By Tristan Kenderdine

October 19, 2017, the CACI Analyst

International Capacity Cooperation is China’s policy answer to comparative advantage, a vast state-planning exercise to coordinate China’s trade and investment strategy in external geographies. It is the practical industrial policy matrix allowing industries, local governments, and policy banking to intersect with partner economies as part of the wider geoeconomic Belt and Road strategy. For China’s aluminum sector, which is already heavily state subsidized and widely considered to be dumping on international markets, it represents an opportunity to extend the lifespan of the industrial policy and policy bank model. The formation of an aluminum capacity cooperation enterprise alliance should be a warning signal to the non-ferrous metals industries of China’s trading partners in Central Asia.

 By Stephen Blank

October 16, 2017, the CACI Analyst

The recent Indo-Chinese crisis over the Doklam area has been peacefully resolved for now, yet its repercussions risk spilling over to both South and Central Asia and beyond. The Doklam clash has demonstrated to China that it can no longer push India around, and India immediately registered that lesson in self-confidence by stating that it will play a larger role in Southeast Asia, another area where they both jostle for influence. Similarly, we can expect an expanded rivalry in Central Asia, not least within the framework of the Shanghai Cooperation Organization (SCO) now that India and Pakistan are both members.

 By John C. K. Daly

September 27, 2017, the CACI Analyst

On August 22, after nearly 16 years of war in Afghanistan, U.S. President Donald Trump announced his intention to increase the U.S. military presence there, extending the longest war in U.S. history and adding billions more dollars to its cost, now estimated to over US$ 1 trillion since 2001. In searching for revenue streams to support this outlay an idea that has been around for more than a decade is being revived: exploiting Afghanistan’s rich, underused mineral wealth. Despite the extent of the country’s mineral deposits being well known, many impediments remain to their development despite international interest.

By Sudha Ramachandran

September 7, 2017, the CACI Analyst

With its shuttle diplomacy between Pakistan and Afghanistan to ease tensions between the two neighbors, China has expanded its peacemaking role in the Afghan conflict. Successful peacemaking is vital for ensuring stability in the region, which in turn is needed to secure the future of China’s Belt and Road Initiative. It will require Beijing to move beyond offering Kabul and Islamabad economic incentives to address the core issue underlying Afghanistan-Pakistan estrangement: alleged support to acts of terror directed against each other. Given its own strong interests in undertaking peacemaking, can China be an honest broker?

By Stephen Blank

August 29, 2017, the CACI Analyst

Inexplicably, Russia’s rapprochement with Pakistan over the last several years has received little or no attention in the West. It raises several vital questions about Russian policy in Central and South Asia as well as Russia’s approach to terrorism and to India and China. Since Moscow now advertises itself as a partner to the West in a new phase of the war on terrorism, its relationship to Pakistan and thus to the anti-terrorist war in Afghanistan possesses is highly relevant. Yet this relationship remains an unduly neglected issue in the analysis of Russian foreign policy.