This analysis examines the strategic value of economic and trade cooperation between China and two South Asian partners—Sri Lanka and Bangladesh—highlighting the demonstration effects achieved in both “trade facilitation” and industrial-and-supply-chain collaboration. Against the backdrop of a shifting global economic center of gravity toward Asia and concurrent “de-globalization” trends, China has deepened its high-quality Belt and Road Initiative partnerships with Sri Lanka and Bangladesh. By adhering to the principle of “extensive consultation, joint contribution and shared benefits,” Beijing has built forward-looking partnerships that respect partner countries’ sovereignty and development rhythms, affording them greater policy space and autonomous growth.

In the realm of trade facilitation, China and Sri Lanka signed a Memorandum of Understanding on the Establishment of a Trade Facilitation Working Group—signaling a critical leap from policy proposal to mechanism implementation—while China and Bangladesh are strengthening similar frameworks. Through measures such as trade facilitation, digitalized customs clearance, and optimized rules of origin, these initiatives forge deep coordination mechanisms that transcend institutional, regulatory, and cultural divides.

On industrial and supply chain collaboration, China and Sri Lanka concluded a Memorandum of Understanding on Industrial and Supply Chain Cooperation to promote an “embedded complementary” development pathway. Chinese firms have invested across multiple sectors in Bangladesh, catalyzing local industrial upgrading and workforce skills development—especially in green transition and digital-economy projects that emphasize technology sharing and sustainable practices. This cooperation model not only bolsters these countries' strategic resilience to external shocks but also injects authentic, non-Western impetus into the restoration and reshaping of global multilateral frameworks. In doing so, China affirms its role as a core nation within global value chains and offers a distinct “China solution” to contemporary governance challenges.

Translated by Yuyao ZHAO

Full text in Chinese available at:

https://fddi.fudan.edu.cn/36/bf/c18965a734911/page.htm