The US and EU are set to support the development of a new ship and rail corridor connecting India to the Middle East and beyond — an infrastructure project crossing Saudi Arabia and the United Arab Emirates that could challenge China’s economic clout in the region.
The plan is expected to be launched on Saturday at an event on the sidelines of the G20 summit in New Delhi, through a memorandum of understanding agreed by leaders including US president Joe Biden and Indian prime minister Narendra Modi, US officials said.
Talks about such a deal have been going on behind the scenes between the countries involved for months, but they will now proceed on a more formal basis. No binding financial commitments have been made, one senior western official involved in the negotiations said.