Source: ABC News
“China’s got a broad range of Arctic interests — economic, scientific, political, strategic,” said Anne-Marie Brady, editor in chief of the Polar Journal and a global fellow at the Wilson Center in Washington. “But the main thing it wants at the moment would be to make sure it has a seat at any decision-making table and has access to any rights that are up for grabs. So it’s great to have a friendly state like Iceland.”
Iceland has granted the China National Offshore Oil Company permission to explore in Iceland’s waters, and Beijing has tapped Icelandic expertise in geothermal power, a major industry in volcanic Iceland and a potential source of clean energy for China.
Last year, Chinese automaker Geely — owner of Volvo Cars— announced it was investing $45.5 million in Carbon Recycling International, an Icelandic company that operates the world’s first renewable methanol plant. Chinese telecoms giant Huawei is working with Icelandic mobile phone firms and a state-owned Chinese firm has signed a deal to fund a new aluminum smelter in northwest Iceland.
The Chinese Embassy in Reykjavik says bilateral trade, “though still small in terms of volume, is growing rapidly.” In the first nine months of 2016, Iceland’s imports from China were worth $330 million and its exports $77 million, a year-on-year increase of 12.6 percent.