Prevention of Risks of “Going Out”

Reporter Yang Peiju

“One Belt and One Road”strategy involves more than 60 countries,more than 4 billion people and an economic volume of over 20 trillion dollars, and is likely to become the great economic corridor having the widest expanse in the world. However, experts caution that Chinese enterprises should pay attention to the mine fi elds when they plan to “go out to sea”.

However, the enterprises “going out” one after another fearing being left behind is in stark contrast to the incessant news of defeat experienced by domestic enterprises in the overseas.

As regards the risk of domestic enterprises’ “going out”, Mr. Sun Chongbo from the Industrial Research Department of China Shipbuilding Industry Research Center believed that seen from the current situation,firstly, those significant nations of Southeast Asia and South Asia involved in “One Belt and One Road”are the areas of wrestling focus for major powers, the geopolitics is tense and the national risk is tremendous.Secondly, there is clash of civilizations in this area where conflicts between different ethnic groups and religions can easily erupt and the situation is complex and multiple. There is also the effect of risk spilling out to the peripheral areas. In addition, many countries along the ling are developing countries or under-developed countries, they are in the period of developing economy and have insufficient fund and their political and economic reform, social transformation, stability of domestic politics and economics and the level of maturity are not optimistic.Some experts believe that China lacks protection scheme for overseas investment, enterprises often face risks when “going out”. The government should provide certain assistance, however, there is a lack of political and economic risk guarantee for overseas investment in China.

At present, with the acceleration of construction of “One Road and One Belt”, the cooperation among nations and regions will deepen continuously, and problems in coordination, overall planning and communication will be resolved one by one. Professor Wang Yuesheng,the Director of the International Economics and Trade Department of Peking University considers that the urgent problem for the Chinese enterprises is that they do not know enough about countries along the line of “one Belt one Road”. The think tanks, either governmental or nongovernmental should provide intellectual support to help them to evade various business and legal risks.Experts of the industry believe that CCS should play a more important role in the process of the industry “going out”.

On one hand, CCS understands well the development situation of domestic ports, shipping industry,shipbuilding industry and equipment industry. At the same time, it has a deep understanding of the information of related industry in many nations, it also has a good knowledge of politics, economy and culture of these countries. In fact, the unique role of CCS has fully shown in the international maritime community in recent years. It can be said that CCS is almost involved in all the significant new maritime conventions and rules from their being conjectured all the way through to coming into effect. In the face of the situation of volatile international maritime community,CCS took advantage of its special role and position to reflect the opinion of Chinese community on relevant conferences in the international maritime community.CCS also plays a more significant role in formulation of regulation and standard and guarantee of industry interests and rights. On the other hand, CCS brings back the most advanced technology, management method and development opportunity to our industry, and transposes these into the power of sustainable development in related fi elds. For many years, CCS has been promoting comprehensively the implementation of technical standard and research and development of new service products.

In addition, by closely integrating international business development and state diplomatic work and by practicing state diplomatic policy in business diplomacy, CCS has become the non-governmental channel to make friendship and strengthen cooperation;CCS has also accelerated connection and integration between the world maritime community and the industry including shipbuilding, shipping, finance and insurance by means of international activities, i.e.Mediterranean regional committee, International Tanker Safety Forum, Tripartite, ASEAN Maritime Technology Seminar.