The Solomon Islands has selected a Chinese state company, China Civil Engineering Construction Company (CCECC), for a lucrative contract worth millions of dollars to upgrade an international port in Honiara, funded by the Asian Development Bank. The decision comes amid concerns from the United States and its allies, including Australia, New Zealand, and Japan, over China’s alleged ambitions to establish a naval base in the region after the Solomon Islands struck a security pact with Beijing last year.
According to Mike Qaqara, an official at the Solomon Islands’ infrastructure development ministry, the contract involves upgrading the old international port in Honiara and two domestic wharves in the provinces. CCECC was awarded the contract as the sole bidder in a competitive tender.
Qaqara downplayed concerns raised by Western governments, stating that there would be “no expansion” of the project, and that the Solomon Islands and China have consistently denied any intentions to establish a naval base. Australia’s Department of Foreign Affairs and Trade also stated that the Solomon Islands’ Infrastructure Development Ministry had confirmed there would be no expansion of the port for dual use.
Delegations from China and the United States are currently visiting Honiara, competing for influence in the strategically important Pacific island nation. Solomon Islands’ Prime Minister Manasseh Sogavare recently met with China International Development Cooperation Agency’s vice chairman, Tang Wenghong, and signed on to Beijing’s Global Development Initiative, further strengthening the bilateral cooperation on infrastructure projects. Sogavare also held a “strategic dialogue” with Kurt Campbell, the Indo-Pacific coordinator of the United States National Security Council, who reiterated support for a free, open, secure, and prosperous Solomon Islands, according to a statement by the U.S. embassy in Honiara.
The port reconstruction project is part of a larger $170-million ADB-funded initiative to upgrade roads and wharves in the Solomon Islands, with CCECC also being awarded the roads component in 2022. The Solomon Islands government stated that the project would involve rehabilitating the old Honiara international port and constructing the Honiara domestic port and two provincial ports.
There are concerns among some Pacific island leaders, such as Samoa’s Prime Minister Fiamē Naomi Mata’afa, who did not sign a regional security and trade pact with China in June, that the upgraded port facilities could have dual purposes, including potential military access for China’s navy in the region. Peter Connolly, a researcher at the Australian National University (ANU) studying China’s Pacific infrastructure projects, noted that Chinese state companies have dominated ADB infrastructure contracts in the Pacific islands by offering the lowest bids in an article published in Australian Foreign Affairs. The ADB did not immediately respond to a request for comment.
Needham, K. (2023, March 22). China firm wins Solomon Islands port project as Australia watches on. Reuters.com. Retrieved April 14, 2023, from https://www.reuters.com/world/asia-pacific/chinese-company-wins-tender-redevelop-solomon-islands-port-official-2023-03-22/
