US-India ‘new silk road’ to counter China

The Trump administration has resuscitated the ‘New Silk Road’ initiative, first announced by the then Secretary of State Hillary Clinton in July 2011 in a speech in Chennai, and the Indo-Pacific Economic Corridor linking South and Southeast Asia. India will play a significant role in both projects. 

A brief outline of the two projects was made available in the administration’s maiden annual budget on Tuesday, which indicated that the ‘New Silk Road’ project would be a public-private initiative in which India would be a key player. 

The US State Department said the budgetary request of its South and Central Asia will support the two initiatives: the New Silk Road (NSR) focused on Afghanistan and its neighbours, and the Indo-Pacific Economic Corridor linking South Asia with Southeast Asia.

This request will be leveraged through side-by-side collaboration with regional countries, other bilateral donors, multilateral development banks, and the private sector. It said “the importance of...the New Silk Road grows” as the transition in Afghanistan continues and the US “strives to help the Afghan people succeed and stand on their own.” 

According to James McBride of the Council on Foreign Relations, the New Silk Road refers to a suite of joint investment projects and regional trade blocs that have the potential to bring economic growth and stability to Central Asia.