Italy PM Meloni told the Chinese Premier that Italy plans to withdraw from Xi Jinping’s signature Belt and Road Initiative
Italian PM Meloni spoke to the Chinese premier during the G20 summit in Delhi
Giorgia Meloni privately signalled to Chinese Premier Li Qiang that Italy is planning to exit from an investment pact that has become a test of her nation’s relations with the US.
During a meeting on Saturday on the sidelines of a Group of 20 summit in India, Meloni told Li that Italy plans to withdraw from Chinese President Xi Jinping’s signature Belt and Road Initiative while still looking to maintain friendly relations with Beijing, according to a person familiar with the matter, who asked not to be named. Italy officially signed up for the pact in 2019.
The Italian prime minister has been taking her time before deciding how to communicate her government’s decision to exit from the global infrastructure pact, fearing trade retaliation.
The India-Middle East-Europe Economic Corridor is expected to attract additional Asian countries, boosting manufacturing, food security, and supply chains within its sphere of influence.
At the G20 Summit, PM Modi and other world leaders launched the India-Middle East-Europe Connectivity Corridor. (Source: X/@PMOIndia)
Prime Minister Narendra Modi hailed it as “a testament to human endeavor and unity across continents,” while US President Joe Biden deemed it “a real big deal.” Leaders from India, the United States, Saudi Arabia, the United Arab Emirates, France, Germany, Italy, and the European Union have jointly unveiled a Memorandum of Understanding (MoU) that directly challenges China’s expansive Belt and Road Initiative (BRI), which seeks to establish trade and infrastructure networks connecting Asia, Europe, and Africa.
As the BRI marks its 10th anniversary, many view it as a tool for China to exert influence over developing nations, often resulting in debt traps. For Chinese President Xi Jinping, the announcement of the new India-Middle East-Europe Economic Corridor, which also involves Israel and Jordan, comes at an inopportune moment. Data reveals that the value of new foreign contracted projects under the BRI has stagnated since its peak in 2019, coinciding with China’s domestic real estate debt crisis.
A noteworthy shift in the global order was evident at the G20, with Italian Premier Giorgia Meloni’s participation, signaling Italy’s inclination to abandon the BRI. Italy had been the first G7 country to join Xi Jinping’s ambitious project in 2019.
Following the announcement, President Biden remarked, “The world stands at an inflection point in history. A point where decisions we make today are going to affect the course of our future—all of our futures for decades to come. A point where our investments are more critical than ever.”
