In this 2016 podcast, consultant McKinsey explores how the BIS could transform global trade. This is the Chinese government`s foreign and economic policy estimate that was announced in 2013 to establish maritime trade routes around the world and invest in infrastructure projects in dozens of countries. Projects include pipelines, ports, railways and other major infrastructure projects. nothing. This is not a legally binding agreement, but so far the Victorian government has not turned away from it. As such, it is a purely Asian agreement. The first prize for China would be to lure India and Japan into a free trade agreement through the RCEP, which would allow Chinese producers access to two huge, dynamic and powerful markets. Nor does China have full free trade status, although it does so with all other RCEP countries on other multilateral agreements. According to a study by the University of Antwerp, the sea route via Trieste significantly reduces transport costs. The example of Munich shows that transport from Shanghai via Trieste takes 33 days, while the northern route lasts 43 days. From Hong Kong, the southern route reduces traffic to Munich from 37 to 28 days.
Shorter transport means, on the one hand, better use of liners for shipping companies and, on the other hand, considerable environmental benefits, particularly with regard to the reduction of CO2 emissions, as maritime transport is a heavy climate burden. This is why there are important growth areas in the Mediterranean basin, where the blue banana economic zone runs up against working rail links and deep-water ports. Henning Vupel, director of the World Economic Institute in Hamburg, acknowledges that the northern chain (i.e. transport through North Sea ports to Europe) is not necessarily the dominant one in the medium term.  “We did not support this decision when they concluded [the agreement]. And asking for national interests in foreign affairs are determined by the federal government and I respect its jurisdiction when it comes to the issues for which they are responsible, and it has always been customary for states to respect and recognize the role of the federal government in defining foreign policy. The Sea Silk Road, which is already the route of more than half of the world`s containers, develops deep-water ports, builds logistic nodes and creates new routes of communication in the hinterland. The Sea Silk Road, with its links from the Chinese coast to the south, passes through Hanoi to Jakarta, Singapore and Kuala Lumpur through the Strait of Malacca via Sri Lanka Colombo towards the southern tip of India via Malé, the capital of the Maldives, to Mombasa, East Africa, and then to Djibouti , then through the Red Sea via the Suez Canal to the Mediterranean. , via Haifa, Istanbul and Athens to the Adriatic region to the Trieste platform in northern Italy, with its international free port and rail links to Central Europe and the North Sea.     David Dollar describes the impact of China`s Belt and Road initiative over the past seven years, and these are broader economic and geopolitical opportunities and challenges that it has brought to the United States.