China’s Economic Footprint in the South Caucasus: Geopolitical Realities and Strategic Engagement
in: Rising Powers in an Evolving Geopolitical Climate, IGI Global, pp.189-211, 2026
- Publication Type: Book Chapter / Chapter Research Book
- Publication Date: 2026
- Doi Number: 10.4018/979-8-3373-5408-8.ch007
- Publisher: IGI Global
- Page Numbers: pp.189-211
- Azerbaijan State University of Economics (UNEC) Affiliated: Yes
Abstract
The South Caucasus region is experiencing a new geopolitical actor in the region, namely China. China is using its massive financial resources to build political relationships and provide infrastructure- based development opportunities to small states around the world. This chapter not only systematically assesses the growing Chinese presence in the South Caucasus through direct and indirect geopolitical linkages but also provides critical assessments and forecasts for the near future. The main conclusion of the chapter is that the region may be small, but the potential for major economic and geopolitical events under China’s leadership is enormous. However, despite their geographical proximity, the countries in the region have very different economic futures, limited institutional flexibility and uncertain socioeconomic trends. Although China is a highly experienced geopolitical actor, local circumstances should be considered more carefully and strategic engagement with other geopolitical actors should be balanced.