China invests $84B in SCO countries as Xi pushes against “Cold War” attitudes

Chinese President Xi Jinping called for strengthened artificial intelligence cooperation among Shanghai Cooperation Organization (SCO) members while rejecting “Cold War mentality” at the largest SCO summit to date in Tianjin. The gathering, featuring over 20 foreign leaders including Russian President Vladimir Putin and Indian Prime Minister Narendra Modi, represents China’s broader effort to position itself as a global peacemaker amid ongoing tensions with the United States and various international conflicts.

Key financial commitments: Xi announced that China has invested $84 billion in other SCO countries and pledged support for 10,000 students to participate in Beijing’s “Luban” vocational education program.

The diplomatic landscape: The summit serves as a platform for China to strengthen relationships across multiple fronts while countering U.S. influence.
• Xi met with at least 10 visiting leaders over the weekend, including Turkey’s President Recep Tayyip Erdogan and Cambodia’s Prime Minister Hun Manet.
• On Saturday, he met with Modi, with both sides affirming the importance of being partners rather than rivals.
• Putin is scheduled to stay in China for a military parade in Beijing commemorating 80 years since the end of World War II.

What they’re saying: The India-China détente carries significant strategic implications for both countries and global dynamics.
• “A stable relationship and cooperation between India and China and their 2.8 billion peoples on the basis of mutual respect, mutual interest and mutual sensitivity are necessary for the growth and development of the two countries,” India’s Ministry of Foreign Affairs stated.
• “The improvement of relations with India is a big deal. It allows India to access highly critical intellectual property that it needs if it is to industrialize and boost manufacturing,” said Marko Papic, chief strategist at GeoMacro Strategy BCA Access.

China’s peacemaking ambitions: Analysts suggest China could leverage its relationships to broker international conflicts and strengthen multipolarity.
• Henry Huiyao Wang from the Center for China and Globalization, a Beijing-based think tank, noted that China has taken “initiative” for economic collaboration and peace efforts.
• “China could take advantage of its good relations with Russia to help [broker] the deal for the Russian war in Ukraine,” Wang said, adding that SCO members could act as security guarantors.
• “[U.S.] President Trump is trying to make a lot of peace, but I think with the help of China, we could do the same too,” Wang added.

The bigger picture: The summit positions China to challenge U.S. global leadership while building a coalition of nations aligned with its vision of multipolarity.
• “Over the long term, the U.S. is losing the propaganda battle to paint China as the trouble-maker-in-chief. And that only further ossifies multipolarity,” Papic explained.
• The two-day summit is expected to conclude with a joint statement, followed by a press conference from China’s top diplomat Wang Yi.