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By Chen Hongna, Research Team on “Ways for Enhancing the Network of the Belt and Road Initiative-Based Industrial Capacity Cooperation”, DRC

Research Report, No.286, 2020 (Total 6030) 2020-12-4

Abstract: Since the launch of the Belt and Road Initiative (BRI), production capacity cooperation has yielded fruitful results. At present, profound changes are taking place both at home and abroad, which have not only provided new opportunities for China to push forward BRI-based production capacity cooperation, but also brought stern challenges. More people have come to the common understanding of mechanism development, infrastructure connectivity might usher in another climax, the enthusiasm of private enterprises has become boosted, the number of developed countries getting involved in BRI projects has increased, and digital technology has been rapidly applied in many fields. But it needs to be noted that the environment for China’s cooperation with foreign countries is deteriorating due to the fierce conflicts between China and the United States. As a result, multiple risks have piled up, the threshold of production capacity cooperation is enhanced, and bilateral mutual trust has decreased, all of which have made the situation become more complicated and volatile. Consequently, we need to go after advantages and avoid disadvantages in light of the changing circumstances and strive to build a new pattern of open, inclusive, mutually beneficial and win-win production capacity cooperation. We need to focus on strengthening policy coordination, cultivating insurance market, improving overseas parks construction, enforcing infrastructure allocation, expanding third-party cooperation, enabling overseas commercial chambers and associations to play their due role, enhancing non-governmental dialogues, bringing in new technologies, addressing overseas business risks of enterprises through multiple ways, enriching financing channels and reducing operating costs in a bid to improve the quality and efficiency of production capacity cooperation,

Keywords: the Belt and Road Initiative, production capacity cooperation, new situation