Status: 01.12.2021 1:45 p.m.
With investments of 300 billion euros in emerging and developing countries, the EU wants to compete with China. The money will be used, for example, to build roads and railways, announced Commissioner von der Leyen.
In order to expand the influence of the European Union in the world, up to 300 billion euros are to be invested in the infrastructure of emerging and developing countries over the next six years. EU Commission head Ursula von der Leyen wants to raise public and private funds by 2027 to promote the construction of roads, rail lines and Internet connections worldwide. In addition, plants for the production and liquefaction of green hydrogen and health facilities are to be funded.
The EU initiative called “Global Gateway” is seen as the answer to the “New Silk Road” announced by China in 2013. Under this name, for example, the People’s Republic grants loans to other countries around the world, thereby securing political or economic advantages. According to official information from Beijing, just under 140 billion dollars (around 124 billion euros) had flowed by 2020.
Counter-draft to the “New Silk Road”
The EU intends to partially finance its project from EU programs, including through the European Investment Bank (EIB). You want to appear as a “trustworthy” partner in the world and score with democratic values, said von der Leyen. She was convinced that she could stand up to China with this.
“Global Gateway has the potential to make the EU an effective geopolitical actor”, said the permanent representative of the Federal Republic of Germany to the EU, Michael Clauss. The offer of rule- and value-based cooperation on equal terms will be an attractive alternative to the Chinese Silk Road for many partner countries.
Positive reaction from business
The German Engineering Federation (VDMA) stated that the initiative had “the potential to make the EU a stronger geopolitical actor in Asia, Africa and Latin America”. It is now important to implement the first concrete projects as quickly as possible, emphasized the head of the external trade department at VDMA, Ulrich Ackermann.