China Finally Opens Consulate In Iran’s Persian Gulf Port
Despite a recent controversy about China siding with the United Arab Emirates against Iran, Beijing’s Consulate General officially opened in Bandar Abbas, a key port city.
Despite a recent controversy about China siding with the United Arab Emirates against Iran, Beijing’s Consulate General officially opened in Bandar Abbas, a key port city.
In his address at the official opening ceremony of the consulate, Chinese Ambassador to Iran Chang Hua hailed the move as a fresh "landmark moment in China-Iran relations," adding that Beijing considers ties with the Islamic Republic “strategic.”
However, earlier this month during a visit to Saudi Arabia by Chinese President XI Jinping, China had signed off on a joint statement with the Gulf Cooperation Council, where a UAE claim on three Iranian islands were mentioned. This led to an avalanche of criticism against the Iranian regime, which has been boasting about its strategic ties with Beijing.
Noting that China supports and respects Iran’s national sovereignty and territorial integrity, Chang said “China decisively supports Iran against foreign intervention and for preserving its national sovereignty, territorial integrity, and national dignity.”
He highlighted that China sees ties with Iran from a strategic point of view, reaffirming Beijing’s determination to expand its partnership with Iran based on bilateral agreements as well as the 25-year comprehensive cooperation agreement between the two countries.
The opening of the consulate is described as an opportunity to actively implement the 25-year deal and China’s ambitious Belt and Road Initiative, a global infrastructure development strategy to invest in nearly 150 countries and international organizations. The BRI, originally named, “One Belt, One Road,” is an international development strategy as China looks to expand its influence worldwide by improving trade routes. As of December 2021, China had expanded its’ BRI—which includes infrastructure developments across land corridors, in ports, across maritime routes, as well as over-land links (bridges, tunnels, etc.)— into 142 countries. Developing diplomatic relations with Iran is crucial to China’s ability to implement the BRI.
Adel Shahrzad, the deputy governor of Hormozgan province where the port is located, said during his speech that Iran's southern provinces look forward to increasing cooperation with China, adding that the opening of the consulate general will play an important role in developing bilateral relations and enhancing exchanges in various fields.
The area of responsibility of China's Consulate General in Bandar Abbas includes eight Iranian provinces in the south, namely Khuzestan province, Chaharmahal and Bakhtiari, Kohgiluyeh and Boyer-Ahmad, Fars, Bushehr, Kerman, Hormozgan, and Sistan-Baluchestan province.
Reports of the imminent inauguration of the consulate were circulating in media since at least a year ago but its final move can be seen as a sign of détente following the controversial joint statement by China and the GCC about three Iranian islands in the Persian Gulf.
Iran’s Council of Ministers approved the opening of a Chinese consulate in Bandar-Abbas, Iran’s most significant trading and military port on December 29th, 2021—China’s first consulate in Iran. While at face value this may seem like a benign partnership between two developing countries, it might have far-reaching significance for Iran and the region.
The new Chinese consulate in Bandar-Abbas will share its home with The Islamic Revolutionary Guard Corps’ main naval base. Iran’s invitation of an emerging global superpower into their backyard could pose a threat to Iran, should regional disputes one day arise. China has already “attempted to claim more internal waters, territorial sea, exclusive economic zone, and continental shelf than it is entitled under international law,” the spokesman of the US Navy’s Seventh Fleet said in 2019.
Although bilateral trade has declined in the past two years, China is still Iran’s top trading partner, buying illicit Iranian crude oil in the face of US sanctions. However, out of the two, China alone has enjoyed a favorable trade partnership, while Iran has been isolated internationally by essentially only being able to trade with China, forcing Iran to trade its oil reserves at much lower prices than it would otherwise like, although no official figures are available.
Florida Republican Senator Marco Rubio told Iran International's Arash Aalaei that “the regime in Tehran feels threatened by peaceful protesters...I think what's the most interesting to see is some clerical dissension.”
Iranians have begun to express the belief that their society should be more open, more transparent, and people have a right to express themselves, he said.
Referring to American lawmakers taking political sponsorship of Iranian political prisoners like their German and Austrian counterparts, Rubio welcomed the idea calling it “innovative.”
South Dakota Republican Senator Mike Rounds told us that the extent of the crackdown on peaceful protests in Iran is "unfortunate, but when you have this type of regime which clearly doesn't respect life and who wants to maintain power at any cost you have this type of an outcome. It's unfortunate, and the people of Iran deserve better."
Echoing similar remarks, Texas Republican John Cornyn also expressed concern over the crackdowns on peaceful protesters in Iran, saying, “It's not a free country, it's a theocracy. We have been doing as much as we can to support Iranian people against this sort of intolerable backlash."
Louisiana’s Republican Senator Bill Cassidy censured the Iranian regime for “killing its own people,” Saying, “We could start with the young woman who was abused in prison to the point where she died. And now we have sights of them shooting with high-power weapons.”
“The regime has lost its legitimacy and it's only being held in force by that oppression. And there's a little bit of an irony: the regime that took the place after a revolution in which the Shah was felt to be no longer a representative of his people, now no longer represents the people,” he added.
He also criticized President Joe Biden for his remarks earlier in the day about not announcing the death of the 2015 nuclear deal.
In a video clip, posted in social media Tuesday, Biden apparently at a campaign walk-about during November’s Congressional elections is asked why he does announce the 2015 nuclear agreement, the JCPOA (Joint Comprehensive Plan of Action) dead, the president clearly replies: “It is dead, but we’re not going to announce it.”
Cassidy said that “Iran has been assassinating people in Europe... So I think there needs to be a hard line not against the Iranian people who are great and incredible people who go back to the Persians and the Medes, but against a government which has ceased to represent those people, and instead has become a force of repression.”
Several videos have surfaced on social media showing people quarreling with bank clerks or officials who say they do not have enough cash for withdrawals.
Having lost their trust on the Islamic Republic’s embattled currency after a steep fall with no prospect of bouncing back, many Iranians want to remove their money from banks to exchange them for foreign currencies or gold.
Iranian political activist, lawyer and Nobel Peace Prize laureate Shirin Ebadi urged people on Sunday to join the campaign of withdrawing money from banks, noting that state-controlled banks in Iran are not institutions to serve the people and only act as the economic arm of the “killing Republic” referring to the clerical regime. "Now it has been proven to everyone that there is no will in the regime to accept the demands of the people," she said, adding that the campaign to shun banks in daily transactions can deal a "fundamental blow" to the government.
Criticizing the government’s economic policies, Iran's former central banker, Abdolnaser Hemmati, said Tuesday that the administration of President Ebrahim Raisi was so sure about the revival of the 2015 nuclear deal that it moved to stop the indirect subsidy for essential goods, triggering more inflation. He said that now that the deal seems doomed to fail and the currency has lost its value dramatically, the authorities are looking for ways to remedy the dire situation.
The government stopped offering cheap dollars to importers of essential goods earlier this year to save around $15 billion annually. The move immediately doubled and tripled food prices and led to shortages of medicines, medical equipment and animal feed.
Hemmati, who was a presidential candidate in the 2021 election and held heated debates with Raisi, addressed him, saying that “if you knew the problems and had solutions for them, why don’t you do anything? And if you just want to blame your predecessors, why did you even bother to run for office?”
Unfortunately for Raisi, the famous anecdote about an outgoing manager imparting his wisdom to the new one in the form of three sealed envelopes would not work here. The outgoing manager told the new one that the first time things go wrong, open the first letter. Open the second letter for the second incident and open the third letter for the third incident. “Blame Your Predecessor!” was written in the first letter, which Raisi has been doing since the day he took office. “Blame Your Employees!”, read the second one, which is a strategy exhausted by the current administration. The third letter instructed the manager to “Prepare three Letters!”, something Raisi has not done yet because he has no scapegoat ready yet as the next election is in more than two years.
In addition to critics of the government, a 25-percent fall in the value of Iran’s currency in three months and a more than 50-percent drop in 15 months has led to sharp criticism even among conservatives. Conservative politician Mansoor Haqiqatpur has accused Raisi of sharply reducing the value of assets held by rich and ordinary Iranians.
“Less than 18 months ago, when Raisi took office as the President of the Islamic Republic one US dollar was equal to 230,000 rials in Tehran markets. Now the value of every US dollar is over 380,000 rials. The devaluating Iranian currency is now as cheap as straw. This means Iranians have lost half of their assets during this period." In fact, since Haqiqatpur spoke the rial has dropped further and on Tuesday it was close to 400,000 against the US dollar.
Ehsan Khandozi, the government spokesman for economic affairs who doubles as the minister of economic and financial affairs, said on Tuesday that Supreme Leader Ali Khamenei has agreed to dedicate 11 trillion rials (or about $31.4 million) from the National Development Fund to the government’s treasury to be used for its unfinished projects. He added Ali Khamenei has also given the go-ahead to bartering oil in exchange for railroad and transit projects across the country.