Huaxia Commentary: High-Quality "Belt and Road Initiative" Expands Trade "Circle of Friends"

The more severe and complex the international environment, the more we must strengthen our strategic confidence, maintain strategic stability, and be courageous in taking responsibility. The high-quality construction of the "Belt and Road" has gained exceptional strategic significance in the current context.

On December 2, General Secretary Xi Jinping attended the fourth "Belt and Road" construction work symposium and pointed out that the joint construction of the "Belt and Road" has entered a new stage of high-quality development. We should take connectivity as the main line, adhere to the combination of high-quality development and high-level security, the combination of government guidance and market operation, the combination of scientific layout and dynamic optimization, and the combination of quantitative growth and qualitative improvement.

Specifically, we need to coordinate the deepening of "hard connectivity" in infrastructure, "soft connectivity" in rules and standards, and "heart connectivity" with the people of co-building countries. We should promote the construction of major landmark projects and "small but beautiful" livelihood projects, consolidate traditional field cooperation while steadily expanding cooperation in emerging fields, improve the mechanism for high-quality joint construction of the "Belt and Road", and continuously expand new spaces for win-win development that are at a higher level, more resilient, and more sustainable.

The new space for win-win development is particularly precious under the new international backdrop. This backdrop is that "the world has entered a new period of turbulence and transformation, with a significant rise in unilateralism and protectionism, and frequent local conflicts and turmoil." More specifically, after the U.S. elections, Trump is about to take office again as president, which will bring changes to China-U.S. economic relations.

The construction of the "Belt and Road" will create a new space for development. If the market for a certain developed country becomes narrow, then vigorously developing trade and investment exchanges with developing countries will become even more important. The new opportunities brought by the "Belt and Road" construction mean that trade connections between regions along the route, Central and Eastern Europe, Central Asia, South Asia, Latin America, and China will become closer, expanding the trade "circle of friends" in developing countries, which will open up new international markets for Chinese manufacturing.

Moreover, this expansion and prosperity of the market is beneficial for both trading parties. The infrastructure construction of the "Belt and Road" will provide participating countries with opportunities to create and expand markets. Local products can go out, and the profits and wealth accumulated can further convert into local market demand. As the market grows larger, the economic scale of both trading parties will also increase, which is an essential characteristic of global economic growth.

If someone wants to close a door, then a new door should be opened elsewhere. Perhaps the economic scale behind those doors is not large yet, but the growth potential is enormous, and there are still plenty of doors that can be opened. This is why it is essential to construct the "Belt and Road" with high quality, because only with higher construction quality can we bring greater benefits to the local area, making market reciprocity more profitable, and our expanded trade "circle of friends" will continue to grow.

The construction of the "Belt and Road" can not only expand a larger trade "circle of friends" but also a larger investment "circle of friends." China's economy needs to continue to open up, which can also provide participating countries in the "Belt and Road" construction with more convenient investment opportunities; Chinese manufacturing factories need to accelerate their "going out," and countries along the "Belt and Road" can become natural target markets.

The economic growth of a country can be simply viewed as the creation and expansion of markets. The current Chinese economy needs to expand a unified domestic market, so it is necessary to stimulate domestic demand, requiring a dual approach of monetary and fiscal policies, and even improving the structure of wealth distribution to allow the public to have money to consume; it also needs an expanded overseas market, so more attention should be paid to countries along the "Belt and Road," developing countries, especially those with abundant population resources. If such populous countries experience economic growth and increased per capita wealth, that represents a significant market increment.

Additionally, we cannot give up the existing markets of developed countries, as they also find it difficult to part with products from Chinese manufacturing. What Chinese enterprises can do is to offer more innovative quality products and provide more competitive prices through more efficient production.

For the Chinese economy to break through in a severe and complex international environment, it can be summed up in one sentence: it must be market-oriented. Expanding the market means expanding the economic scale; innovating in every possible way to expand and strengthen the market is tantamount to enhancing our economic system, strengthening ourselves, and growing larger and stronger.

The construction of the "Belt and Road" is a true test. As General Secretary Xi Jinping pointed out, we must adhere to a blueprint and carry it through to the end, working continuously and courageously overcoming various risks and challenges, and unwaveringly promoting high-quality joint construction of the "Belt and Road" to make greater contributions to building a community with a shared future for mankind.

Editor: Xu Yunqian Chief Editor: Gong Peijia