China’s recent interest in supporting the modernization of Armenia’s nuclear power plant (ANPP) highlights its expanding influence in the South Caucasus region. During discussions with Armenian officials, Chinese Chargé d’Affaires in Armenia, Chen Min, expressed China’s readiness to assist Armenia in improving its energy infrastructure and advancing energy security through nuclear modernization and renewable projects. While this cooperation could provide Armenia with vital technological and financial resources, it raises significant questions about Armenia’s energy independence, geopolitical dynamics, and economic sovereignty.
China’s participation in ANPP modernization could enable Armenia to access advanced nuclear technology and the financial backing needed to extend the plant’s operational life—resources that might be challenging for Armenia to secure independently. Enhanced energy security in a geopolitically volatile region could position Armenia as a more self-sufficient energy player. Additionally, China’s commitment to building a photovoltaic power plant in Gegharkunik underscores its investment in diversifying Armenia’s energy portfolio, supporting Armenia’s transition to cleaner energy sources while reducing dependence on imported fuel.
Despite the benefits, Chinese investments in Armenia’s energy sector bring potential long-term dependencies on Chinese technology and services. For Armenia, a country that prioritizes energy independence, significant Chinese involvement in infrastructure like ANPP could limit future policy autonomy. Examples from other nations participating in China’s Belt and Road Initiative (BRI) demonstrate that such partnerships often come with hidden costs, such as financial obligations and potential influence over domestic policy. Armenia will need to negotiate agreements that safeguard its sovereignty and ensure control over nuclear and energy resources.
China’s deepening role in Armenia’s energy infrastructure also has regional implications, especially considering Armenia’s traditional ties with Russia in the nuclear sector. Russia has been a longstanding partner in Armenia’s nuclear energy projects, and China’s involvement could introduce competitive dynamics between the two powers. China’s diplomatic interest in supporting regional communication projects, aligns with its broader goal of stabilizing strategic corridors in the South Caucasus. However, this stance may trigger mixed reactions from Armenia’s local stakeholders and neighboring countries.
Armenia’s inclusion in the Belt and Road Initiative could facilitate economic growth through infrastructure investments, positioning Armenia as a more prominent player in regional trade. However, Armenia must manage its economic engagement cautiously to avoid potential debt dependency, a concern in many BRI participant countries. Policymakers will need to ensure these investments provide sustainable economic returns without creating excessive financial obligations.
China’s expressed commitment to regional cooperation and stability reflects its interest in securing routes for the BRI rather than purely altruistic motives. Chinese investments in high-tech sectors in Armenia could stimulate local innovation, yet Armenia must remain vigilant regarding potential intellectual property issues and ensure domestic control over sensitive technologies.
China’s involvement in Armenia’s energy projects presents both promising opportunities and critical risks. Collaboration with China in nuclear modernization and renewable energy could support Armenia’s energy resilience and economic growth. Conversely, reliance on Chinese technology and investment may impact Armenia’s policy independence and impose lasting economic and political obligations. For a balanced partnership, Armenia should focus on agreements that prioritize local benefits, control debt levels, and protect national interests. Strategic negotiations will be key to ensuring that China’s role in Armenia’s energy sector supports sustainable growth and regional stability.