic Corridor (CPEC) in these 300,000 jobs shall be on daily wages. The details of the daily wages are as follows; Welder: Rs. 1,700 daily Heavy Duty Driver: Rs. 1,700 daily Mason: Rs. 1,500 daily Helper: Rs. 850 daily Electrician: Rs. 1,700 daily Surveyor: Rs. 2,500 daily Security Guard: Rs. 1,600 daily Bulldozer operator: Rs. 2,200 daily Concrete mixer machine operator: Rs. 2,000 daily Roller operator: Rs. 2,000 daily Steel fixer: Rs. 2,200 daily Iron Shuttering fixer: Rs. 1,800 daily Account clerk: Rs. 2,200 daily Carpenter: Rs. 1,700 daily Light duty driver: Rs. 1,700 daily Labour: Rs. 900 daily Para Engine mechanic: Rs. 1,700 daily Pipe fitter: Rs. 1,700 daily Storekeeper: Rs. 1,700 daily Office boy: Rs. 1,200 daily Excavator operator: Rs. 2,200 daily Shovel operator: Rs. 2,200 daily Computer operator: Rs. 2,200 daily Security Supervisor: Rs.