Irans Look East Policy and Its Role in the Sustainable Development of Amirabad Port with a Focus on the Belt and Road Initiative

Document Type : Original Article

Authors

Faculty of Earth Sciences, Shahid Beheshti University, Tehran, Iran

Abstract

After the 1979 Revolution in Iran, the approach to foreign policy and international relations underwent a complete turnaround. Iran exited the Western bloc, and policymakers in the realm of foreign policy adopted the Look East Policy and sought to expand international relations with emerging economic power centers in Asia. However, with the onset of the ninth government, the Look East Policy was practically implemented (Applied Geopolitics) and became prominent in public perception (Popular Geopolitics), forming the basis of the country's foreign policy strategy. This approach was particularly emphasized when pressure from Western countries intensified, leading to a conflict of interests between the parties involved1. The existence of fundamental obstacles in normalizing relations between Iran and the United States is a significant reason for adopting this approach. The economic and technological growth of East Asian countries, which has elevated their status both domestically and internationally, is another crucial factor in this regard.

Iran's strategic relations with major developed economic powers in the East can, in turn, provide a suitable platform for enhancing Iran's status at regional and international levels. This platform can take shape within frameworks such as the Shanghai Cooperation Organization (SCO), China's Belt and Road Initiative, or the International North–South Transport Corridor. These frameworks are presented within the context of the Look East approach, and by adopting such a policy, Iran must expand its relations with these countries across various dimensions.

Given the capacity of Amirabad Port, it can play a significant role within the frameworks of the Shanghai Cooperation Organization, the North-South Corridor, and even in the convergence with China’s Belt and Road Initiative. This port, being the largest northern port of the country and connected by rail to Bandar Abbas port, can have a strategic role in the economy of Iran, the countries surrounding the Caspian Sea, and even landlocked countries in the region.

This study examines the dimensions of the Look East Policy and its role in the development of Amirabad Port. Therefore, it seeks to answer the question: "What impact can the Look East Policy have on the development of Amirabad Port?" The authors hypothesize that the Look East Policy will have a positive impact on the development of this port.

The Belt and Road Initiative (BRI), known in China as "One Belt, One Road," is a global infrastructure development strategy launched by the Chinese government in 2013 to invest in more than 150 countries and international organizations. This initiative is a crucial element of China’s foreign policy and a significant component of its diplomatic strategy, reflecting China’s growing role in global affairs in line with its increasing power and status18. The importance of the BRI to China is underscored by its inclusion in the Chinese Communist Party’s constitution in 2017. The Chinese government describes the BRI as an effort to strengthen regional connectivity and embrace a brighter future.

This initiative is a crucial element of China’s foreign policy and a significant component of its diplomatic strategy, reflecting China’s growing role in global affairs in line with its increasing power and status. The importance of the BRI to China is underscored by its inclusion in the Chinese Communist Party’s constitution in 2017. The Chinese government describes the BRI as an effort to strengthen regional connectivity and embrace a brighter future.

In the process of globalization and the formation of regional groupings worldwide, countries' economies, whether naturally or through managed efforts, gradually move towards greater integration and alignment within the evolving global production and trade structures. One of the main indicators for measuring the level of integration and advancement of a country is analyzing the structure of foreign direct investment (FDI) flows in that country. The share of each country in attracting FDI flows can indicate the extent to which a country's production structure aligns with the global production structure, as investors aim for long-term profits through participation in large-scale economic activities. Since FDI flows have a direct impact on the ability to develop the commercial potential of member countries, examining the status of countries in attracting FDI is of significant importance.

On the other hand, the expansion of FDI has enabled industrial production to become decentralized, with components being sourced from various regions. This means that many countries have become both exporters and importers in specific industries simultaneously. The intra-industry trade index, which measures the share of intra-industry trade, has increased rapidly in recent decades.

Amirabad Port, due to its strategic location on the Caspian Sea and its capability to facilitate the transfer of goods to open waters via southern ports, has the potential to attract foreign investments in industry, services, infrastructure, and more. Moreover, it can facilitate the integration of Iran’s economy into international economic flows. This integration can occur through the corridors discussed in this study and, additionally, through the Shanghai Cooperation Organization.

In light of Iran's "Look to the East" policy, prioritizing economic and political cooperation with Eastern countries is crucial. With its strategic connectivity potential, Iran can position itself as a central hub for Eastward policies involving Central Asian and Caucasus countries, Shanghai Cooperation Organization (SCO) members, and others. Amirabad Port can serve as the economic tool for this convergence.

The research findings suggest that Amirabad Port has the potential to play a pivotal role in the SCO, China's Belt and Road Initiative (BRI), and Iran’s North-South Corridor. Given its access to sea, land, and air infrastructures, the port is well-equipped for this purpose. The primary feature for the development of any geographic area is connectivity and accessibility. Amirabad Port benefits from road, rail, and air connections (Amirabad Port, 2021). If the port's capacity is expanded and Iran emphasizes its role in its diplomacy, it could not only achieve sustainable development but also become a revenue-generating center and a national development hub.

Through the North-South Corridor, Iran can connect Caspian Sea countries to Amirabad Port and, subsequently, via roads or railways, to Bandar Abbas or other ports on the Gulf of Oman. Landlocked Central Asian and Caucasus countries could leverage this advantage, and Russia's access to warm waters would also be facilitated. By linking Amirabad Port to Aktau or other SCO member states along the Caspian Sea coastline, Iran's "Look to the East" strategy would be further actualized. This would promote Iran’s alignment and convergence with regional countries, enhancing its role in the Caspian Sea and the SCO, positioning it as an active player.

Furthermore, within the framework of China’s Belt and Road Initiative, Amirabad Port could serve as a crucial secondary route. By connecting to Aktau or other eastern Caspian Sea ports, it could facilitate easy access to international waters.

Finally, the relationship between Amirabad Port and sustainable development is reciprocal. If the port is developed sustainably, its connectivity and services will expand. Likewise, increased connectivity and services, along with the associated revenue generation, would further drive Amirabad Port’s development. All these factors hinge on the active implementation of the "Look to the East" policy, emphasizing Amirabad Port in Iran’s diplomacy within the SCO and various corridors. If these conditions are met, foreign investment in Amirabad Port would be attracted, paving the way for its sustainable development.

The conclusion of the present study indicates that Amirabad Port has the capacity to connect with other ports in the Caspian Sea. Such connectivity would not only link Iran to Central Asia and other neighboring regions but also align with Iran’s "Look East" policy, turning it into a practical reality. The Shanghai Cooperation Organization (SCO) presents suitable opportunities to achieve these objectives. Furthermore, the overall process of development, increased tourism, growth in exports and imports, higher investments, and enhanced economic and social stability could be realized. Amirabad Port possesses the capacity for all these elements, and its connection with other ports, particularly Aktau, would catalyze this change. This transformation would not only affect the immediate area around the port but also have broader implications for the entire country and region.

This research aimed to explore how the "Look East" policy impacts the sustainable development of Amirabad Port. The study endeavored to answer this question in detail. As previously mentioned, Amirabad Port, by connecting with the Caspian Sea ports, especially Aktau, could become a part of the Belt and Road Initiative (BRI) as a secondary route. In this scenario, Iran would play a significant role in the initiative. Moreover, given Amirabad’s capacity, such as its connection to the national railway network, the port could also facilitate the North-South Corridor, linking the Oman Sea or the Persian Gulf with the BRI, thereby playing a crucial role in regional geopolitics.

This development would implicitly support Iran’s "Look East" policy, fostering convergence and strengthening relations at various levels between Iran, Central Asian countries, China, and Russia. To achieve these goals, it seems necessary to focus on further activating Amirabad Port’s infrastructure, enhancing its projected capacities, and assigning Amirabad a pivotal role in Iran's diplomacy.

With its "Look East" approach, Iran can utilize tools like the Belt and Road Initiative and the North-South Corridor to increase foreign exchange revenues and integrate into global trade flows. In this strategy, Amirabad Port’s role, if connected with Aktau and other Caspian ports, is essential. Additionally, given the SCO’s emphasis on supply chains, energy, food, water, and similar resources, the sustainable development of this port is anticipated.

The authors hypothesized that the "Look East" policy would directly impact the sustainable development of Amirabad Port. The findings and analysis of the research support this hypothesis, suggesting that the port’s sustainable development is contingent upon Iran’s adoption of the "Look East" approach, its increased involvement in international corridors, particularly the Belt and Road Initiative, and its engagement with the SCO.

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