China's Interests in the Arctic: Opportunities & Challenges

The geopolitical landscape of the Arctic today is a significant departure from the great power politics of the Cold War. Apart from traditional Arctic states, far more international organizations and non-Arctic states are showing an increased interest in the Arctic. This report explores the growing interests of China in the Arctic and examines the motivations behind its involvement in the region. China’s interests range from participating in Arctic governance, promoting bilateral diplomacy in the Arctic area, accessing potential resources, exploiting shipping opportunities and undertaking polar research. Thus far, China’s involvement in the Arctic has been fairly low-profile. Since obtaining observer status on the Arctic Council in 2013, China has modestly bolstered its bilateral relations with Arctic states and participated in the development of resources in the region.

The State Council Information Office of China published a white paper titled “China’s Arctic Policy” on January 26, 2018. China’s policy goals in the Arctic are shaped by four key principles—to understand, protect, develop and participate in the governance of the Arctic. In order to realize these policy goals, the white paper emphasizes the need for “respect, cooperation, win-win result and sustainability.” These policy goals and principles are reflected in the respective areas that China has shown interest in, which are analyzed in this report.

China’s Arctic white paper is the result of policymakers’ careful deliberation. It also reflects the longstanding expectations of researchers, countries and international organizations involved in Arctic governance. The recent expansion of China’s role has invited international suspicion of its intentions in the Arctic, especially from council member states. China’s new white paper spells out its intentions for the Arctic and should relieve some concerns over its transparency and commitment to international law.

China’s Arctic strategy is only just beginning to unfold and still faces many challenges, including the Arctic states’ disputes over territorial sovereignty, vigilance among certain countries, the natural environment in the Arctic region and China’s technological constraints. Nevertheless, with China’s newly released Arctic policy white paper, China has emphasized a key theme—cooperation.