February 24, 2024 - The South Caucasus News - SouthCaucasusNews.com

Armenian-Chinese Relations

The past decade has been important for the development of Armenian-Chinese relations. They have been built not on diplomatic formalities and protocol events, but on thoughtful steps and practical actions.

China is the third country after Russia and the USA to be represented in various spheres of Armenia. This includes trade, healthcare, education, culture, and even cuisine.

This article explores the relationship between the two countries, the prospects of economic cooperation, and how China is perceived in Armenian society through the stories of individuals.

Soft power

Armenia and China officially declare friendly relations. However, in the modern world, it is customary to consider the friendship between an economically developed and influential country with a developing nation in need of assistance from the perspective of applying “soft power.”

The term “soft power” was coined by American political scientist Joseph Nye. This term denotes a political strategy that involves a country’s ability to achieve desired outcomes based on voluntary cooperation and sympathy towards it. Unlike “hard power,” which implies coercion.

Deepening friendly relations seem to lack serious political undertones. China simply wants to have a reliable partner in the region.

And in Armenia, this Eastern country is perceived as an underutilized opportunity for cooperation – in business, education, and other spheres.

The meeting between prime minister Nikol Pashinyan and president Xi Jinping in Beijing, May 2019

“The peoples have established warm, friendly relations”

In 2022, Armenia and China celebrated the 30th anniversary of the establishment of diplomatic relations. Chinese ambassador to Armenia Fan Yun stated that the peoples of the two countries “generation after generation make efforts to strengthen the traditional friendship.” Armenian diplomats emphasized that these are “warm relations with a centuries-old history – since the times of the Great silk road.”

Currently, Armenia is primarily a road to the West for China. The country is interested in ensuring that the road passes through friendly territory to avoid problems and obstacles.

At this point, the basis of economic, cultural, and diplomatic relations, some of which pass through Armenia, is the “Belt and Road Initiative.”

The Belt and Road Initiative is a transcontinental investment program aimed at developing infrastructure and economic integration of countries located on the historical Silk road. As of March 13, 2022, China has signed cooperation agreements under the Belt and Road Initiative with 148 countries and 31 international organizations.

Both countries emphasize the importance of high-quality road construction, which will boost trade and investment and develop infrastructure.

For China, besides its exceptional commercial value, it has an image component – enhancing its authority.

In addition, Armenia and China are interested in direct flights between the two countries, joint environmental, digital, and innovative technological projects.

President of Armenia Vaagn Khachatryan at the Chinese embassy on the occasion of the 30th anniversary of the establishment of diplomatic relations. Together with Ambassador Fan Yun, they unveil the embassy’s sign

What makes China interesting for the residents of Armenia? Stories

Alina Matevosyan spent three years living in China, where she worked as an English teacher. Friends helped her find a job, teaching English to local children in both group and individual settings.

“The offer was quite attractive. I was offered work with small groups, as well as highly paid individual lessons. Besides, China had always been a mystical country for me. I couldn’t miss the chance to get to know it,” she says.

In her opinion, people either fall in love with China and integrate into its society or leave disappointed because their expectations were not met.

After her contract ended, Alina returned to Armenia, where she immediately gained students interested in learning Chinese.

“I have three small groups, each with four children, and had to turn away five others. I’m not sure why there’s such interest in learning Chinese. I assume most of my students’ families see their children’s futures connected with this country,” says Alina.

In a year, she plans to return to China, this time to study.

One of her students, 12-year-old Armine, explained her motivation for learning Chinese: she wants to understand the language of her favorite cartoons, animations, and movies.

“There are also Chinese bloggers whom I would really like to understand. And I have a Chinese friend with whom I communicate in English. I’d like to speak his language with him,” says Armine.

Armine’s parents were pleased with their daughter’s decision to study Chinese, as they plan to move to China as a family in the near future. Armine’s father has found a job there and will work under a contract for two years.

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Strengthening ties through educational programs

China is expanding its influence in Armenia through the teaching of Chinese language. The calculation is simple: proficiency in the language opens up opportunities for people to find online jobs in Chinese companies, watch movies, shows, read literature, and eventually, they will want to get to know the country better and visit China.

In 2009, the Confucius Institute was officially opened at the Yerevan State University of Languages and Social Sciences. It operates three Confucius classrooms and seven Chinese language learning centers.

In September 2018, the Armenian-Chinese Friendship School opened in Yerevan. It is designed for 600 students and does not have elementary classes; enrollment is open from the 5th grade, allowing students to study until the 9th grade.

School of Armenian-Chinese Friendship

The school’s director, Spartak Vardanyan, reported that in the year of its opening, 408 students enrolled, and now they have 685 students. Interest in the school is growing. In September 2023, there were 191 applicants for 54 places in three classes.

“China is represented in many spheres both globally and in Armenia. Communication in a common language for further relationship development becomes a necessity. Our school has taken on this important task.

In addition to the language, children are attracted by the mystery of China as an Eastern state. Chinese is a difficult language, it’s hard to learn it in two or three years. However, by the end of their education, our students reach a sufficiently good level of proficiency.

The educational program of the school is supported by the Confucius Institute. This year we submitted it to the ministry for expert evaluation. If the program is approved, then in the future, all schools wishing to teach Chinese as a third foreign language will be able to use this ready-made program,” the director said.

Chinese school textbooks

The school offers its students the opportunity to continue their education in China with the support of the Armenian government and the Confucius Institute:

“Over the years, 20 students have been given the opportunity to study in China. Currently, we have eight more applicants. Education is free. Parents only cover transportation expenses.”

Chinese language textbook for Armenian schoolchildren

Chinese assistance to Armenia

Buses and ambulances of Chinese manufacture are often seen on the streets of Yerevan. They were donated to the Armenian government as assistance from the Chinese people.

In 2018, the healthcare system received 200 ambulances. China also provided support during the Covid-19 pandemic. In 2021, with the assistance of the Chinese government, Yerevan received 100,000 doses of the Sinovac vaccine. Subsequently, the Chinese helped Armenia procure 1.2 million doses of the Sinopharm vaccine.

Thanks to China’s assistance, Yerevan’s bus fleet has been supplemented by approximately 250 buses. Along with them, spare parts for maintenance and repair were also delivered to Armenia.

Buses provided by the government of China

Armenia’s law enforcement agencies also received assistance in the form of Hyundai and Volkswagen buses for the police.

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Cooperation with the Public television of Armenia

The Chinese government closely collaborates with the Public television.

Presumably, this could be related to the significant influence this channel has on shaping public opinion in Armenia.

In 2015, China provided three mobile television stations equipped with state-of-the-art equipment. In the same year, thanks to a grant from China, a new mobile station with 10 high-quality cameras and a digital satellite apparatus for content transmission was acquired.

The Chinese government also provided equipment for the central hardware and quality broadcasting. And very recently, it allocated a grant of 10 billion drams [about $25 million] for the construction of the 8th studio.

“This studio will have the largest pavilion covering an area of 1000 square meters. It will be used for shooting large-scale cultural and entertainment projects,” according to the public relations department of the TV channel.

Cooperation with China is considered important here in terms of “creating production infrastructure for the production of television projects and improving the quality of programs.”

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Chinese cuisine – one of the most popular in Armenia

Vaan is an expert in Eastern cuisine. He worked in several Chinese restaurants in Yerevan, offering visitors traditional, familiar flavors that he perfected thanks to his knowledge gained in China.

“My brother has been living in China for ten years now. When I first visited him, he took me to a restaurant. Honestly, I didn’t like the atmosphere or the smells. When we ran out the food we brought from Armenia, I went to the store, bought some groceries, and started cooking something similar to our dishes. My brother said I was good at mixing Chinese and Armenian cuisine. He invited his Chinese friends. They tried my meals and took me to other local restaurants,” Vaan recounts.

Later, he easily found a job in a Chinese restaurant in Yerevan. He was already familiar with Chinese cuisine, knew how to cook traditional dishes, and understood the nuances of their presentation.

“The head chef was Chinese, he liked me, and he taught me a lot. And when he decided to return to his homeland, he suggested me as his replacement. For eight years now, I’ve been trying to offer customers something new, despite Armenians being conservative about it. They continue to order what they’re used to – Pig Ears mushrooms, soy salad, chicken with oranges. They don’t go beyond this menu,” the chef says with a smile.

In one of the Chinese restaurants in Yerevan

At the same time, he believes that after local cuisine, Chinese cuisine is the most popular in Armenia:

“Every year, for at least a week, I travel to China, visit new restaurants, try dishes to later adapt them. It works. I cautiously add spices and exotic dishes to the menu.”

In Yerevan, there are over a dozen Chinese restaurants. They are all located in the downtown area, popular, and successful as businesses.

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Economic ties: trade and investments

China is one of Armenia’s significant trading partners. In 2023, it ranked second in terms of trade turnover, second only to Russia.

Moreover, over the past five years, the trade turnover between Armenia and China has more than doubled. Data for December 2023 has not yet been published, but it is expected that the annual turnover will exceed two billion dollars. This is almost 40 percent higher than the previous year’s figure.

According to economist Aykaz Fanyan, a significant portion of the trade turnover is attributed to China, accounting for about 80 percent of imports. These include various Chinese goods, from automobiles and household appliances to fruits.

He believes that Armenian-Chinese trade relations are at a very high level. However, based on objective and subjective circumstances, they have developed in one direction:

“Armenia mainly exports copper and molybdenum concentrate. Consequently, Armenian producers theoretically have a large untapped market in the form of the 1.5 billion-strong China. I believe Armenian brandy and grape wines have the greatest potential for success. Over the past five years, brandy imports to China have almost doubled. Chinese consumers are gradually transitioning to non-traditional alcoholic beverages.”

The expert states that the potential assortment of imported goods from China is enormous. However, in the coming years, the growth of electric car imports is more likely. China is becoming a major producer of electric vehicles and is improving their quality every year.

Chinese companies do not have major business projects in Armenia. China invests only in the construction of the “North-South” transport corridor, a plant producing mineral water managed by Chinese companies, and photovoltaic power stations.

The “North-South” highway is the largest transportation project in independent Armenia. This road is intended to connect the north of the country with the south. The highway from the north will connect Armenia with Georgia and through it will provide access to the Black Sea and European countries. From the south, the highway connects the country with Iran. Thanks to this project, Armenia can become a transit country.

“Chinese companies are desirable investors for Armenia, though at the moment their participation in the economy is nominal. The question is how attractive Armenia is to them. I think the chemical industry, pharmaceuticals, and food industry might be most interesting to them, however, only as a possible platform for servicing markets of other countries,” explains the economist.

The minimal Chinese investments indicate that Armenia is not attractive to Chinese businessmen. Only the government of this country is interested in cooperation. Even in the construction of the largest project, the “North-South” transport corridor, the investment comes from the state, not private business.

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Chinese goods in the Armenian market

Armenian stores abound with Chinese products, which are both the cheapest and the most popular.

Karо owns two men’s clothing stores in downtown Yerevan. Previously, he imported clothing from Turkey because it was considered of good quality, and the delivery to Armenia took only a few days.

“After the third Karabakh war, I decided to stop importing Turkish goods and switched to Chinese ones. Initially, I worked with intermediary organizations. I provided them with a list of goods, they found them, took photos, and sent them to me. Then I made my selection and placed orders,” says Karо.

This allowed him to get cheaper goods, enabling him to sell them to his customers at prices lower than Turkish ones. Later, he decided to travel to China himself to find warehouses of goods, assuming he could buy even cheaper:

“I’ve been to China twice now. I’ve made good friends there, especially those who are honest in business. The only problem is sometimes the delivery of goods is delayed due to logistical issues. But now I can sell the same men’s trousers for 10,000 [around $25], instead of 13-15,000 [around $32.5-37.5].

Another advantage is the variety of Chinese goods. The main question here is quality, which is directly related to prices. For example, there are over a hundred varieties of the same type of hat, in the same color and style, ranging in price from one to 30 dollars. You can choose the quality you prefer to ensure demand in your market.”

Moreover, Karо assures that the myth about the poor quality of Chinese goods is gradually dispelled among his customers.