China Exports to the Middle East.

China is one of the leading exporters of products and items. One of the regions proliferated by China exports is the Middle East. The Middle East acts as a recipient of Chinese exported products from consumer products to vehicle spare parts and even missiles and warheads. In its history of exporting with the Middle East, it appears that some of the export ties with the region have been created in the last 20 years or in the more recent times. Nonetheless, it has been a positive development for China, its export products and its economic growth in relation to this development.

The Chinese have had a long history of being active traders, travelling by land and sea, and in the modern world, by air to bring their products outside of the country and offer it in other parts of the world where it is needed and the demand for such products and items are high. Today, that tradition has not changed and China remains as one of the selected countries known as a key exporter of many different items including toys, food, dry and wet goods, mechanical and electrical equipment and supplies, clothes, entertainment and communication gadgets and devices, appliances and tools, agricultural supply and a lot more. Thanks largely to the countrys cheap labor costs and manpower and cheaper production costs as well that allows China and its products to be able to compete in the global market, price-wise. The composition of China-Middle East trade is very much consistent with the Chinese strategy of using comparatively cheap labour to produce low cost goods, from ready-to-wear fashion to cars, in abundance. From Europe to America to its neighboring Asian countries, and even as far as Africa, China-made products have loaded display stands and stock rooms because of Chinas style of aggressively marketing its export-ready products.

As a rising economy in Asia and in the world, China is not afraid to use its political and economic clout to expand its export business. It is unafraid to explore previously unchartered territories when it comes to Chinas history of export across the globe. One of the regions in the world that is able to enjoy these products is the Middle East. A very rich and stable collection of Arab countries, it was odd that in the past, the Middle East was not a significant target of Chinas export, but the bullish thrust of China in opening up more and more export lines globally has allowed it to export to Middle East. Finally, there was something Middle East wanted that China was able to provide for them, through Chinas exported products to the Middle East. This is a significant trade relations especially since this involves two powerful economic entities - China and the oil-rich Middle East. Because of this, the paper will focus its discussion and analysis on what China actually have exported to the Middle East, particularly products with significant value during the more recent years.

Products exported to the Middle East
China is a country that has been producing almost everything that everywhere one looks in any part of the world, there are China-made products to be seen in stores. The Middle East is a place where people are financially capable, and thus, a very potent target for China to export their goods in, considering the fact that many of the people have the ability to buy and the money to spend. In the more recent history of Chinas export trade with the Middle East, it has featured the presence of selected items that are exported in several different Middle Eastern countries by China. These items vary from one another - from harmless consumer products like beef which is heavily consumed in the region, to vehicle spare parts necessary for the automotive repairs in the Middle East,  to more dangerous toys China is selling to countries in the Middle East which are hostile to the western countries, particularly warheads, missiles and missile-related technologies that makes other countries do a double take on China, what it is exporting and to whom it is sending it to in the Middle East in particular.
 
A. Beef
One of the common types of meat consumed by humans is beef. In the Middle East where culture dictates a strong inclination to beef since Muslim religion forbids the eating of pork, beef products are potentially strong products to sell. Because of this, China was able to make the best out of the situation by finding the right country to target its export of supplies of beef on. But beef is not one considered as one of the strongest export material or item of China in the past in relation to its worldwide export and to its export history in the Middle East. In its history of exporting items to the Middle East, beef is one of the items that are exported there. One of the countries in the region to benefit from the beef export of China is Iran. Exports of beef were limited to modest shipments to Hong Kong and to the former USSR in the middle 1980s. By 1990, the USSR market for frozen beef had grown substantially exports to the Middle East especially in Iran had begun.

This is a surprising turn of events and a development that is testament to Chinas move to diversify and to be able to provide as many different products possible to be able to retain its status as export items hub, if not the capital. China has never been a major exporter of beef of live cattle. But because of the business acumen of the Chinese, it was not long enough before they were able to realize the potential in participating in this particular trade. This move that diversified their export items being sent around the world particularly in the Middle East has helped the national economy no doubt.
 
B. Vehicle spare parts
Another one of the popular exports coming from China is its sale of vehicle spare parts to many different countries. This is made possible by China because they have the capabilities to produce vehicle spare parts for cheaper prices. Through technology sharing or even technology piracy or both, many Chinese companies are able to get hold of information regarding the schematics of vehicles and the design and characteristics of the vehicles spare parts, allowing them the opportunity to mass produce these spare parts and sell them to countries where these parts are high in demand. The oil-rich Middle East is a place where people often use cars. Those who do not have money to buy a new car or to buy authentic spare parts often resort to China made spare parts which are cheaper.

Like in the case of beef being exported by China to the Middle East, vehicle spare parts are just a recent offering to the Middle East by China. This was believed to have started during Chinas participation in the Middle East Vehicle Spare Parts Fair which happened in the early years of the twenty first century. Exporting vehicle spare parts in the Middle East compliments Chinas export style since China has been known to export vehicle spare parts in many different parts of the world. Many companies inside China produce these parts which are being exported in other countries. With the addition of Middle East as a target drop off point of exported items, this development can only mean positive development for the GNP of China.

C. Missiles
Perhaps one of the most controversial exports that China has to send over to the Middle East is those which are military in nature, particularly missiles. The Middle East features countries with different military connections when it comes to constantly upgrading and improving their military arsenal. Israel, Russia and the United States are three of the leading suppliers of weapons and related items for the countries in the Middle East. But the capability of China for mass production and sales of missiles has enabled the country to be competitive versus other previous suppliers and exporters of arms and weapons in the Middle East. Recently, it appears that China has indeed won many contracts in the Middle East that makes it the key exporter of missiles, but would only admit to supply and export missiles in Saudi Arabia alone.

This, however, results to some controversy that involves China, considering the fact that authorities and professionals are investigating the possibility that the exporting of missiles in the Middle East and in selected Middle Eastern countries is not limited to allowable warheads. This practice of China exporting missiles to the Middle East is contributing to the growing military capability of many Arab countries, some of which are known to be openly hostile to the west which makes American and European authorities concerned. This trade aspect of China can endanger many other countries and can act as the ability of the terror groups to re-arm, or even upgrade their military capability, and fight a long, protracted war versus western military units fighting in different Middle East battle fronts.

In broad stroke, China, consistent to its trading dogma of not being selective of whom to deal business with as long as it is a business transaction that promises income for them, is being scrutinized by other countries. Its export relations with the Middle East feature the sale of many warheads and missiles, as well as missile technology and missile-building and maintaining products and supplies, that arms and equips countries with attack capability without consideration to the political leanings of these groups. Worse, it seems that the Chinese government was aware of the possible illegality of the act considering missile supply control agreements in place to prevent proliferation of such weapons, hence, resorting to veiling its missile exports to Middle East with the guise of innocent, legal export products. They say they are sending in steel and other harmless items when in fact it is missile and other related items and products that they are actually taking to the Middle East. The growing demand for such items from the Chinese may even prompt China to steal the arms technology and capability of other countries and sell it to Middle East.

In the NTI website, it detailed the different kinds of missiles and warheads reportedly exported by China to Middle East.  The website explained the exact type of missile and the country that China sent it to. The list includes countries like Egypt as well as Iraq which was recently investigated for suspected weapons of mass destruction (WMD) and many different other countries, the missiles including ballistic and cruise missiles as well as related items and products like missile fuel and missile technology.

China has been actively exporting items and products in many parts of the world. It is not surprising that sooner or later, Chinese export products will find its way to the Middle East. While the export of products, like beef and vehicle spare parts, can be considered as positive points for Chinese export trade, the same cannot be said regarding its other products, particularly missiles and warheads and related technology. These business transaction may be harmful and detrimental to the state of world peace in the long term, considering the fact that armies are being armed and there is no exact way of telling the military capability of armies in line with Chinas direct and back door exporting and supplying of these kinds of weapons to Middle East countries, some of them potentially hostile to western governments.

0 comments:

Post a Comment