The closure of the US Agency for International Development may increase China: the countries where they invest more than others
- The end of the United States Agency for International Development may mean a larger space for China to expand its global influence.
- The non -party congressional research service said last month that the agency “helps American interests.”
- Most of the global investments in China come through the Belt and Road Initiative, not through help.
The sudden closure of the US International Development Agency – a process carried out by the White House this week – will benefit in China on the world stage.
“The chaos of the US International Development Agency will undoubtedly thrive for China, even if it is unlikely to change the international development strategy in Beijing in the short term “. Business Insider.
If the US Agency for International Development is closed, “There may be opportunities for other aid providers like China to practice the effect of soft power by distributing aid,” he said, he said, he said, he said, he said, he said, he said, Tae Wei Lim, a professor of political economics in Northeast Asia at the Japanese University of Soka.
The United States Agency for International Development spent $ 32.5 billion in the fiscal year 2024. The accurate numbers for spending foreign aid in China are not completely general, but Estimates Among the Japanese academics put the country’s spending 2022 at an altitude of $ 7.9 billion.
While China is far from the influence of the United States in terms of aid, the East Asian giant is trying to expand its influence – politically and economically – outside its beaches, that is, through the Belt and Road Initiative, where its economy remains long.
Fears about America’s status without the United States Agency for International Development come amid intense geopolitical competition between the two largest economists in the world.
On Tuesday, the administration of US President Donald Trump slapped a 10 % tariff on all Chinese goods – as well as the dominant fees. In response, China has announced a retaliatory tariff for targeted American goods, including crude oil and machinery.
American -shaped hole for China
President Donald Trump and Eileon Musk described the US Agency for International Development and not affiliated with American values. Almost all employees of the United States Agency for International Development will be placed on an administrative vacation that starts on Friday at midnight.
It was founded at the height of the Cold War, the US Agency for International Development has never worked as a purely altruism agency.
The American Agency for International Development is working with “countries of strategic importance” and “helps us in American commercial interests” by helping countries to develop economically, for each a a report From the service of non -partisan Congress research last month.
Some American politicians have argued that the American Agency for International Development – or the similar aid program – is necessary to match the efforts of aid and investment in China.
About half of the US Agency for International Development for the year 2024 has gone into humanitarian and population purposes, such as financing HIV programs.
The American Agency for International Development has received support from the two parties. In 2022, then. Marco Rubio – Now Foreign Minister – to request Then President Joe Biden to use the upcoming budget requests for the US Agency for International Development and other government agencies to counter the “widespread global influence” in China.
Now, politicians from both parties shed light on the agency’s role in its uncertain future. All US foreign aid represents about 1 % of the federal budget.
“Our help abroad helps to fight the disease and stop hunger and famine, but it is also a tool to avoid the expansion of authoritarian leaders in China, Russia and Iran.” Senator Andy Kim New Jersey Bloomberg was told earlier this week.
“I felt for a long time that the American Agency for International Development is our way to combat the Belt and Road Initiative, which is China’s effort to gain influence around the world, including Africa and South America in Western Ball,” Republicans, Republicans Senator Mississippi Roger Wekir told reporters on Tuesday.
China was leaking its influence
For more than a decade, China defended the belt and road infrastructure project, through which Beijing spent more than one trillion dollars on gas pipelines, trains and other trade and infrastructure projects worldwide. Much funding was in the form of loans for the countries concerned.
China said that bri programs come with no political chains. However, critics say China is trying to prevent developing countries in debt traps – thus strengthening Beijing’s political leverage over the debtor countries.
The Green Finance and Development Center in China estimates that between 145 and 149 countries-about three quarters of total countries in the world-are directly involved in BRI projects or indicated attention to cooperation.
An analysis of 2023 data, the last year available, showed from the Financial and Green Development Center based at the University of Fodan, China, how geographic assistance was disbursed.
At the wild level in 2023, China invested Most of them through BRI in Indonesia at $ 7.3 billion, followed by Hungary with $ 4.5 billion and Peru with $ 2.9 billion.
In Africa – where almost every country has received Chinese investments – new railways and railways have been built over the past ten years, while billions have been invested in energy infrastructure projects to give more population electricity.
China exceeded the United States as the largest commercial partner in Africa in 2009. Africa usually Imports Electronics, machinery and goods manufactured from China, export of fuel and minerals.
In Asia, China has invested in new ports in Sri Lanka, high -speed railways in Indonesia and Saudi Arabia, and infrastructure projects in Uzbekistan.
In September, Chinese leader Xi Jinping said China would commit more than $ 50 billion in Africa in financial aid. This was aimed at strengthening Beijing’s relations with developing countries amid tensions with the United States and other Western countries.
China’s assistance efforts are certainly not able to match the huge hole left by the United States Agency for International Development in the short term. Beijing also transmitted the BRI concentration of huge infrastructure deals to what he calls “Small and beautiful” Projects, informed analysts bi.
Chan from the Eurasia group said that Beijing has increased its concentration in the east, especially to Africa and Southeast Asia.
China has already won some influence from the sudden closure of the United States Agency for International Development.
“China looks like a good man on the international stage simply by not doing anything,” Chan told Bi.
“While Beijing’s call to multilateral cooperation is stronger, more free trade, and universal global rule in the United Nations, you will not do so for more multilateral solutions to pressure global issues – such as conflicts in Gaza and Ukraine, or the flexibility of the supply chain, or Artificial Intelligence Governance – China will win points at the expense of the United States by keeping pace with manifestations of a responsible global interest. “