Abstract:

The transnational project 'Silk Road Economic Belt' is aimed at strengthening China's position in global trade as it is expected to create new jobs, open new channels for selling Chinese goods, address the regional disparity issues, and ensure the country's energy security by using alternative sea routes and thus protecting China from American sanctions. The project encompasses two main components: the 'Economic Belt' (on land) and the 'Twenty-First Century Maritime Silk Road' (on sea). The scale of the project is impressive in terms of the number of its potential participants and the funds it is planned to invest – approximately 2.2 trillion US dollars – by 2025. Transit countries on the way of Chinese goods to Europe are eager to benefit from the lucrative spillover effects of the 'Silk Road' project. Such countries include not only Azerbaijan, Turkey, Russia and Kazakhstan, but also Mongolia, Poland, Romania, Bulgaria, Afghanistan, Iran, Turkmenistan, Uzbekistan, Kyrgyzstan, and Belarus. These countries seek to attract direct foreign investment for development of their transport infrastructure and thus raise their exports to European and global markets. This paper focuses on the potential of the Northern Sea Route in the context of the 'Silk Road Economic Belt' and analyzes the official data provided by the Russian and Chinese government. The author demonstrates that the route’s inclusion in the project will be beneficial both for China and for Russia as it will offer cargo ships a safer and faster passage, provide opportunities for establishing the all-year connection with remote areas, development of eco-tourism and transportation of raw materials. Moreover, this route will open up access to new markets for Chinese and Russian products. At the moment, however, cargo transportation along the Northern Sea Route is impeded by the lack of modern icebreakers, necessary to escort ships in the harsh climatic conditions of the Arctic and to protect the marine environment from pollution such as oil spills.