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A STRATEGIC VISION FOR IN ASIA 2018-2022

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A STRATEGIC VISION FOR SPAIN IN ASIA 2018-2022 GOBIERNO MINISTERIO OFICINA DE DE ESPAÑA DE ASUNTOS EXTERIORES INFORMACIÓN Y DE COOPERACIÓN DIPLOMÁTICA

February 2018

NIPO line: 501-18-013-3 / NIPO paper: 501-18-012-8 Legal registry: M-9853-2018

Design and imprint: Dirección General de Comunicación e Información Diplomática

Official imprints general catalogue of the Spanish government: https:// publicacionesoficiales.boe.es

This leaflet has been printed on chorine free recycled paper according to environmental criteria for public contracts. www.exteriores.gob.es 5 1 KEY MESSAGES

1 A strong presence in Asia is a continual goal due to the demographic importance of the continent, its economic dynamism and its position as a new global centre of power.

2 Spain has reduced its disadvantage in terms of its presence in Asia, but still needs a carefully selected set of goals and greater resources, both in Spain and in the region, to seize the opportunities it offers. 6

4 Being part of the is an advantage in terms of influence in Asia; as a result, Spain is a more active participant in the CFSP towards Asia, based on fundamentally shared strategic interests.

3 Economic opportunities in Asia could contribute to a shift in Spain’s production model towards segments with more added value.

6 In this time of re- examination of the globalization model and of a rise in neo-protectionist movements, Spain and the 5 EU have a great opportunity Asia is the arena in which the new global “great game” will play to lead constructive out, and where the coming century’s balance of power will be globalization in Asia; an determined. The EU and Spain must be proactive in this arena, open model, but one that to avoid being marginalized in the new world order that is being establishes a playing field shaped. that benefits everyone. 7

7 Asia is a world-leading hub for science, technology and innovation whose global influence will grow in the coming years. Spain must establish an ever closer partnership with Asia’s key science and innovation hubs, to improve how we exchange and pool our knowledge.

8 The conflicts and tension that may arise as a result of Asia’s ascendancy could pose a threat to the global economy; we must therefore closely monitor these issues and it would be advisable to make active contributions to the EU’s positions.

9 Human rights, the rule of law, and corporate social responsibility must be incorporated into bilateral relations with Asian countries in a more systematic manner, as these relationships mature and expand.

10 Civil society networks, interest in Spain’s language and culture, and Spain’s appeal to tourists must all be leveraged and promoted as key tools to raise the profile of our country among the emerging Asian middle classes. 8 2 BACKGROUND

This report is the result of critical To prepare the report, a wide-ran- analysis performed by the Ministry ging study has been performed of the of Foreign Affairs and Cooperation factors that may positively or nega- and consultations with the Ministry tively affect attainment of the goal, of the Presidency and for Territo- as regards both Spain (strengths rial Administrations, the Ministry and weaknesses) and the context in of Defence, the Ministry of Energy, which our policy towards Asia is de- Tourism and the Digital Agenda, the veloped (opportunities and threats). Ministry of Education, Culture and Sport, the Ministry of Employment When formulating the recommenda- and Social Security, and the Ministry tions, a moderate level of specificity of the Economy, Industry and Com- has been employed, as is appropriate petitiveness. The aim of this process to the scope of this exercise. was to propose measures that favour Spain’s presence in Asia in the 2018- 2022 period, as part of the 2014 Fore- ign Action Strategy. 9 3 ANALYSIS OF THE FACTORS THAT DETERMINE SPAIN’S INFLUENCE

3.1. OBJECTIVE to produce 43% in 2020 and 52% in security architecture that is still taking CONDITIONS IN ASIA 2050 (figures 1 and 2). shape, and which is not sufficient to avert these conflicts and this tension, Growth and conflict A large-scale “middle-class revolu- which are multifarious and each of tion” is occurring in Asia, affecting which poses different challenges. The Asia is a diverse continent, with a billions of people, whose purchasing reshaping of the global role of many multiplicity of levels of economic power and financial and social capa- Asian powers, sometimes assertively, development, cultural traditions and city are increasing rapidly. It has been together with the unresolved legacy socio-political models. The key fea- calculated (see figure 3), that from of the Cold War, together form an tures of these models are: their con- 2000 to 2025 Asia’s middle class will encumbrance that hangs over the siderable demographic weight, their grow by more than 2.65 billion people, prospects of regional and global stabi- notable economic dynamism, and while the most disadvantaged in the lity. Nationalist discourse as a means their growing geopolitical tension. Po- continent will decline by approxi- of advancing political legitimacy also, pulation growth and the inclusion of mately 2 billion, making the region a paradoxically, offsets the tendency millions of people into production ac- clear protagonist of this major global towards integration that ought to be tivity, consumption and the networks shift. Due to both its immense size and natural in economies such as those in of the world economy are probably the its dynamism, Asia is full of promi- Asia, which are increasingly interde- most striking case of the shift in global se, and no country in the world can pendent. Finally, the rapid growth in power—from the Western world to allow itself to miss the opportunities Asia is having a huge impact on the emerging countries—since the end of it offers, if they intend to play some environment, and one that trans- the 19th century. Asia is a region that kind of role in the course the modern cends the borders of the countries in contains 54% of the global population world takes. question. and 46% of the world’s urban popula- tion; in 2017, it generated approxima- Asia is also a continent of frequent tely 30% of the global GDP, and is set conflict and tension, with a regional 10

REGIONAL % CHANGE, 2015-2050 FORECAST

Africa 108

Oceania 43,9

Latin America & the Caribbean 23,6

North America 21

Asia

GRAPHIC 1 -4,3 Europe The world's population TOTAL POPULATION, BN

2015 7,3

Source: NNUU, The Economist Forecast 2050 9,7

Forecast 2100 11

52%

40%

28% GRAPHIC 2 18% Asia’s share 15% of world GDP, 1960-2050

1960 1980 2010 2030 2050

Source: The Asian Development Bank

CHANGE OF POPULATION (MN) BY GDP PER CAPITA AND REGION (2000 A 2015F)

3.000 Affluent High Middle Class

GRAPHIC 3 2.500 Medium Middle Class Low Middle Class

Forecast growth 2.000 Poor an Low income Total in the middle class 2000-2025 1.500

1.000 1.001 659 Source: BBVA Research 500 165 131 -6 > Medium-high middle classes and 0 affluent segments will increase Developed Africa Latam Emerging from 24% in 2000 to 67% in 2025 in -500 Europe Emerging Countries -1.000

> Emerging Asia is the largest -1.500 contributor to this reshaping of the world's income distribution with a new -2.000 middle class of 2658 min living there Emerging Asia

> The share of the wealthier segments is on the rise in Africa, Latin America and Emerging Europe 11

3.2. SPAIN’S POSITION such as Casa Asia have played a key - Promoting defence diplomacy role in raising awareness domesti- - Development cooperation and hu- The Foreign Action Strategy descri- cally. Furthermore, the commitment manitarian assistance bes Spain as an advanced and plural we have maintained to Afghanistan - Further developing institutions for democracy; an open and diverse eco- through missions to support security public diplomacy (Casa Asia), educa- nomy, which is dependent on foreign and rebuilding have helped to improve tional and cultural diplomacy (Minis- trade for natural resources and energy, our image internationally and expand try of Education, Culture and Sport; with some cutting-edge and globalized beyond our traditional scope in se- ; Spanish Cultural sectors; a plural society, but one that curity and development cooperation. Action), economic diplomacy (regular is ageing, and a powerhouse in culture Lastly, the success of Spanish compa- visits by the High Commissioner for and language. Internationally, we are nies, especially in the infrastructure, Marca España, institutional visits by an active member of the EU and of the alternative energy and defence sectors, the State Secretariat for Trade, and transatlantic community; we have very has cultivated a positive image of our ICEX activities) strong links with Ibero-America and country’s technological and economic - Fostering civil society initiatives a closeness with Africa; and we are potential. (Council Foundations) and business committed to multilateralism as a tool organizations (Confederation of to achieve the major global objectives. Employers and Industries of Spain, 3.3. FOREIGN POLICY AND Spanish Chamber of Commerce) In its effort to strengthen its posi- ACTION TOWARDS ASIA tion in Asia, Spain aims to leverage All of these measures represent pro- its strengths to take a more effective Asia as a foreign policy objective. gress and have put Asia firmly among approach to the region. Our special Resources. Spain’s foreign policy priorities, fee- ties with Ibero-America are genera- ding into the flows and dynamics that ting interest in Asia, as a result of our Over the past fifteen years, during the help to create an increasingly strong trade alliances and the development aforementioned rise of the region, connection between our country and of the Pacific arena; our membership Spain has strived to incorporate Asia. of the EU, as a trading power but also Asia-Pacific into its foreign policy. as a global player, raises our profile To achieve this, we have strengthe- It is important, however, to ack- among our Asian partners; and the fact ned both the formulation of strategic nowledge that Spain still has fewer that we are a mid-sized power with objectives (Asia Plans, the Foreign Ac- resources for its Asian policy than no colonial past, no direct interests in tion Strategy, Comprehensive Market other European countries with a regional conflicts and no individual Development Plans) and the resources similar standing. Asia’s importance agenda in Asia, allows us to present available to achieve these objectives: in the global distribution of power ourselves as a country that is commit- is expanding more rapidly than the ted to peaceful development of the re- - Strengthening reciprocal travel and resources we assign to the region, gion, and one that is able to act freely visits resulting in opportunities being mis- and to adopt balanced positions. - Launching structured dialogue sed and a growing imbalance between - Establishing new economic joint declared goals and the resources Spain already has a positive image in committees available. This situation is further the region, as a result of both our work - Strengthening our presence on the aggravated at present by the general and the objective conditions. Through ground, through six new embassies limits on spending to which the Spa- its successive Asia Plans, Spain has and consulates-general, new counse- nish government has committed. established a positive trend in terms of llors’ offices for specific sectors, and its profile in the continent. Initiatives economic and commercial offices This restriction on resources makes 12

it particularly necessary to cons- greatest presence in the region, HIGH-LEVEL TRAVEL cientiously prioritize our objectives, with more resources and influence AND VISITS, AS and the planning and coordination of and which enjoy better informed AN INDISPENSABLE the actions undertaken by different public opinion about the continent. DRIVER parties to achieve said goals. Further- Spain, which has experience and more, it is essential that we have all key interests in a number of global Our embassies in the region possible foreign policy tools at our affairs, such as the fight against have stressed the importance disposal to raise our profile in Asia, terrorism, maritime safety and se- of maintaining regular, fluid and including strategically focused parlia- curity, controls on migration, urban direct high-level contact with our mentary diplomacy. development and infrastructure, has key Asian partners, to foster our a vocation to play an increasingly ac- bilateral relations in all areas, to Spain in EU policy towards Asia tive role in these areas, when defining resolve problems and to identify the EU’s policies and programmes opportunities. Our key partners EU policy towards Asia has become concerning the region. have had Asia at the heart of increasingly structured in recent their international agendas for years (growing participation in With respect to the economy and many years. This is a trend that political and security forums in Asia- trade, there was a considerable shift Spain has adopted as its own, Pacific, periodic summits, framework in the EU’s trade policy towards Asia when planning activities for our agreements and free trade agree- in 2006, when a number of trade main authorities, given the major ments, strategic and sector-based negotiations began (e.g. South Korea, “ripple” and consolidation effect dialogue, subject-specific strategies, the ASEAN bloc, India, and Japan); that visits have. coordination in the Council/Asia- different degrees of progress have Oceania Working Party), although been made in these negotiations. Countries such as Germany it is restricted by the EU’s limited Spain supports the negotiation of (whose Chancellor Merkel visits capacity to provide military security, deep, comprehensive and ambitious China annually and which organi- which is what a large portion of Asia free trade agreements, to improve our zes institutional government-go- want from the West (obtained prima- companies’ access to and operations vernment meetings), France, the rily from the US). in Asian markets. In negotiations with UK, the Netherlands, Poland and Asian countries, Spain has played a Italy make a great effort to ensu- The EU and its Member States, to- key role in resolving deadlocks and re a regular and positive level of gether with 21 Asian countries, take must continue to be proactive and dialogue in all spheres of gover- part in the biennial Asia–Europe Mee- constructive in this area. nment, with the aim of establis- tings (ASEM). The European Union hing and fuelling meaningful is also part of the ASEAN Regional The EU’s role is also fundamental to cooperation agendas. In recent Forum (ARF), which acts as a platform protecting our investments in Asia, years, Spain has made progress for dialogue on security matters. above all in emerging economies. in this regard, with a good rate Following years of absence, in 2017 Spain must continue to focus on the of visits in both directions and the EU was invited as an observer to investment agreements negotiated by ever-improving structuring of the East Asia Summit, an event which the EU, which will not only open up institutional dialogue. Coordi- was launched in 2005, focusing on new sectors for Spanish investment in nated action from the entire dialogue concerning strategic and Asia, but also consolidate and protect Spanish administration, including security affairs. the status quo from possible legislati- regional and local authorities, is ve reversals. needed to ensure that resources Leadership in the EU’s policies are used efficiently. towards Asia often falls to the Euro- Spain supports unity of action by pean External Action Service (EEAS), the EU in Asia, as the best means of the Commission and the countries promoting our interests, in view of that are most active and have the the region’s numerous opportunities 13

Counter terrorism police checkpoint in the Philippines.

and challenges, in order to achieve Spanish policy on the exportation of for our companies, and fuel the risks tangible, positive results in terms of materiel to Asia must remain subject for maritime security. our political and economic relations to the current stringent criteria and with Asian countries by judiciously control of the Inter-ministerial Spain has recognized experience in deploying EU resources. Regulatory Board on Foreign Trade responding to certain non-conventio- in Defence and Dual-Use Materials nal threats that also affect Asia, such (JIMDDU). as terrorism, radicalization, challen- 3.4. SECURITY ges to maritime security, and natural Asia has become a priority target catastrophes. The potential for conflict in South and for the international jihad, with a East Asia, and the global impact of a progressive rise in the presence of Heightened awareness of our vulne- possible military crisis in the region terrorist groups (including Al Qaeda rability with respect to the security (Korean Peninsula, South China Sea, and DAESH) and of agents of religious situation in Asia could lead Spain’s East China Sea, Taiwan Strait), consti- radicalization in Central, South and civil society agents (companies, think tute a threat for Spain in various ways. South East Asia. We are also seeing a tanks, public opinion) to demand the Spain must think about Asia in terms growing number of foreign fighters of reorientation—in the medium term— of security and can make contribu- Asian origin. This phenomenon could of our foreign policy priorities and tions in this area. destabilize important logistical bases resources towards this region.

Since 2010, the world’s five biggest buyers of conventional weapons have been Asian countries, and in general it is expected that the greatest increases CONFLICTS AND TENSIONS IN ASIA in defence spending up until 2020 will ALSO HAVE AN IMPACT ON SPAIN occur in countries from this region (figure 4). Asia’s rearmament process The impact on Spain’s interests of unrest in Asia could manifest itself in will foreseeably continue in parallel different ways, and with varying intensity. Nuclear and ballistic prolifera- with its economic progress and a rise tion in North Korea undermines the international framework for non-pro- in challenges to regional security. liferation to which Spain is actively committed, and is a serious threat to Spain is a responsible supplier of peace in the region. Conflicting claims to archipelagos and maritime areas defence materiel, and it is highly pro- of the South China Sea could give rise to aggressive maritime activities bable that Spanish companies in this that would jeopardize the free navigation and trade flows in which Spain sector will place increasing emphasis also participates. on Asia in their commercial strategies. 14

North America 604.948 North America (2020) 560.614 ASPAC 415.635 ASPAC (2020) 547.110 GRAPHIC 4 Europe 237.699 Defence expenditure (2014 and forecast Europe (2020) 243.145 until 2020) MENA 140.245 MENA (2020) 155.292 Latin America 71.564 Source: IISS – Military Balance Latin America (2020) 77.137 USD Rusia and CIS 61.422 Rusia and CIS (2020) 66.285 Eastern Europe 48.011 Eastern Europe (2020) 55.251 Sub-Saharan Africa 17.533 Sub-Saharan Africa (2020) 19.312

100 200 300 400 500 600 700

3.5. HUMAN RIGHTS the European Union and bilateral This policy must also categorically dialogues. In the coming years, we promote the rule of law, due to its Human rights policy must continue to develop this policy intrinsic value and its positive impacts as an instrument that legitimizes our (legal certainty) on the activity of our The human rights situation in most foreign action, promoting the values civil society in the region. Cooperation Asian countries is not good, and this and expectations of our citizens, and in the modernization of public institu- judgement refers both to civil and demonstrating our commitment to tions in Asia increases predictability, political rights (the death penalty, those countries whose values and paves the way for foreign investment torture, restrictions on freedom of principles we share. in these countries, and fosters the expression) and to economic, social emergence of networks between our and cultural rights. In addition to In this field, Spain will work to rein- civil societies. authoritarian political traditions, force a positive cooperation policy, and to the general prioritization focused on the human rights areas Corporate Social Responsibility (CSR) of socio-economic development, in which Spain has learned valuable for some decades now a number of lessons (human rights in the fight The installation in Asia of Spanish leaders have alluded to the existence against terrorism, gender, religious companies seeking to avail of its more of characteristically Asian values that freedom, and the death penalty), and permissive labour and environmental would explain the continent’s more on accompanying democratization laws—and a consequent reduction in restrictive, more authoritarian attitu- processes underway. This cooperation their costs—has tarnished the legiti- de towards human rights. In any case, should be supported by resources macy of the globalization process of as we witness a surge in the middle earmarked to undertake specific pro- the past few decades, fuelling political classes of the middle and low-income grammes and strengthen cooperation narratives that run counter to what is, countries with the greatest problems, networks in the long term. One option in general, a positive trend that would we can expect to see a parallel rise in would be a cross-cutting programme be very difficult to reverse. the social awareness of human rights along the lines of the AECID’s MASAR issues, as has occurred in those cou- programmes to finance training ac- A substantial proportion of major ntries in the region that have already tions and technical assistance in these Spanish companies with operations achieved high levels of development. areas. We must strive for comple- abroad have implemented Corporate mentarity with EU actions, without Social Responsibility programmes to Spain has maintained a responsible, omitting from any bilateral dialogue foster a favourable social climate in multilateral human rights policy in those issues on which Spanish input the countries in which they carry out Asia, which is channelled through could deliver results. their activities. However, these pro- the United Nations system (Human grammes are sometimes a secondary Rights Council, General Assembly), facet of the companies’ activities, 15

Country HDI ranking HDI ranking Average number of years of 2015 on gender policies schooling (Women - Men) Alemania 6 3 12.6 - 13.3 Francia 22 13 10.9 - 11.4 GRAPHIC 5 España 26 16 9.5 - 9.7 Human development República de Corea 17 23 11.1 - 12.5 index (total number of countries in Japón 20 26 11.2 - 11.8 the index: 187) China 90 40 6.9 - 8.2 Bangladesh 142 111 4.6 - 5.6 Source: Statistical tables HDI 2015, Pakistán 147 121 3.3 - 6.1 tables 1 and 5 India 130 130 3.2 - 5.6

with a limited role in their strategic • Efforts must be made to strengthen guidelines. mediation mechanisms in Corpora- JOB MARKETS te Social Responsibility, such as the WITH MAJOR Spain’s Administration could improve OECD’s National Contact Points for STRUCTURAL public coordination through these Multinational Enterprises PROBLEMS programmes, exercising reasonable leadership and thus reaping bene- The ILO is striving to convince fits on two fronts: from an internal From a foreign policy perspective, this the Asian countries that speciali- perspective, promoting the Corporate line of action enables us to act against ze in labour-intensive production Social Responsibility of Spanish com- one of our economic threats in Asia to adhere to its concept of “good panies could be an effective coun- (social and environmental dumping), labour practices”, but the majority terpoint to the traditional “support through a constructive approach that of the ILO’s conventions have yet of the expansion of Spanish compa- our commercial partners cannot object to be ratified by many countries nies”, which will be balanced by the to. This approach entails encouraging in the region. attention paid to the basic concerns of the effective commitment of Spanish our citizens with respect to economic companies to the socio-economic The lack of commitment to the globalization. In this way, CSR can development of the societies in which ILO’s conventions highlights play a significant role in legitimizing they operate, which will generate be- serious difficulties with respect economic diplomacy. nefits for both parties in the medium to working conditions, such as and long term. Joint reflection on chronic inequality in remunera- Any actions in this regard must be good practices and the preparation of tion and career opportunities carried out without losing sight of the a catalogue thereof could contribute between men and women, lack following three pillars that the State significantly to legitimizing our tradi- of training and of skilled work for Secretariat for Trade has established tional actions promoting our compa- young people, high volumes of with respect to Corporate Social Res- nies’ activities abroad. This policy is temporary or casual work, unsafe ponsibility: in line with the guidelines set out in working environments and the the chapters on sustainable develo- lack of job security. • Companies’ adherence to Corpo- pment and included by the European rate Social Responsibility guidelines Union in the negotiation of free trade should be voluntary agreements.

• Companies should not be burdened by CSR 16

2016 % GDP United States 452,705 2.4% Germany 223,219 6.3% United Kingdom 80,973 3 % GRAPHIC 6 France 77,896 3.1% Exports Italy 68,308 3.7% to Asia The Netherlands 54,328 7 % Spain 26,478 2.1%

USD million Source: Datacomex y US Gov. Census

3.6. ECONOMY, TRADE will likely see Asia climb the rankings Asia as an arena for new AND BUSINESS of our foreign priorities, while incre- economic opportunities and for asing the awareness of Asia among the transformation of the Spanish Asia, a new economic frontier society in general, and will have an production model for Spain impact on other economic sectors, such as the cultural industries, the The surge of the middle classes in Asia Currently, barely 10% of our exports teaching of Spanish, and transport will have a profound economic impact. are to Asia, even though Asia is the and communications logistics. The newly emerging classes will key driver of the current dynamics substantially increase their spending, of world economic growth and of the There are instruments, such as Act redirecting it towards better quality development of the middle classes. 14/2013, supporting entrepreneurs products with full guarantees and a Our penetration of the Asian market and their internationalization, greater technological content. They in comparison with that of similar favouring the entry of Asian inves- will also spend on services associa- countries (an average of 20% of EU tment and talent into Spain. Such ted with a higher standard of living exports are to Asia) suggests we still instruments must continue to play a (including environmental protection, have a long way to go, both in the highly significant role in promoting healthcare, educational and financial trade of goods (as can be seen in the an ever closer involvement between services). Moreover, Asia’s unstoppa- table below, at between one and five our economic decision-makers and ble urbanization will lead to the GDP points, or between 10 and 50 scientists and Asian hubs of innova- movement, over the next few decades, billion euros in additional revenues), tion, business and excellence. of millions of people towards the big and in financial services, logistics and cities, which must be equipped with tourism. the basic urban infrastructure in terms of sanitation, energy, housing, public The development of the Asian markets transport and waste management.

The Spanish President and the President of China Xi Jinping meet in Beijing, May 2017. 17

SPAIN IS INTERESTED IN THE MAJOR CONTINENTAL CONNECTIVITY SCHEMES IN ASIA

The initiatives of the Asian Infras- such as the China-Pakistan econo- railway line, the longest in the world. tructure Investment Bank (AIIB)— mic corridor, or the Bangladesh- The journey lasted 21 days, with the which Spain joined in 2015 as a China-India-Myanmar economic train covering 13,053 kilometres and founding member—and the New corridor. crossing China, Kazakhstan, Russia, Silk Road (Belt and Road Initiative), Belarus, Poland, Germany, France and promoted by China, have attracted The initiative is expected to have Spain. After two years of activity, this interest in Spain, on spotlighting an impact on countries that jointly railway line is now fully consolidated the development of connectivity in represent 55% of world GDP, and its operators are working to a continent that currently presents 70% of the world population, and improve the service conditions and major needs and, therefore, nume- 75% of the world’s known energy increase the freight volumes destined rous opportunities. reserves. The implementation for China and the loading and unloa- period of the One Belt One Road ding points on the peninsula. For our Spain’s acquisition of a stake in (OBOR) initiative is forecast to run country it is important that the train the AIIB was announced in March until 2049, the centennial of the returns to China with Spanish pro- 2015, and entailed the subscrip- People’s Republic of China. ducts, thus promoting Spanish exports tion of 1.76% (1,761.53 million and reducing the trade deficit. dollars) of the Bank’s share capital China is set to allocate—directly or (100,000 million dollars). 25% of indirectly—over one trillion dollars The New Silk Road project also has the Bank’s total share capital is to this project, through public geopolitical, global game-changing held by the group of countries that institutions such as the “Silk Road dimensions that call for close mo- do not belong to the region. Spain’s Fund”. In addition to this amount, nitoring by Spain and the European decision to enter the Bank’s share- potential private investment, and Union to ensure that the principles of holder structure took into account the investment of public funds by openness to all economic operators, the interest of Spanish infrastruc- interested countries, should also inclusion of all countries, transparen- ture and engineering companies be taken into account. The State cy, public and private initiative part- in this new vehicle for investment, Secretariat for Trade manages nership, and economic, fiscal, financial, and their desire to participate, financial instruments supporting social and environmental sustainabili- from the outset, in a mechanism the internationalization of Spa- ty are duly taken into account. that operates under the strictest nish business, such as the FIEM criteria on transparency and (Corporate Internationalization In May 2017 the President of the institutional good practices. Spain Fund), the FIEX (Fund for Foreign Spanish Government, Mariano Rajoy, aspires to having Spanish experts Investment), the FONPYME (Fund travelled to Beijing to attend the in the governance bodies of the for SME Foreign Investment Ope- first Silk Road Summit, a biannual Bank, as part of a multinational rations) and COFIDES (a public- framework for dialogue that will give team that operates under the stric- private development financing political impetus to this initiative, to test standards on transparency company) resources, the CARI demonstrate Spain’s commitment to and equal opportunities. (Reciprocal Interest Adjustment this project under the aforementio- Contract) and the coverage offe- ned principles. In 2013 the Chinese President, red by CESCE (a public-private Xi Jinping, unveiled the double commercial risk management Spain will continue working to initiative of the Maritime Silk company), as sources of financing establish a national strategy for Road and the Silk Road Economic that can be invested concurrently Euro-Asian connectivity that is fully Belt (known, since 2017, as the in the financing schemes of these compliant with the principles we Belt and Road Initiative, or BRI), major cross-border infrastructure hold in common with the European a major multidisciplinary project to projects. Union and in line with the strategy improve connectivity in Asia. This developed by the EU in 2018. initiative also includes elements of Moreover, Spain hosted the “test regional development strategies run” of the Silk Road, through the promoted bilaterally by China, start-up of the – Yiwu 18

The Spanish Minister for Foreign Affairs and Cooperation welcomes India’s Prime Minister Narendra Modi during his visit to Spain in May 2017.

Spain is a recognized power in many strong (construction, engineering, our companies’ capacity to compete of the sectors that will benefit from telecommunications, the automotive and to acquire relevant experiences in the new consumption patterns of the industry, alternative energies), which future sectors such as “Smart Cities”, Asian middle classes. Our agrifood would force us to seek new niches. an area in which Spain’s brand enjoys companies, which enjoy a good re- As happened in Ibero-America in the a good reputation in Asia. putation for quality, have significant aforementioned period, a heightened potential, as do those of the consumer technological and economic presence The 2017-2027 strategy for the goods sector. Spain is also home to in Asia could allow our companies to internationalization of the Spanish companies that are world pioneers obtain significant economies of scale economy identifies several Asian cou- in the provision of urban planning with which to finance their transfor- ntries among its geographic priorities, services, such as those related to mation towards a new technological necessitating access to greater resou- “Smart Cities” and mobility, as well and organizational era. In this quest rces to increase our scope for action as environmental management and for opportunities, adequate protec- on this continent. Many countries that recovery services. tion of our innovation will be crucial. are similar to Spain and with which we The principal means of protecting compete directly have larger networks In addition, Spain is transforming technological innovation is the patent of economic and commercial offices its production model to focus more system. The free trade agreements abroad. closely on exportation and innova- concluded by the EU must include tion. This transformation is all the mutual and adequate recognition of The State Secretariat for Research, more necessary given that the main patents. Development and Innovation is Asian countries are already embarking promoting a number of scientific and on their own transition processes Our companies’ greater exposure to technological cooperation program- towards more innovative economies, Asia could also be a source of op- mes with the main generators of inno- which will be more similar to our portunities in third markets, such as vation in Asia, such as South Korea, current economy, and compete with the Ibero-American, African or Near Japan, China, India and the South us directly. Eastern markets, where collaborations East Asian countries, as well as the have already been forged in strategic undertaking of joint activities by the As happened in the transformation sectors such as telecommunications, main agents of Spanish R&D&I, such cycle of 1990-2000, Spain could industrial design, renewable ener- as the Centre for the Development of lose ground to Asian competitors gies and transport networks. Such Industrial Technology (CDTI), Spanish in sectors in which we are currently symbiosis and cooperation increases universities and research groups, and 19

their counterparts in Asia. Heightened CHINA AND INDIA interaction in this field will enable us, EMBARK ON A CHANGE within the framework of a new eco- IN MODEL nomic model in Spain, to promote the exchange, combination and advance- China, since the third Plenary the New Silk Road (Belt and Road ment of knowledge. Session of the Central Committee Initiative, BRI), China aspires to of the Communist Party of China becoming a strategic, economic and The opportunities offered by the (November 2013), and under financial pacesetter in the Eurasian international mobility section of Act the Government of President Xi space. 14/2013, of 27 September, supporting Jinping, has been implementing a entrepreneurs and their internationa- growth strategy focused on quality Since the rise to power of its new lization, favour the entry into Spain of and sustainability and based on Prime Minister, Narendra Modi Asian investment and talent, a factor innovation and internal demand, (May 2014), India has launched that must be taken into account to aimed at preventing China from an ambitious agenda of economic promote synergies in the development falling into the so-called “middle- reforms which have boosted the of policies on trade and on scientific income trap” and at improving the country’s economic growth (7.1% and technological cooperation. disposable income of the country’s in 2016-2017). Modi seeks to citizens. create a better climate for busines- Trade liberalization in Asia ses and overcome the country’s The reforms underway, which have numerous structural difficulties, Asia is currently engaged in a trade been included in the 2016–2020 fostering improvements in the liberalization process, which began five-year plan, and in the Made population’s living conditions. several decades ago, with significant in China 2025 strategy, seek to Modi’s campaigns, including “Make milestones including China’s entry redirect the economy towards in India”, promoting domestic into the WTO in 2001 and the creation domestic consumption, a lesser de- industrial production, “Clean of the ASEAN free trade area in 1993. It pendence on exports and industrial India”, focused on the sanitation is currently one of the areas in which investment as economic drivers, the and environmental sectors, and the greatest integration of global value accelerated development of those “Digital India”, giving impetus to the chains is occurring. The United States’ economic sectors with high techno- country’s IT industry and associa- withdrawal from the Trans-Pacific logical value, the gradual replace- ted services, all aim to generate, Partnership (TPP) process at the ment of technological imports, and in the medium term, powerful beginning of 2017 created a vacuum— the establishment of international economic drivers with which to the regulatory convergence spearhea- added value networks with facilities transform the production and so- ded by the US was crucial to industry, in the People’s Republic of China. cial model of the country. Spain has as it would increase the predictability Spain must observe this change in opportunities to explore in these of regulatory developments. Given model very closely to try to ensure, initiatives and a stable framework that future world growth is and will together with the rest of the EU for the protection of EU–India be centred in the Asia-Pacific region, and other partners, that it does not investment, currently in negotia- the US’s withdrawal from the TPP has engender or perpetuate practices tion, should enable the expansion led the EU to maintain its strategy of that could damage our capacity for of investment in both directions. strengthening commercial relations- innovation. The immediate goals Spain has always sought to con- hips with these countries through the of this change in model include the clude a deep, comprehensive and negotiation of free trade agreements. gradual internationalization of the ambitious trade agreement with The EU can take advantage of this yuan and a greater role for China India. The prompt conclusion of an new situation to develop balanced in global economic governance. investment protection agreement trade conditions in the region and to Through global initiatives such as is thus highly necessary. promote good practices in some of the 20

main regional economic actors. In this context, the EU can help to establish a significant body of common rules in areas such as labour rights, or the protection of intellectual property. In any case, the processes underway (Regional Comprehensive Economic Partnership [RCEP], China–Japan- South Korea free trade agreement net- works, EU negotiations with different regional actors), and the change in model in those countries could lead to advances in the coming years towards a level playing field in which equal conditions are respected and main- tained in the sphere of international trade, applying more and better WTO rules (regulations regarding State subsidies, dispute settlement, public companies, export credits). It is es- sential that both the EU and the Asian countries oversee compliance with the multilateral trade framework.

This goal of achieving a level playing field with the region’s main countries must also be attained in the field of The new Free Trade Agreement between the European Union and Japan will create important investment, where we must promote— opportunities for Spanish companies. and even demand—reciprocity in the access to and operation of investments, analyse the investments received to patterns, and ensuring the protection a priority in its trade policy strategy. ensure that they are in line with natio- of its intellectual property interests Spain’s capacity for influence over the nal interests, and promote those that and designations, security of inves- European Union’s trade policy is fun- are. Without question, investment pro- tment and safeguarding from indus- damental both to identifying barriers tection in the area of EU and bilateral trial espionage. EU actions to protect to our trade and to directing EU policies trade policy allows for the creation of a and reinforce intellectual property to seek opportunities, forge alliances of network of agreements that protect our rights have facilitated a relatively interest and promote orientations. This investors when backing emerging eco- successful dissemination of the most includes, where necessary, ensuring nomies. The EU Agreements not only stringent TRIPS+ standards through that the European Union makes effec- pave the way for foreign investment free trade agreements. In the same tive use of the trade defence instru- in certain sectors, but also consolidate vein, it is worth noting the inclusion in ments it has at its disposal. the status quo in the face of a possible the agreements of a list of geographical legislative backlash. indications, given that this is a concept Following the new US administration’s created in Europe, which had a limited withdrawal in 2017 from the liberali- In light of these processes, Spain must global adoption and could help produc- zing agenda in the Asia-Pacific region remain positive, but also vigilant, tion in our continent. (TPP) that it had been promoting, the preventing the reproduction, under EU is once again at the forefront of the other forms, of known protectionist The European Union considers Asia drive for economic openness and free 21

THE IMPACT OF BREXIT

The 2016 referendum in which the United Kingdom and the European when appropriate, in light of the po- United Kingdom voted to withdraw Union, including the rules that will tential companies and international from the European Union, and the define access to the respective investors from the target countries subsequent negotiation process markets. and priority sectors. These activities undertaken to agree the key details to promote and attract investment of the UK’s withdrawal, has had a Spain enjoys close and highly posi- will emphasize Spain’s strengths in significant impact on international tive relations with the United - a scenario of possible reinvestment economic opinion, and very parti- dom in many areas, which it intends in the continent. This may allow us cularly that of Asia. Until recently, to maintain and strengthen after the to make our pitch for Spain as an the United Kingdom was one of UK’s withdrawal from the European investment destination in all the ca- the main investment destinations Union. At the same time, aware as pitals of the target Asian countries, in Europe. The announcement of we are of our Asian partners’ need in multilateral economic forums and Brexit has led numerous economic to maintain predictable terms of in meetings between Spanish and operators to rethink their strategy access to the internal market, Spain Asian companies, with an impact on for economic presence in the Euro- is working with them to offer them Spain’s economy and job market. pean Union. the best opportunities in those Among the activities to promote sectors in which our country enjoys Spain as an investment destination— Following the recent agreement comparative advantages. showcasing Spain’s strengths in the (December 2017) on the main light of Brexit—it would be advisable issues surrounding the United In this regard, Spain can comple- to include further meetings with Kingdom’s withdrawal, negotiations ment its activities to promote and investors and road show workshops have begun to define the bases for attract foreign investment from Asia during the second half of 2017 and the future relation between the by introducing the Brexit variable throughout 2018.

trade in the region, based on a free tra- The agreements with Vietnam, Singa- 2016, new routes were inaugurated de model that benefits all parties and pore and Japan are expected to enter between Madrid and Shanghai, Hong enshrines a reciprocal openness to our into force in 2018-2019, generating Kong, Tokyo, and Delhi. In 2017, companies’ activities. This is a cons- significant opportunities for Spanish new routes were opened up between tructive globalization model, already companies in different fields. Barcelona and Seoul, Hong Kong and underway, on which the EU has been Shanghai. working for several years: there is al- ready one free trade agreement in force 3.7 TOURISM Prospects for increasing the frequency (Republic of Korea), three negotiated of flights in coming years are bright, agreements that have yet to be signed Nowadays, between 2% and 2.5% of given the great number of indirect and ratified (Singapore, Vietnam and our tourists are Asian. Spain’s stren- passengers between Spain and Asia- Japan), five more at different stages of gth as a tourist destination, and the Pacific who are currently making negotiation (India, Thailand, Malaysia, expansion of the upper and middle connections in other European coun- Indonesia and the Philippines), and classes in Asia, suggest that Spain tries, and who are estimated to reach two for which negotiations have yet to may perform very well in coming 3.3 million in 2017. Likewise, Madrid begin (Australia and New Zealand), as years. Improved flight connections Barajas Adolfo Suárez Airport has well as two investment agreements in between Spain and Asia are key to the opportunity to become the main negotiation with China and Myanmar. maximizing this trend’s potential. In hub for connections between Asia 22

and Latin America given its current predominant position in the European market and the comparative advan- tages it offers as opposed to other connection points between those two markets. Improved flight connections between Spain and Asia are key to maximizing this trend’s potential. In 2016 and 2017, new routes with the principal source markets were opened up, a trend that must be maintained in coming years.

An ambitious programme of accom- panying policies, including consular and visa facilitation policies, such as THE POTENTIAL the recent opening of visa issuan- OF ASIAN TOURISM ce centres in 12 Chinese cities, may FOR SPAIN generate major benefits now that we are strengthening our international Asian tourists visiting Europe are Chinese and Korean tourists, and competitiveness. Likewise, poli- drawn to segments of the tourist 77% more Indian tourists in 2016, cies to raise Spain’s profile in Asia industry that are of particular and 30% more Japanese tourists must be enhanced by strengthening economic interest to Spain: cultural, in 2015. However, it has plenty networks between our civil societies, urban, rural, shopping, culinary, and of room for growth as compared to complement and bolster market smart tourism. Spain is extremely with other destinations in Europe. penetration, identifying opportunities well positioned in all of these Recently, France and Italy have and generating permanent bases for segments. These tourists have a been able to attract nearly two Spain’s economic presence in Asia. high ratio of spending per person million Chinese tourists per year, and stay (an average of €2,800, whereas approximately 580,000 for example, in the case of Chinese visited Spain in 2016. This same 3.8 SCIENCE, tourists), which has grown rapidly in difference can be observed in other TECHNOLOGY recent years. markets, such as Japan; in 2015 one AND INNOVATION and a half million Japanese tourists Asia-Pacific, as a source market, has visited France or Italy, while nearly Asia is currently responsible for 42% grown over the past decade at an 600,000 visited Spain. Up to 2015, of the world’s R&D spending and for average rate of 6.4%, according to France attracted approximately 40% of worldwide scientific output. World Tourism Organization (UN- five million Asian tourists, whereas It has some of the world’s most dy- WTO) data. This growth is expected Spain welcomed just over one and a namic countries in terms of science, to continue in the next decade, at a half million. technology and innovation, such as rate of around 6% in Eastern Asia, China, Japan, South Korea, India and and to grow by more than 7% a year The high retail-spending level of the ASEAN countries. Asia’s scientific in South Asian countries such as Asian tourists in France and Italy output has increased tremendously India. accounts for those countries having in recent years, by up to 15% a year higher spending rates per tourist in countries such as China, with Spain has recently experienced than our country. greater quality and sophistication, spectacular growth—50% more and an ever-increasing impact on the international academic community. 23

Likewise, in recent decades Asian vation (SEIDI), agreements between many cases. We can take advantage of countries have committed decisively Spanish and Asian R&D&I agents, the most positive existing experiences to strengthening excellence in uni- universities and research groups, and (Foundations, meetings of CEOs and versity education, and to recruiting by fostering associations of Spanish associations of Spanish scientists, for and retaining talent in science and scientists (Japan). This is an essen- example) and also emulate initiatives technology, with outstanding results tial vector for Spain’s profile in Asia, launched by other countries, in order in all research fields. Moreover, the and one that has been included in the to expand, drive and sustain these principal Asian countries are rapidly principal bilateral cooperation instru- shared working networks, in an inte- becoming consolidated in internatio- ments currently in force; it must serve grated and systematic manner. nal rankings as some of the world’s to generate new opportunities for our major drivers of innovation. scientific and technological output and our innovation, and to strengthen Think tanks and home-grown In the wake of the international the development of the knowledge strategic analysis financial crisis, many countries in society and knowledge economy in our Asia are joining the race to develop country. Some of the opportunities that Asia- technological and scientific policies Pacific offers are not being seized with ambitious strategies to improve due to a lack of familiarity with the their academic research and innova- 3.9. CIVIL SOCIETY region’s risks and conditions. In past tion, and thus enhance their interna- decades, Ibero-America was a fertile tional competitiveness, highlight the Civil society networks in Asia land in which to increase Spain’s pre- prestige of their “country brand” as sence in all areas (economic, political, economies based on knowledge and One of the main weaknesses of legal, cultural, etc.), precisely because entrepreneurship, and reaffirm their Spain’s presence in Asia is the scarcity it is easy for most Spanish civil society R&D&I ties with other countries. of networks between our civil socie- actors to understand the region. ties, resulting from Spain’s history Several Asian countries have, in of intermittent and limited relations In Asia, countries similar to Spain recent years, become privileged with Asia. Tightly knit networks bet- with extensive historical experience partners of the EU in the areas of R&D ween civil societies reinforce bilateral or that have systematically invested or mobility cooperation, through relationships, stabilize them when in increasing their knowledge now different instruments, including the difficulties arise, and improve their have a high degree of penetration EU’s 7th Framework Programme. capacity to enter new sectors. and a considerable presence. Their Furthermore, countries such as China, decision-makers benefit from a body Japan, India and South Korea parti- At present, Spanish companies have of knowledge, lessons and analyses cipate actively in major international few lobbies defending their interests adapted to their specific conditions, scientific projects including the CERN, in Asia, and there are few Spanish enabling them to make the right the TMT, the ITER and the SKA, and in experts working in key posts in decisions and achieve very positive international research platforms and innovation or major projects in Asia. results. networks, making strategic contri- However, the number of talen- butions in the fields of electronics, ted, high-profile Spaniards in the In this sphere, Spain is not exactly nanoscience, artificial intelligence, continent is increasing, and this may starting from scratch: we already nuclear fusion and fission energy, help to galvanize Spain’s networks of have many multinational corpora- medicine, and the aerospace sector. contacts in Asia and generate interest tions with significant experience in groups. Asia acquired in the past decade, and Spain is carrying out scientific and prestigious think tanks that are incre- technological cooperation with Asia Public guidance and support are asingly focused on risk analysis of the through institutional agreements critical in the initial stage of such continent. Now, the time has come to promoted by Spain’s State Secretariat networks, even when the initiative combine these strengths in order to for Research, Development and Inno- comes from civil society, as it does in generate a capacity for home-grown 24

King Felipe VI and Queen Letizia during their official visit to Japan with the Emperors of Japan, and Michiko. The clock was offered by King Felipe III of Spain to Japanese authorities in 1611, in appreciation for the rescue of the crew of the Spanish galleon San Francisco stranded off the Eastern coast of Japan in 1609.

strategic analysis that may make Asia est in Spanish sport, the proliferation region and generated expert knowled- more intelligible for our operators, of small convenience stores in many ge, raising the profile of countries, so that they may better identify and neighbourhoods, an interest in the companies and civil society. In Spain, maximize the significant opportu- diverse forms of Asian spirituality, many of these centres have been nities existing there. As in the case adoption, and tourism, just to name created recently. Today, East Asian of the networks described above, the the most visible. studies programmes (at the gradua- allocation of public resources to fos- te, postgraduate and specialization tering home-grown strategic thinking This awareness has, as does any levels) are being taught in at least ten will continue to be crucial. social phenomenon, opposing Spanish universities. characteristics: it combines forces of attraction (economic dynamism; Spain has one major advantage (Spa- 3.10. PUBLIC AWARENESS cultural wealth, both traditional and nish as a global language) and other contemporary; tourism) with forces substantial assets (business schools, The geographical distance, the weak of repulsion (perceived social and studies in areas such as architecture, historical ties, and the absence of environmental dumping, the situation engineering, sports, design and cui- a narrative guiding the presence of of women in Asia, nationalisms). sine) that can be used as levers in the Spain in such a vast and varied region competition for Asian students. Given as Asia, are all factors that have not It is foreseeable and desirable that how highly the Asian public values the helped to raise public awareness in greater social awareness will increase prestige of educational institutions, Spain of what our country has at stake the importance given to Asia as a it is essential that we underscore how in that region. This lack of interest target of Spain’s foreign policy. far Spanish universities have risen in partly explains the position of Asia in the most widely used international our foreign policy and the allocation rankings, especially in those for spe- of resources to that policy. 3.11. EDUCATION AND cific educational branches or subjects. TEACHING OF SPANISH Spanish universities are among the In any case, several opposing phe- best in the world: they have reached nomena are causing a gradual—but In Asian societies, education is a the top 50 in certain rankings and the sustained, and foreseeably long- national undertaking and at the number of universities in the top 200 lasting—increase in Spanish society’s same time a huge economic sector is increasing. awareness of Asia: regular and irre- attracting many competitors, both gular immigration, the omnipresence local and international. Moreover, The Communication Plan for Spain’s of products from Asia, the popularity many countries similar to ours have University System, created by Spain’s of Asian cuisine, Asian investment in influential Asian studies centres that Ministry of Education, Culture and industry and real estate, Asian inter- have improved understanding of the Sport (MECD), is aimed at improving 25

the image of our universities abroad goal. Spain can use and strengthen its for Spain focus on the area of edu- and at recruiting university talent. traditional resources in that continent cation (teaching of Spanish and elite The Plan has the potential to be a key (assistantships, resource centres, education) in countries such as China, instrument for promoting Spanish teacher training programmes, and Japan, Korea, Singapore and India, universities, and generating signi- exchange programmes), in addition which have first-rate universities ficant synergies with other sectors to exploring other new resources and educational centres. The MECD’s of our bilateral relations, given the adapted to the dimensions and needs Educational Action Abroad network is professional, cultural and economic of Asian markets. considered to be able to play a signifi- networks resulting from university cant role in this regard, because it al- experience. The instruments at our disposal ready has several offices in the region should be adapted to the specific con- (China, Australia, New Zealand and Moreover, extending Spanish throug- ditions of Asian countries, focusing on the Philippines), and plans to extend hout the formal education systems in providing educational products and its activities to India soon. Asia, both at university and non-uni- services in which our country can offer versity levels, has become a priority high added value. The opportunities

INSTITUTO CERVANTES AND ASIA-PACIFIC

Since its creation in 1991, Insti- Asia-Pacific, given its particular con- of robust private entities wishing to tuto Cervantes has promoted the ditions—densely populated cities, partner with a quality brand in lan- learning and teaching of Spanish in the high value placed on education, guage teaching, all favour Instituto third countries. Its presence in Asia- and greater public and private offe- Cervantes moving towards an ope- Pacific dates back to the 2006-2009 ring of Spanish studies—could be rating model based on public-private period, the most recent phase of its an excellent testing ground for new partnerships. Such a model would international expansion. The fiscal models for the expansion of Spanish allow it to focus its resources on the consolidation carried out by Spain teaching, with Instituto Cervantes local Spanish teaching sector, provi- over the past six years has brought at the helm, multiplying its interna- ding services that ensure its quality Instituto Cervantes’ plans for ex- tional operations and bolstering its and consolidation: training and pansion in the region to a standstill. status as the global gold standard certification of trainers, knowledge Previously, its strategy was based for the teaching of Spanish. assessment, and accreditation of on establishing large self-managed entities. Many educational entities, centres; these enhanced Instituto The economies of scale afforded even in the Spanish teaching sector, Cervantes’ prominence and reputa- by densely populated areas, the are adopting business models in this tion in large cities, but entailed high difficulties in achieving a significant line in order to increase the scope, structural costs. impact with only the resources of a impact and profitability of their single institution, and the existence operations. 26 4 RECOMMENDATIONS

The recommendations set out be- Draft or outsource an as- Promote human rights in low take into account: the guiding 3 sessment of the impact on the 7 political dialogue with key principle of additionality of public Spanish economy from the ongoing Asian partners and launch specific action; Spanish government policy— regional economic integration dialogues that complement those as defined in the Foreign Action Act; processes. undertaken by the EU, accompan- the Internationalization Strategy ying the socio-economic evolution for the Spanish economy; the other Prepare a Spanish strategy of Asian countries. sector-specific instruments to raise 4 for the New Silk Road, with Spain’s profile abroad; and the pur- participation from public and private Strengthen corporate social poses and objectives of the Spanish actors with interests in the initiative, 8 responsibility in Asia in government’s foreign policy. so that all parties contribute to the government-civil society dialogue strategy in their respective areas of and in political dialogue with Asian activity. partners. Prepare a catalogue of good OBJECTIVES practices and acknowledge Spanish Incorporate the following into companies’ initiatives in this field. Prepare a catalogue of specific 5 Spain’s strategy for Bre- 1 focus areas for Spain’s actions xit: activities and action plans to Foster development of R&D&I in Asia (e.g. urban development promote Spain and attract inter- 9 networks with the Asian and planning, trade, cooperation in national investors from target countries that are at the forefront of tourism, science and technology, se- countries, coordinating the work science, technology and innovation, curity, combating terrorism, disaster of the different administrations to through both bilateral relations and management and risk reduction, present our country as a destination European or international program- alternative energy, human rights, for investment in Europe by Asian mes. promotion of the ). companies. These activities will be complementary and additional to Draft or outsource a study Identify sections of the EU those that ICEX-Invest in Spain is 10 on Spain-Asia civil society 2 agenda in Asia in which Spain undertaking in these countries as networks: how they arise, how they can take a more active role, whether regards Brexit, and will be conducted are developed, members, and the because we have already establis- in coordination with them. role the Spanish State can play in hed our own agenda or because we fostering them. have relevant experience from other Perform ongoing monito- regions. 6 ring of conflicts in Asia and Facilitate initial contact periodically assess their impact on 11 between opinion shapers Spain’s interests. in Spain and Asian reality, through 27

study visits and periodic meetings signing of such programmes with plans for Asia within the various with Ministry of Foreign Affairs and other countries that are of particular departments whose work is related Cooperation staff who are responsi- interest to Spain. to the continent, in their different ble for policy towards Asia. areas of responsibility, and establish Study means of unlocking specific action plans. Actively participate in 16 the economic and commer- 12 the areas of civil society cial potential of second-generation Launch pilot projects for that study Asian affairs: Univer- Asians in Spain. 20 inter-ministerial wor- sities, think tanks, and analysis king groups, led by the competent departments of companies, through Taking advantage of the ministries, to monitor—at the visits, conferences and seminars. 17 events commemorating technical level and using network the five-hundredth anniversary of working methods—the matters that Establish an administra- the first expedition tocircumna - have been identified as priorities for 13 tion/think-tank me- vigate the globe, led by Ferdinand Spain in Asia (e.g. obstacles preven- chanism to promote training of Magellan and Juan Sebastian Elcano ting a level playing field in specific experts in strategic analysis of Asia. (2018-2022), to publicize Spain’s countries, promotion of the rule of crucial role in the beginnings of glo- law, the fostering of Asian tourism, Promote and unlock balization and to raise the profile of and scientific and technological coo- 14 the value, in Asia, of the Spanish science, enterprise and civil peration in sectors of interest). instruments available in Spain to society in Asia. attract talent and investment and Plan, annually and jointly particularly those established in the 21 with the competent Entrepreneurs Act 14/2013, those es- ORGANIZATION AND ministries, the activities of our tablished by ICEX-Invest in Spain to WORKING METHODS embassies in Asia, defining with attract entrepreneurs and promote them their objectives, performing start-ups, and the Rising Start- Promote reflection, through ongoing monitoring, overseeing up programme; also, leverage the 18 the Foreign Policy Cou- their work on the ground and the know-how acquired by Spaniards in ncil, by all ministries whose work information that they must obtain, Asia. substantially involves Asia, to esta- and assessing results. blish coordinated policy for Spain Promote and unlock the towards Asia. Adapt working methods and 15 value of existing vacation 22 documents to the strictest and work activity programmes with Pursue, develop and, if European standards in terms of countries in the region, and foster 19 applicable, launch sector quality and format. 28

In terms of the profile of the RESOURCES boosting the staff and resources 23 Spanish language, speci- of existing posts, including those fically adapt the deployment of Ins- Enrich in-house analysis by concerned with economic, trade, tituto Cervantes to Asian societies, 27 systematically incorpora- consular, educational, cultural and including public-private partner- ting expert insight into Asia, so that tourism affairs. In particular, open, ship instruments similar to those our positions are based on the best in the near future, an embassy in already used by other institutions possible sources (on the ground con- Myanmar and new consulates in that promote language. tact, experts and academics in Spain, Chengdu (China) and Bangalore (In- business intelligence) and provide dia), to promote economic activity In the area of security, resources for this. and foster tourism flows. 24 strengthen relations with Intelligence Services of Asian coun- Improve strategic planning Bolster existing me- tries that share interests with Spain; 28 of high-level travel and vi- 32 chanisms in Spain (Casa strengthen cooperation in counter- sits, and increase the frequency and Asia, Foundations, Cooperation) to terrorist intelligence and promote content thereof, to bring them into promote the establishment of net- academic exchanges among experts line with other major countries. works among civil societies. in the respective strategic intelli- gence communities. Make greater use of multi- Use existing EU mecha- 29 lateral meetings with Asian 33 nisms (FIAP, Horizon 2020, Bolster the presence of Spa- partners to strengthen contact and etc.) and multilateral mechanisms to 25 nish civil servants in Asian dialogue with Asia. raise Spain’s profile in Asia. multilateral organizations and promote the signing of agreements Strengthen the teams of the therewith. 30Ministry of Foreign Affairs and Cooperation’s Asian units, and Develop the Defence Diplo- those of other ministries with a 26 macy Plan and institutional presence in Asia, to bring them into relations in this sector, to raise line with those of other European the profile of the Spanish defence countries in terms of capacity and industry and of our operational and resources. training capabilities. Strengthen the diplomatic 31 and consular network in Asia, incorporating new posts and

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