The Shanghai Cooperation Organization (SCO) was formed in 2001 between China, Russia, and Central Asian countries to promote cooperation in security, economic and cultural issues. It has 6 full members and 4 observer states. The organization has a council structure and focuses on counterterrorism, trade, energy cooperation, and cultural exchanges. While the SCO provides a platform for regional cooperation, its effectiveness is limited by the different priorities of Russia and China, weaknesses in some member economies, and tensions between members, observers, and other international players like the US. The SCO aims to be an important regional actor but has not emerged as a strong military or economic bloc.

1. Shanghai Cooperation Organization
Origins and Perspectives
Lukáš Visingr
BSS 457 Regionalization of Security

2. Contents
1. History
2. Membership
3. Structure
4. Activities
5. SWOT analysis
6. Conclusions
Russian: Шанхайская организация сотрудничества
Chinese: 上海合作 (Shanghai Hezuo Zuzhi)

3. 1. History
• 1996: Treaty on Deepening Military Trust in Border Regions, so-
called „Shanghai Five“ (RF, PRC, Kaz., Kyr., Taj.)
• 1997: Treaty on Reduction of Military Forces in Border Regions
• 2001: Shanghai Cooperation Organization (with Uzb.), Treaty of
Good-Neighbourliness and Friendly Cooperation (RF, PRC)
• 2002: Shanghai Cooperation Organization Charter
• 2003: proposal of free-trade area (by PRC)
• 2004: Regional Anti-Terrorist Structure
• 2005: USA urged to set a timetable for withdrawing their forces
from SCO members, observer status refused
• 2007: agreement with CSTO to broaden cooperation

4. 2. Membership
6 regular members:
• Russia
• China
• Kazakhstan
• Tajikistan
• Uzbekistan
• Kyrgyzstan
4 observers:
• India
• Pakistan
• Iran
• Mongolia

5. 2. Membership
• 6 members: Russia, China, Kazakhstan, Tajikistan, Uzbekistan, Kyrgyzstan
• 4 observers: India, Pakistan, Iran, Mongolia
• 2 dialogue partners: Belorussia, Sri Lanka
• 3 guest attendances: Afghanistan, ASEAN, CIS

6. 2. Membership
Collective
Security
Treaty
Organization
Russia
Belorussia
Armenia
Kazakhstan
Tajikistan
Uzbekistan
Kyrgyzstan

7. 3. Structure
• The Council of Heads of State (annual summits in capitals)
• The Council of Heads of Government (annual summits)
• The Council of Foreign Ministers (regular meetings)
• The Council of National Coordinators (multilateral cooperation)
• The Secretariat of the SCO (primary executive organ)
• The Regional Anti-Terrorist Structure (permanent organ)
• Non-governmental institutions: SCO Business Council, SCO
Interbank Consortium, SCO Forum

8. 3. Structure

9. 4. Activities
SECURITY COOPERATION:
• Shift from border security issues to broader cooperation
in stabilizing the Central Asia
• The official goal is to counter „three evils“ of terrorism,
separatism and extremism
• Although the SCO declares no intentions to become a
military bloc, full-scale involvement of military forces is
seen as a necessary tool
• Joint military exercises; however, the Russian-Chinese
Peace Mission exercises are held outside of the SCO

10. 4. Activities
ECONOMIC COOPERATION:
• Trade: Chinese proposal of free-trade area
• Finances: Interbank Consortium, actions against global
financial crisis (Chinese loans)
• Energy: joint resources projects (oil, gas, water)
CULTURAL COOPERATION:
• Arts, festivals, exhibitions… (mainly symbolic)

11. 5. SWOT analysis

12. 5. SWOT analysis
STRENGTHS:
• Gigantic potential: area over 30 million km2, population
over 1,5 milliard people, GDP almost 10 billion USD
• Enormous natural resources of Russia and Central Asia
• Strong national economy of China
• Powerful military forces of Russia and China

13. 5. SWOT analysis
WEAKNESSES:
• Structural fragility: three states strong (RF, PRC, Kaz.)
and three significantly weaker (Kyr., Taj., Uzb.)
• Very different (and in some issues, rather contradictory)
motivations of two main actors (RF, PRC) and yet very
different view of the other four members
• Tensions between members and observers (RF×PRC,
PRC×Kaz., PRC×India, India×Pakistan…), still unclear
sense of the observer status itself
• Tensions between resource-suppliers and consumers
• No clause of mutual / collective defense (×CSTO)
• No common „identity“ or „values“, lack of „soft power“

14. 5. SWOT analysis
OPPORTUNITIES:
• Stabilization and utilization of Central Asia
• Expansion to South Asia and Middle East
• Suppression of Islamic extremism and terrorism
• Challenging the global dominant position of the USA
and NATO (forming an „Eastern NATO“?)
• Forming a strong independent economic block

15. 5. SWOT analysis
THREATS:
• Islamic extremism and terrorism and various forms of
separatism (mutual support disputable)
• Strength of the USA and the whole West: Washington
could launch a new „diplomatic offensive“ to „get back“
the Central Asian states
• Global economic crisis: growing problems of Russia,
possible collapse of China

16. 6. Conclusions
• SCO has established as a potentially important security
actor in Central Asia and it provides (at least discussion)
platform for security cooperation
• However, it has got fundamental weaknesses, above all
the relations between Russia and China
• Security cooperation can improve, but closer military ties
would probably collide with CSTO and deeper economic
integration seems hardly imaginable
• The real „menace“ to the West is nothing but symbolic
• Not „Eastern NATO“, rather „Eastern OSCE“, but without
comparable legitimacy; OSCE is at least respected as an
„arbiter“, while SCO is rather a „power tool“

17. Main sources
• Cohen, A.: Competition over Eurasia: Are the U.S. and Russia on a
Collision Course?, on-line text
(http://www.heritage.org/Research/RussiaandEurasia/hl901.cfm).
• Cohen, A.: The Russia-China Friendship and Cooperation Treaty: A
Strategic Shift in Eurasia?, on-line text
(http://www.heritage.org/Research/RussiaandEurasia/BG1459.cfm).
• Horák, S.: Rusko a Střední Asie po rozpadu SSSR, Praha: Univerzita
Karlova – Nakladatelství Karolinum 2008.
• Shanghai Cooperation Organization, WWW site (http://www.sectsco.org/).
• Sznajder, A. P.: China’s Shanghai Cooperation Organisation Strategy, on-
line text (http://irps.ucsd.edu/assets/004/5367.pdf).
• Weitz, R.: SCO fails to solve its expansion dilemma, on-line text
(http://www.cacianalyst.org/?q=node/4697).