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Analysis

China and Iran: From Economic Partnership to Strategic Alliance

Saturday 28 December 2024
China and Iran: From Economic Partnership to Strategic Alliance

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Alwaght- Continuing his diplomatic visits, Iran's Foreign Minister Abbas Araghchi has recently visited a new destination: The legendary country of China. As the official sources in Tehran reported, Araghchi met with his Chinese counterpart as well as new head of Shanghai Cooperation Organization (SCO). Coming at the official invitation of Chinese Foreign Minister Wang Yi, the visit is the first to the Iranian FM under new government led by President Masoud Pezeshkian. 

Aims of visit

During his visit to China, the Iranian FM wrote an article in the official newspaper of the Central Committee of the Communist Party of China, expressing hope for a “new chapter in Iran-China relations.”

The top diplomat's article published by the People’s Daily stated: “We are facing unprecedented changes in the world. These changes have simultaneously presented countries with complex opportunities and challenges, and have placed the world at “historical crossroads” where they must choose between confrontation and cooperation, monopoly and inclusion, closure and openness, chaos and stability.”

Rejecting the Western push to impose the Western values on other nations, the FM wrote: "To counter unilateralism and bullying, Iran and China will always stand on the side of development, prosperity, cooperation, and friendship between the countries of the Global South, and on the right side of history." 

According to Araghchi, the West Asia region is facing numerous challenges, with Palestinian cause taking the center stage. “We share the view with our Chinese friends that an immediate ceasefire in Gaza and the delivery of humanitarian aid are the most important priorities in the current situation in Palestine."

Iran-China relations: From economic partner to strategic political partner

In recent years, Iran and China have expanded their economic ties, as they have in politics. 

The big economy of China and Iran

As the world's second largest economy, China has a vast market for various goods and services. Iran, as a country with resources (oil, gas, minerals) and a skilled workforce, can also offer its goods and services to this market. This diversity provides benefits to both countries. The importance of Iran-China trade stems from extensive economic cooperation, strategic geographical location, joint infrastructure development programs, and the ability to circumvent sanctions. These relations help Iran take advantage of its natural resources and China benefit from Iran's position to facilitate trade and access regional and global markets.

Additionally, to secure energy flow, China has tried to avoid reliance on a single energy supplier. The dominant foreign policy of China is that the country should not provide more than 20 percent of its oil from a particular country, either Saudi Arabia or Russia. However, the strategy to avoid dependence on a particular country does not completely eliminate China's dependence on west Asia.

Common political strategy 

China attaches great importance to supporting Iran’s efforts to rebuild its power and status. China wants to create a regional security architecture based on a balance of power, with Iran as a strong pillar and a key partner for China in countering US hegemony in regional security affairs. Therefore, weakening Iran is not consistent with this approach. China signed a 25-year economic cooperation agreement with Iran in 2021, but progress in investment and economic cooperation has remained limited.

The Road and Belt Initiative, which is of a great significance to China, considers Iran as a key actor in geoeconomic and geopolitical plans. Iran's policy of "look East" is indicative of Tehran's strategic focus on boosting ties with China and other Asian countries. 

Furthermore, it should be noted that given the conditions that the international community is experiencing and the complex of developments and changes that have occurred in West Asia, from the Gaza war to the Russia-Ukraine war and Europe's approach to this war, and at the same time, Donald Trump's comeback to power in the US, strengthening Iran's ties with China has become inevitable.

China's relation with Iran has several features: First, China is a permanent member of the UN Security Council and friendly ties with Beijing will be certainly advantageous to Tehran. Furthermore, China is a party to the nuclear negotiations and the 2015 nuclear deal, officially called Joint Comprehensive Plan of Action (JCPOA), and its role has been and will be crucial to Iran. Concerning the global issues and boost of South-South relations, their views are close to each other. All these realities and commonalities pave the way for bolstering and deepening Tehran-Beijing relations. 

Tags :

Iran China Partnership Road and Belt Initiative Economy Araghchi

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