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The Impact of China’s Digital Silk Road in an Era of Great Power Competition

Thu, September 5, 4:00 to 5:30pm, Marriott Philadelphia Downtown, 309

Abstract

Under what conditions does China's outward foreign direct investment (FDI) improve China’s soft power? We address these questions through studying Chinese technology projects in developing countries, commonly referred to as the Digital Silk Road (DSR). We develop a theory of how soft power is fostered through the actions of private actors, and how such private diplomacy efforts can be undercut by individuals' negative exposure to the projects, either in the form of direct exposure to investment activity or through media exposure. First, we use Afrobarometer's geocoded survey data to show that in African countries, residents' proximity to China’s Digital Silk Road projects is negatively associated with measures of attraction to China, suggesting that direct exposure to such projects undermines China's soft power. Next, we design a conjoint survey experiment fielded on LinkedIn with an urban sample of African nationals, and test our expectations on how elites perceive DSR projects relative to other types of investments and to similar investments from comparison countries. Our study offers understanding of how China's soft power is projected abroad through foreign direct investment, and how domestic audiences experience it in ways that may either enhance or undermine China's image.

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