By Tristan Kenderdine
April 28, 2017, the CACI Analyst
There are two major policy shifts occurring simultaneously in China which will open new markets for Central Asian agroindustrial development and exports. The first is monumental. China is not only relaxing subsidies on domestic agricultural production while promoting the market mechanisms required to import more grains, it is genuinely letting go of domestic production as a food security ballast, and will begin to let other nation states feed its populace. The second is industrial international capacity cooperation, the policy solution to China's overcapacity malaise. The program envisions moving whole production chains offshore, essentially shifting Chinese industrial capacity to external geographies.
By Fuad Shahbazov
February 21, 2017, the CACI Analyst
China's gradually increasing economic role in Central Asia since the early 2000s is unsurprising considering the region's geographic proximity to China's dynamic economy. In this context, Beijing has carefully shaped a military strategy in the region, particularly in neighboring Tajikistan. In September 2016, Beijing offered to finance and build several outposts and other military facilities (in addition to the Gulhan post, which was opened in 2012) to beef up Tajikistan's defense capabilities along its border with Afghanistan, whereas China's and Tajikistan's militaries performed a large counter-terrorism exercise in October 2016. These unexpected actions have raised concerns in Russia over rising Chinese influence in Tajikistan.
By Avinoam Idan
February 6, 2017, the CACI Analyst
Israel’s Prime Minister Binjamin Netanyahu made a landmark visit to Azerbaijan and Kazakhstan in December 2016. The Israeli Prime Minister's visit reflects Israel’s growing interest in Central Asia and the Caucasus, a region that is part of Israel's greater strategic environment. Israel's interest in Kazakhstan focuses on its trade potential, its regional and international status, and its position as a vital link in the Chinese Belt and Road Initiative. Azerbaijan's geographical location, its role as a significant energy exporter, and its security approach have been foci of the close relations that have developed between Baku and Jerusalem over the years. The Prime Minister's visit reflects the continued deepening of ties with Azerbaijan.
By Boris Ajeganov
January 23, 2017, the CACI Analyst
Foreign investment in Georgia is strengthening the country’s importance in connecting East Asia with Europe, which has positive implications for the broader region. The rise in FDI in commercial and transportation infrastructure in combination with the signing of international free trade agreements will reduce Georgia’s vulnerability in terms of economic and, ultimately, ‘hard’ security. The growing importance of the South Caucasus as node for EU-China trade will weaken Russia’s incentives to undermine its southern neighbors by military, political, and economic means as it has done in the past. Accordingly, Tbilisi’s ability to conduct an independent foreign policy is set to improve despite the absence of Western security guarantees.
The Central Asia-Caucasus Analyst is a biweekly publication of the Central Asia-Caucasus Institute & Silk Road Studies Program, a Joint Transatlantic Research and Policy Center affiliated with the American Foreign Policy Council, Washington DC., and the Institute for Security and Development Policy, Stockholm. For 15 years, the Analyst has brought cutting edge analysis of the region geared toward a practitioner audience.