China’s Port Investments In Sri Lanka Reflect Competition With India In The Indian Ocean

Located at the crossroads of global shipping lanes, Sri Lanka has become a significant recipient of Chinese economic and military influence in the Indian Ocean Region (IOR). For its part, Sri Lanka has largely welcomed China as a major investor and strategic partner in the past decade. China surpassed India to become Sri Lanka’s largest source of foreign direct investment (FDI) in 2011 (Gateway House, December 1, 2016). Additionally, China is Sri Lanka’s second largest source of trade imports and arms sales after India (SIPRI, accessed April 27; WITS, accessed April 27). In return, Sri Lanka has been a critical partner in China’s expansive foreign policy and infrastructure-focused Belt and Road Initiative (BRI), although the relationship has been balanced by local tensions over Chinese influence. Read More…