There are no winners in war - and yet one side always loses less than the other. Sometimes, however, the biggest "winner" turns out to be the one not directly involved.
While a third of the US fleet is busy with the conflict with Iran, and the US is losing both ammunition and international respect, China is gaining ground on the geopolitical and economic stage.
Beyond the spotlight, however, according to some publications, China has provided Iran with satellite images that can be used in attacks on US military bases, as well as dual-use components that can be used in the production of missiles and drones, writes The National.
So similar to its position in the war between Russia and Ukraine, China is simultaneously reaping economic benefits from the conflict, becoming an important partner for one of the countries, contributing to the continuation of hostilities, and at the same time seeking to limit the scale of the escalation, maintaining its public image as a neutral country.
At the same time, however, it does not want the war to escalate too much for two reasons. The first, of course, is the restrictions and threats to the passage of the Strait of Hormuz, which makes it difficult to transport goods, especially fuel.
A return to a near-total blockade of energy supplies would seriously affect its trading partners in Asia and Europe, especially Japan, South Korea and the ASEAN countries. For a country whose economy depends heavily on exports, such a scenario increases the risk of a global recession.
Also important to China is the Bab al-Mandeb Strait, which is a key route for Chinese products to Europe, but its security has recently been threatened by the Iran-backed Houthis in Yemen.
The second reason is the country's investments in the region, as well as many Chinese living in the UAE, Saudi Arabia, Qatar, Oman and Iraq. According to some analysts, it is even trying to limit the damage that Iran is causing to Saudi infrastructure, aiming to preserve its own assets.
It is also important to note the greater importance of the Gulf Cooperation Council countries for China as energy suppliers, markets and economic partners, compared to Iran. It is for this reason that the government is trying to maintain its relations with both sides of the conflict.
Unlike some of its trading partners, China is relatively well prepared for an energy crisis. The country has large coal resources and is rapidly expanding renewable and nuclear energy, which reduces the dependence of the electricity sector on gas.
In addition to them, however, China has also accumulated significant oil reserves, which it has been using since the beginning of the war. Meanwhile, local manufacturers of electric cars, solar panels, wind turbines and batteries are benefiting from the global shift to clean energy.
What are its relations with the US?
On August 24, US Treasury Secretary Scott Besant announced new, tougher economic measures against Iran. However, they are not directly aimed at China, which remains Tehran's main trading partner and practically the only major buyer of Iranian oil.
Although previous US sanctions have affected some Chinese refineries and oil terminals, Beijing has responded with its own measures against companies that comply with the restrictions.
Thus, China has significant opportunities to reduce the effect of US sanctions policy. Among its most powerful tools is control over a large part of the world's supply of rare earth elements, which are becoming increasingly important for the industry.
This gives China additional leverage to influence not only sanctions against Iran, but also US measures against Russia, experts say.
Despite its significant advantages, the Chinese economy faces a number of serious challenges in the long term. Among them are heavy dependence on oil imports, high debt levels, problems in the real estate market and an aging population. An additional risk is the high dependence on exports in the face of growing distrust of China and the introduction of restrictions and tariffs by a number of world markets, including the EU.
Source: money.bg