China's Statecraft In South Asia:From Resources To Power

China, which was once a legendary civilization, is gradually approaching to its previous grandiose through the increase of power and influence in the contemporary world politics. Having been a backward nation for many years after its revolution in 1949, China has gained wider attention in the international arena after its opening up in 1978 because of its rapid increase in its economy and political status. China's rise to a powerful nation happened within a limited time span of three decades. Because no previous power has risen to this status within such a short period of time, China's rise raise concern in the international system. Analysts, policy makers, political commentators and the media has different perceptions to its rise and international behavior. For some, China is a different power than the others who rose to this status in the past. For the others, China is no different from the other powers, therefore,the world will face similar hegemonic conflict. Thus, its act and behavior is widely analyzed and commented.According to political analysts and observers China has been spreading its sphere of influence in every nook and corner. Most importantly, it is observed that China is more assertive about its place and relations with the outside world during the past decade. China has been implementing different statecraft policies in different part of the world. Its policy towards Africa, Central Asia or Southeast Asia is different from one another. However, there is also one commonality. That is China has been using its resources and transforming those resources into influence tools in order to gain power in these regions.In this backdrop, this thesis aims at analyzing China's statecraft in South Asia. It is noticed that,despite sharing a common border with five of the South Asian countries, Beijing's interaction across Himalaya region was minimal to that of its other immediate neighbourhoods: Central Asia and Southeast Asia. However, there seemed to be an increase in China's footprints in the South Asian region since the beginning of this new century. According to China observers, it is the rising importance of the South Asian region that has caused China's new-found interest in the South Asian countries. While some relates this sudden increase with China's accession into the World Trade Organization, there are others who relates China's increasing presence with the growing issue of terrorism. It is further been explained that China's interest in the South Asian region is in parallel with the US' pivot to Asia policy.Amidst many assumptions, this thesis attempts to understand the reasons behind China's increasing presence in the South Asian region, what are China's interests in South Asia and how China is realizing those interests. In order to do this, the thesis use Bangladesh, India, Pakistan, Nepal and Sri Lanka as its cases. Accordingly, the thesis explains that China has five main interests in the South Asian region. South Asia is important for China to ensure energy security,maintain security in the sea lanes of communication, maintain peace and stability at home and abroad, to realize economic development and to guarantee support for anti-hegemonism. While China's energy is transported via sea lanes of communication in the Indian Ocean, South Asia also plays an important role in Beijing's new goal of diversifying supply routes. Most importantly, South Asia is a promising market for Chinese exports,labour market for its manufacturing industry, and an important investment destination. China also sees the importance in spreading its influence in South Asia for it has become an interest for the US. If China to avoid possible influence and meddling of the US, if it comes close to China through its western border, Beijing believes that it should enhance its presence in the region before Washington does. For that, China is using different statecraft strategies.China's statecraft strategies in these countries will be analyzed using K.J. Holsti's definition and categorization of statecraft. Accordingly, it has been identified that China is using economic statecraft,military statecraft, diplomacy and propaganda. While it is a fact that China is approaching South Asian countries mostly via bilateral interactions rather than addressing South Asia as a region, it will be shown that there are similarities in the techniques used in every country. Economic statecraft techniques are identified to be most successful. China is using merchandise trade, outward direct investments and development aid to persuade the countries in the region to realize its interests. The use of military statecraft techniques is different for each country. It is been identified that the commonly used techniques are arms trade and joint military exercises. Diplomatic communication and conference diplomacy are identified as the techniques of diplomacy, while propaganda is using common themes that has been used all over the world. It is also identified that diplomacy and propaganda are closely related as statecraft tools.Once it is done, the thesis will move towards understanding China's level of power in the region.Robert Dahl's power analysis framework will be used to understand the nature of power China has and the techniques or instruments of influence Beijing is using in this region. The thesis will expose that despite political mistrusts,disputes and economic competition, India has not been able to get away from Chinese allure when it comes to economic relations. In terms of other aspects of statecraft, China has not been successful in using its charm in India the same way it does with other South Asian countries.As a result, compared with other countries, China has not been able to gain power in India. Yet, there is visible power in all the other South Asian countries. The level in the scope, strength and extent are different from one country to another. The thesis also exposes that China's power base is coming from the fact that the small South Asian countries are pursuing China as an economic support, security provider and an unwavering friend. China's success in providing support for the small South Asian countries when they were ignored or left out by the others have strengthened the mutual trust. Finally,the thesis identifies two major forms of power China - relational power and structural power in South Asia. Relational power is also associated with bargaining power. China's bargaining power in South Asia is both situational and relational. It has power in the areas related to economy, yet, there is no proof that China has adequate power to influence small South Asian countries in political aspects. It is also to be noted that India's bargaining power in South Asia, with the exception of Pakistan, is relatively higher than that of China. In terms of structural power, China has managed to influence in finance and production aspects in South Asia. It is increasingly dominating in trade and, energy and transport infrastructure development.After understanding the power relationship, the thesis will with explaining results on the research question and hypothesis, and will make some suggestions for both China and South Asian countries. It will explain that the thesis has succeeded in providing answers to the primary research question. China's new-found interest is a result of Beijing's new understanding of the importance of South Asia for its core national interests. In terms of hypothesis, the thesis has proved both hypothesis to be correct.Finally, in providing some suggestions for China, the thesis will recommend continuing its relationship in a positive light without bringing the fear of hegemonic power for the small South Asian countries.On the other hand, the thesis will propose the South Asian countries not to give too much of power to China, and avoid letting China encroaching its structures. If not, the thesis explain that the South Asian countries will experience Chinese hegemonic power in the region.