Trade agreements require China`s financing of a large number of infrastructure projects in Italy and an incentive to use products made in China. The areas covered by the agreements are: energy, finance, agricultural products, gas and energy and engineering offices. The Chinese communications and construction company will have access to the port of Trieste to allow links with Central and Eastern Europe. The Chinese will also participate in the development of the port of Genoa. The pact was tinged during a three-day visit to Italy by Chinese President Xi Jinping and at a time when Beijing is embedding in a trade war with the United States. Italian state-sponsored lender Cassa Depositi e Prestiti (CDP) has signed an agreement with the Bank of China to sell “Panda” bonds – bonds sold by foreign companies to investors in mainland China. The project is seen as a new Silk Road that, like the old trade route, will link China to Europe. The big difference between France and Italy vis-à-vis China is that France, unlike Italy, has decided not to do it alone. And it wants to oppose China, to make it a “new road of mutual silk”. With this, Italy plays alone, with the risk of giving too much rope to China. But he can certainly claim to have been the first of the G7 members to join China`s “New Silk Road”. A dubious statement, at best.
The EU Council on Monday took decisions on the signing of the agreement, the date and place of the signing of the agreement has not yet been set. After the signing, the agreement must receive approval from the European Parliament before it can be concluded and enter into force, a Council statement said. The ancient Silk Road was built between 130 BC and 1453 A.C a. during the Tang Dynasty and flourished until the Mongol invasion of Europe led the Ottoman Empire to boycott trade with China, and Europe found the sea route to trade directly with China. But the meat seems to be coming. Bloomberg recently reported that a number of major Italian companies have been involved in the development of this agreement, from banks and energy to football clubs. Football clubs may not be strategic areas, but energy and banks certainly are. And Bloomberg has dropped big names: pipeline operator Snam SpA, engineering firm Ansaldo Energia SpA and major banks such as Intesa San Paolo and Unicredit.
Infrastructure Cooperation Huawei established its first technology research and development centre in Italy in 2011 and has established cooperation with Italy`s three main mobile network operators, Telecom Italia, Vodafone and WIND. In the process of privatizing the telecommunications industry in Italy, Chinese companies that have acquired rich technology and extensive experience in the telecommunications industry, including Huawei, ZTE and other telecommunications providers that have collaborated in the field, have good prospects. Cooperation between China and Italy in the field of roads and bridges extends mainly to the exchange and cooperative development of advanced technologies.