Italy Moves To Withdraw From China's 'Belt and Road Initiative'

The Italian government reportedly told China it is withdrawing from the Asian nation's Belt and Road Initiative (BRI), ending G7 involvement in Beijing's infrastructure program.

Rome delivered a diplomatic note to Beijing and it was delivered three days ago on behalf of Prime Minister Giorgia Meloni. The document explains that Italy would not renew a memorandum of participation in China's flagship program.

Italy To Withdraw From China's BRI Program

Italy Moves To Withdraw From China's 'Belt and Road Initiative'

(Photo : Michele Tantussi/Getty Images)
Italy is reportedly withdrawing from China's Belt and Road Initiative (BRI)after Rome sent a letter to Beijing, ending G7 involvement in the program.

The 2019 memorandum that authorized Italy's BRI participation expires in March 2024. If Rome had not provided the written warning of a decision to withdraw from the program three months ahead of the expiration, it would have automatically renewed for another five years.

The news about the decision was first reported by the Italian newspaper Corriere della Sera and multiple Western news outlets later relayed the development. The letter also said Italy wants to "maintain a strategic friendship with China."

Now, Italian Foreign Minister Antonio Tajani is set to appear to confirm the news during an event in Rome on Wednesday. He said that his country's participation "has not produced the desired effects" and is no longer "a priority." According to the South China Morning Post, the official added that non-participants have had "better results" than Italy.

Italy's withdrawal from China's program has been the subject of great speculation in the past few months. Far-right Italian leader Meloni vowed to leave the initiative when she campaigned for office. She described signing up with the program as "a mistake." However, she has tried to handle the matter delicately.

The European country is one of the 148 nations that signed a memorandum of understanding to participate in Beijing's infrastructure program. It has been one of Chinese President Xi Jinping's signature initiatives.

Italy was the only one from the Group of 7 economically advanced nations to sign onto the program. Furthermore, Rome's participation in the initiative has long been a point of contention with Western allies, particularly the United States.

China-Italy Relations

When Italy signed the memorandum in March 2019, then-Prime Minister Giuseppe Conte said it was time for a more effective relationship between the two nations. Xi was treated like royalty when he visited the European country as the two sides struck deals in several areas, according to The Guardian.

China's BRI program envisions rebuilding the old Silk Road to connect the Asian nation with the rest of the region, Europe, and beyond. This would involve vast amounts of infrastructure spending on roads and shipping routes. However, critics saw the program as a means for Beijing to spread its geopolitical and economic influence.

The development comes as Italian exports to China totaled $17.7 billion last year, rising from $14 billion in 2019. On the other hand, Chinese exports to Italy rose to $61.8 billion from $34 billion over the same period.

Rome's primary eurozone trading partners, France and Germany, exported significantly more to China last year. Reuters said this despite the two nations not being part of China's BRI program.