One Belt one road

Economic transport Presentation

Submitted to:Dr. Hatem Abdel Gawad

Presented to: Dr. Amr Nagy
 Team Members

01 02 03

Fady samy George Mahmoud Ashraf Elfarargy Amr Mohammed ora

Reg.no: 20108005 Reg.no:20108325 Reg.no: 20108027
Phone.no: 01554319539 Phone.no: 01111171473 Phone.no: 01276514013
 One belt, one road definition.
01 ‘One Belt One Road' is a Chinese initiative to connect more than 60
countries (64 at present) with physical, commercial, cultural, and other links

“One Belt” = the "Silk Road Economic Belt." a recreation of land-based

02 trade routes from China through Central Asia and on to the Middle East and
Europe. This is also called the "Modern Silk Road.

"One Road" = the "21 Century Maritime Silk Road," also called the“
03 Maritime Silk Road." which recreates and expand on traditional sea routes.

Both "One Belt" and "One Road" were personally announced by China's
04 President Xi Jinping during overseas trips.
 The Belt and Road Initiative (BRI) is
What is the
one belt one 01 increasing transport connections between
Asia and Europe with potential
consequences for international trade.

road aim? Trade between the countries involved

02
accounts for more than a quarter of world
trade, so better connections and the
lower trade costs that come with them
could have a significant global impact.

A half of trade costs between countries

03
involved in the BRI could increase world
trade by 12%. Countries in Eastern
Europe and Central Asia stand to benefit
most, but the benefits will depend on
where trade costs fall.
 BRI Timeline
The president proposed to build a
21st century maritime silk road The president pledged
and to establish the BRI in a
$40 billion to set up the
speech at the Indonesian
parliament. silk road fund.

sep 2013 Oct 2014 Mar 2015

Oct 2013 Nov 2014

The president initiated 21 Asian countries
the “the silk road signed the China unveiled the
economic belt” during memorandum of “one belt, one road”
his visit to Kazakhstan. understanding on initiative action plan
establishing BRI.
 Types of route’s
There are 2 type of route’s in this project:
the first one is “Silk Road Economic belt” which is primarily land based

-contains six economic corridors:-

The China-Mongolia-Russia Corridor:-
which connects North China to Eastern Russia via Mongolia.
• The China-Central Asia-West Asia Corridor:-
which connects Western China to Turkey via Central and West Asia.
• The China-Indochina Peninsula Corridor:-
which connects Southern China to Singapore via Indo-China.
• The China-Pakistan Corridor:-
which connects South Western China through Pakistan to Arabia sea
routes.
• The Bangladesh-China-India-Myanmar Corridor:-
which connects Southern China to India via Bangladesh and Myanmar.
One belt, one road

OBOR
Initiative

-The second one is “ 21 century maritime

Silk Road “ which is sea based It connects
China's southern coast to the Mediterranean
Africa , south-east Asia and central Asia.
• The names are confusing as the “belt” is
actually a network of roads while the “Road” is a
sea route.
 Impact On International Trade

Trade between Asia and Europe is about 28% of world trade, so

making those trade flows easier has a large potential impact. The size
of this impact on trade depends on changes in relative costs, which
affect international trade These models describe trade flows in terms
of:-
-The size of countries and the relative costs of trade between them
-allow us to calculate approximate individual country effects when
trade costs change.
-also allow us to know where trade costs fall as a result of BRI
projects.

1-New Eurasian Land Bridge
Trade costs are also
assumed to half between
countries along the New covering the majority of
Eurasian Land Bridge
economic corrido
BRI corridors &partners:
2-BRI corridors as in the BRI corridors scenario
plus countries in Europe and
countries along all BRI Asia which have signed BRI
economic corridors, implementation and co-
operation agreements with
China, including Central and
Asia and the EU Eastern European countries,
Indonesia and Egypt
 How will the Belt and Road Initiative
impact the time it takes to trade?
Thera are Three Main Impact

The BRI transportation infrastructure will boost intra-regional

trade. The impact varies across countries, The results indicate
that the infrastructure improvements will increase the overall
trade between the economies of this project by 4.1 percent and a
market countries such as Oman and the Maldives will benefit
after improvements in trading times and with an increase in
exports by more than 9 percent will benefit countries such as
China and Saudi Arabia in terms of the rise in exports due to the
high proportion of their trade due to this project
2. Improved trading times can increase trade in time-sensitive sectors.

 Trading times are particularly important for time sensitive products . Reducing
trade times will therefore increase specialization in sectors such as livestock,
vegetables, fruits. which will benefit the most from improving the ability to
transport the final products on time . And increase in Specialization in exports
from meat products, chemicals, ferrous metals

3-Trade increases further when improvements are combined.  

When countries combine faster trade times gained through BRI projects with
improvements in other areas, such as border efficiency, tariff reductions, deeper
trade agreements and better market access, trade increases even further
THANK YOU
Any Questions