Malta’s Deal with China: Trading Ideals for Favours
In the heart of Valletta, at the bustling St. George’s Square, a familiar scene unfolds. Tourists snap photos, locals chat over coffee, and nearby, a group of protesters hold placards, their chants echoing off the historic buildings. But the placards aren’t about the usual topics – they’re about a deal. A deal that’s seen Malta trade some of its ideals for favours.
The Deal: A New Port in the Mediterranean
In 2016, Malta’s government announced a €1 billion deal with Chinese company, Shanghai International Port Group (SIPG), to develop and operate a new container terminal at the Grand Harbour. The project, part of China’s Belt and Road Initiative, promised jobs, investment, and a boost to Malta’s economy. But it also promised something else – a shift in Malta’s geopolitical scene.
Malta, a member of the EU and NATO, has traditionally aligned itself with the West. But this deal, critics argue, signals a pivot towards the East. And with it, a trade-off of some of Malta’s ideals.
The Trade-Off: Ideals on the Table
Malta’s deal with China comes at a time when the EU is increasingly wary of Beijing’s influence. The EU has accused China of ‘economic coercion’ and ‘distorted competition’. Yet, Malta, an EU member, is welcoming China with open arms. Critics argue that Malta is prioritising economic gains over EU unity and shared values.
the deal has raised concerns about Malta’s sovereignty. The agreement gives SIPG a 30-year lease on the port, with an option to renew. This, some argue, is a long time for a foreign entity to have control over a strategic asset in Malta’s territorial waters.
The Favours: What Malta Stands to Gain
Malta’s government defends the deal, arguing that it’s about economic pragmatism, not political alignment. The deal, they say, will create jobs, stimulate growth, and modernise Malta’s infrastructure. It’s also seen as a way for Malta to diversify its trade partnerships, reducing its reliance on traditional EU markets.
But there are other favours at play too. China, in exchange for access to the Mediterranean, has offered Malta political support. It’s backed Malta’s bid for a non-permanent seat on the UN Security Council, and it’s supported Malta’s stance on the South China Sea dispute.
But at what cost? That’s the question many Maltese are asking. They’re watching as their government trades ideals for favours, and wondering what the future holds for their small island nation, caught in the crosshairs of global power plays.
