Arctic shipping: China and Russia expand grip, can Europe fight back?– www.cnbc.com
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The icebreaker Tor (right) at the port of Sabetta in the Kara Sea shoreline on the Yamal Peninsula in the Arctic circle, some 2450 km of Moscow.
Kirill Kudryavtesev | AFP | Getty Images
China and Russia are tightening their grip on Arctic shipping routes, turning the rapidly warming region into a new geopolitical battleground with Europe.
Moscow and Beijing last week have agreed to expand freight traffic along Arctic shipping corridors, increase services between their ports and deepen cooperation on building polar vessels.
The agreement came after the EU unveiled a new Arctic strategy aimed at countering growing Russian and Chinese influence in the region.
Although the competing moves underscore how the once-remote region is turning into a strategic prize, analysts said that Europe’s ability to challenge the emerging China-Russia partnership remains limited, given Moscow’s control over the main shipping corridor and Beijing’s growing commercial clout.
Europe cannot realistically challenge Chinese and Russian dominance of Arctic shipping in any meaningful timeframe.
Alicia Garcia-Herrero
APAC & MEA Chief Economist, Natixis CIB
