The Race To Ship In The Caspian Sea

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The Caspian Sea is the site of feverish ship and port-building at present. With sanctions over the war in Ukraine hitting hard the traditional trade routes in Central Asia and the Caucasus, all the major players involved – Russia, China, the European Union, and all the countries in the region – are looking for new transportation links, says an article published on ship technology website.

Amid Global Shifts, The Caspian Sea Emerges As A Crucial Transport Hub

The Caspian Sea, a pivotal location, witnesses a surge in ship and port construction activities, driven by geopolitical changes and sanctions affecting traditional trade routes. With Russia, China, the European Union, and regional players seeking alternative transportation links, the Caspian Sea becomes a focal point.

Caspian Sea Overview

Situated between Russia, Kazakhstan, Iran, Azerbaijan, and Turkmenistan, the Caspian Sea is integral to the Middle Corridor, a network connecting China and Europe, circumventing Russia. This corridor gains prominence post the 2022 Russian invasion of Ukraine, redirecting significant rail traffic and trade through the Caspian.

Shift In Trade Dynamics

Historically, over 90% of rail traffic between Europe and China traversed Russia. However, the Middle Corridor, though shorter, faces complexities and involves Caspian Sea shipping. The geopolitical landscape, including sanctions, drives the need for alternative routes, especially as Russia faces limitations.

Importance Of The Middle Corridor

Margarita Assenova, a senior Eurasia expert, emphasizes the Middle Corridor’s significance in connecting Central Asia with the Caucasus and Europe. This becomes crucial during Russia’s sanctions or potential civil unrest. The Caspian Sea assumes a strategic role in this evolving transport network.

Caspian Sea Ports Undergoing Transformation

  1. Baku Port (Azerbaijan): A key hub in the Middle Corridor, undergoing extensive expansion, including the New Baku International Sea Trade Port. Infrastructure projects aim to enhance capacity and connect to the Baku–Tbilisi–Kars Railroad.
  2. Astrakhan Port (Russia): Positioned at the Volga River’s mouth, Astrakhan remains a major Russian outlet to the Caspian. Ongoing expansion plans involve substantial investments to increase capacity and improve infrastructure.
  3. Turkmenbashi Port (Turkmenistan): A significant gateway for Turkmenistan’s trade, the Turkmenbashi International Seaport plays a crucial role in regional routes. Expansion projects aim to boost capacity and strengthen its position in Central Asian trade.
  4. Aktau Port (Kazakhstan): Vital for Kazakhstan’s oil and grain exports, Aktau Port is a key node in the Middle Corridor. Modernization efforts and additional infrastructure projects are underway to accommodate growing demands.
  5. Anzali Port (Iran): Positioned as an alternative to Baku, Anzali Port serves as a potential node in the Middle Corridor and a link to Russia’s Astrakhan. Ongoing expansion includes new quays, cargo berths, and grain silos.

Caspian Sea’s Role In Russia’s “Pivot To Asia”

Russia sees the Caspian Sea as a vital link to Iran and the Persian Gulf, aligning with its broader “pivot to Asia.” The maritime distribution and logistics hub in the Caspian are expected to spur growth in shipbuilding and maintenance.

Geopolitical Dynamics

The geopolitical landscape in the Caspian Sea region is evolving, challenging Russia’s historical dominance. China’s increasing influence, Russia’s changing soft power, and Iran’s strategic positioning contribute to the Caspian Sea’s emergence as a major trade and transport hub.

Western Adaptation And Geopolitical Considerations

While benefiting from projects like the Middle Corridor, the West, particularly the US, faces the challenge of adapting to geopolitical shifts in the region. The rise of the Caspian Sea as a trade hub prompts discussions about whether the West will prioritize Central Asia in its strategic rivalry with China and its approach to isolating Russia.

The Caspian Sea undergoes a transformation, with key ports playing pivotal roles in reshaping trade routes and geopolitical dynamics. The West grapples with the need to adapt to these tectonic changes in the region.

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Source: Ship technology

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