Italy Breaks Ranks To Join Belt And Road

Italy has signed an agreement with China to take part in Beijing's new "Silk Road" of transport and trade links stretching from Asia to Europe.

In doing so, Italy became the first G7 country to sign up for the "Belt and Road" project which has sparked unease in the US and the European Union as China aspires to a greater world role.

President XI Jinping and Italian Prime Minister Giuseppe Conte attended a ceremony for the signing of 29 memoranda of understanding which Italian media said are worth about 6 billion euros (HK$50 billion).

Also signing the accords were the chairman of China's National Development Commission He Lifeng and Italian deputy prime minister and Minister of Economic Development Luigi Di Maio.

Italian financial daily Il Sole 24 Ore said the value of the Chinese investments could rise to 20 billion euros but would for now be limited to the strategic ports of Genoa and Trieste.

Italy has rolled out the red carpet for Xi, who has sought to allay Western unease over his transformational infrastructure initiative by emphasising the project's mutual benefits.

The accords also foresee the opening up of the Chinese market for Italian oranges as well as a partnership for Chinese tourism giant Ctrip, notably with Rome's airports.

"We are well aware, with this memorandum of understanding, that there is risk as well as opportunity," said secretary of state for the economy Michele Geraci, who spent a decade working in China.

Italy has made a point of giving a full welcome to Xi, despite the misgivings in Washington and Brussels.

Critics say Beijing's ambitious maritime, rail and road venture is predatory and overwhelmingly favours China and Chinese companies. (AFP)