PM Modi Donald Trump Summit: This week of Prime Minister Narendra Modi, the effect of America era is going to affect the whole world. The conversation between President Donald Trump and PM Modi is likely to be focused on fighting mutual defense cooperation, business relations and China’s growing economic and military impact. One of the major agenda of negotiations will be the Indo-Madhya Pradesh East-Europe Economic Corridor (IMEC), a multinational infrastructure initiative, which aims to prepare a choice of Chinese Belt and Road Initiative (BRI). An important role in this ambitious project is also going to be of Gautam Adani’s Adani Group. Adani Group has rapidly expanded the major infrastructure sectors from ports and power plants to defense technology.

Why IMEC required

India-Central East-Europe Economic Corridor (IMEC) is a huge infrastructure project designed to connect India to Europe through the Middle East. China’s BRI is criticized because these schemes have been made to implicate the countries involved in debt. At the same time, IMEC is seen as a market-operated transparent initiative, which ensures that the countries involved maintain their infrastructure control.

Meanwhile, the $ 400 billion China-Iran broad strategic partnership has raised concerns among the countries of the world. This partnership involves widespread cooperation in energy, trade and military sectors, which will potentially provide a strong base to China in the Middle East. This scheme of China-Iran has also forced India to intensify the effort to build its alternative supply chains and trade routes.

What is IMEC

One of the main features of IMEC is a 4,500 km trade route connecting India, United Arab Emirates, Saudi Arabia, Israel and Europe. This corridor will significantly cut transit time compared to traditional sea routes. New ports, rail networks and energy projects will also benefit the partner countries.

Currently, significant marine chokpoints such as Malacca Strait, Hormuz Strait and Bab al-Mandab have come into rapid sugar effects. According to the report of the Center for International Maritime Security, China is indirectly supporting Yemen’s rebels by purchasing large quantities of Iranian oil. Iran’s Islamic Revolutionary Guard Corps (IRGC) supplies weapons to Huti rebels and some of them are allegedly belonging to China.

The role of Adani Group in IMEC

Adani Group has widespread interest in energy, infrastructure and logistics. The group’s strategic investment is closely associated with India’s foreign policy objectives and directly challenges the dominance of China’s infrastructure. Adani Group has strengthened IMEC by acquiring a 70 percent stake in the Haifa port of Israel. This step not only strengthens India-Israel relations, but also allows India to establish a foot in the Mediterranean Sea.

The annual turnover of Israel-India defense trade is more than $ 10 billion. Relations are getting stronger with private sector participation. Adani group is also actively acquiring strategic ports in Indo-Pacific. Unlike China’s state-controlled model, the Adani group serves as an independent private unit.

Apart from ports, Adani group is also expanding in areas such as military drone production, semiconductus and clean energy, which are very important for India’s economic future. The Adani Group announced an investment of $ 10 billion in the US energy infrastructure in November last year, making 15,000 jobs in the United States.

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