again by Chinese officials that the BRI is not an attempt to create a parallel system
which stands in competition with already existing economic and legal frameworks.
15
In fact, China seeks to participate more actively in the international economic
architecture, by incorporating some of its own experiences.
2.1 An Evolving Initiative
The BRI in its current form should be understood as a flexible and dynamic process
that continues to evolve. For instance, when the BRI was announced, it only covered
two primary components—overland belt and maritime road. This has now expanded
to include cyberspace and outer space.
16 Presently, the scope and intention of the
BRI can be found in political statements, policy documents and guidelines.
17
However, in certain cases, the precise legal status of these policy documents and
guidelines is not easily discernible. In addition, a myriad of central, regional and
local level documents in the forms of laws, regulations, notices, circulars and
communications also contribute to the underlying framework of the BRI.
18 China
has signed memoranda of understanding,
19 treaties,
20 and updated pre-existing
investment and trade agreements to create momentum for the BRI.
21 The legal
framework of the BRI is in total contrast with the familiar structures of international
governance in the area of trade that the world is already familiar with such as the
World Trade Organization (WTO) or Free Trade Agreements (FTAs). When the
WTO was formed there was a package of documents,
22 but in case of the BRI,
15 Shi (2018), p. 13; Xiaoming (2015) New Silk Road is an opportunity not a Threat, Financial
Times, 24 May 2015, https://www.ft.com/content/c8f58a7c-ffd6-11e4-bc30-00144feabdc0,
accessed on 17 April 2019.
16 Moss (2016) China One Belt and One Road Takes to Space, 28 December 2016, The Wall Street
Journal, https://blogs.wsj.com/chinarealtime/2016/12/28/chinas-one-belt-one-road-takes-to-space/,
accessed 17 April 2019.
17 There are two important documents that indicate the scope of the BRI, namely the—Vision and
Actions, note 12 above and the “Vision for Maritime Cooperation under the Belt and Road
Initiative”, released on June 20, 2017.
18 For understanding the legal landscape see Wolff et al. (2017).
19 Around 76 MOU have been signed with different countries.
20 For example, China has signed approximately 53 tax treaties with the BRI participating countries.
21 For example, the China - Association of Southeast Asian Nations (ASEAN) FTA was
renegotiated to include provisions that would enable closer integration of China and ASEAN region
especially in the context of digital infrastructures.
22 WTO agreements are the result of the 1986–94 Uruguay Round negotiations, signed at the
Marrakesh Ministerial Meeting in April 1994. Currently, there are about 60 agreements such as
the Marrakesh Agreement, General Agreement on Tariff and Trade, etc.
44
A. Basu Bal and T. Rajput
which stands in competition with already existing economic and legal frameworks.
15
In fact, China seeks to participate more actively in the international economic
architecture, by incorporating some of its own experiences.
2.1 An Evolving Initiative
The BRI in its current form should be understood as a flexible and dynamic process
that continues to evolve. For instance, when the BRI was announced, it only covered
two primary components—overland belt and maritime road. This has now expanded
to include cyberspace and outer space.
16 Presently, the scope and intention of the
BRI can be found in political statements, policy documents and guidelines.
17
However, in certain cases, the precise legal status of these policy documents and
guidelines is not easily discernible. In addition, a myriad of central, regional and
local level documents in the forms of laws, regulations, notices, circulars and
communications also contribute to the underlying framework of the BRI.
18 China
has signed memoranda of understanding,
19 treaties,
20 and updated pre-existing
investment and trade agreements to create momentum for the BRI.
21 The legal
framework of the BRI is in total contrast with the familiar structures of international
governance in the area of trade that the world is already familiar with such as the
World Trade Organization (WTO) or Free Trade Agreements (FTAs). When the
WTO was formed there was a package of documents,
22 but in case of the BRI,
15 Shi (2018), p. 13; Xiaoming (2015) New Silk Road is an opportunity not a Threat, Financial
Times, 24 May 2015, https://www.ft.com/content/c8f58a7c-ffd6-11e4-bc30-00144feabdc0,
accessed on 17 April 2019.
16 Moss (2016) China One Belt and One Road Takes to Space, 28 December 2016, The Wall Street
Journal, https://blogs.wsj.com/chinarealtime/2016/12/28/chinas-one-belt-one-road-takes-to-space/,
accessed 17 April 2019.
17 There are two important documents that indicate the scope of the BRI, namely the—Vision and
Actions, note 12 above and the “Vision for Maritime Cooperation under the Belt and Road
Initiative”, released on June 20, 2017.
18 For understanding the legal landscape see Wolff et al. (2017).
19 Around 76 MOU have been signed with different countries.
20 For example, China has signed approximately 53 tax treaties with the BRI participating countries.
21 For example, the China - Association of Southeast Asian Nations (ASEAN) FTA was
renegotiated to include provisions that would enable closer integration of China and ASEAN region
especially in the context of digital infrastructures.
22 WTO agreements are the result of the 1986–94 Uruguay Round negotiations, signed at the
Marrakesh Ministerial Meeting in April 1994. Currently, there are about 60 agreements such as
the Marrakesh Agreement, General Agreement on Tariff and Trade, etc.
44
A. Basu Bal and T. Rajput