Replication Data for: Moving Beyond Geopolitics, China-Iran BRI Relations: A Geoeconomic Perspective

The Belt and Road Initiative (BRI) is the largest regional development project in the world's development history. It is estimated that Chinese companies will invest up to $1.2 trillion in infrastructure development in Asia and elsewhere in the coming years. However, there are many obstacles to the successful implementation of this initiative in the host countries. Geographical factors, local culture, geopolitical contestation, public attitudes, institutional capacity, and governance quality can affect BRI megaprojects. These challenges can substantially diminish BRI coherence and prevent its effective implementation. This study aimed to develop an analytical framework for exploring the risks associated with and challenges of BRI projects in Iran. To this end, all risks were categorized into three broad groups: operational, financial, and geopolitical. The results showed that Iran generally faces many internal and external challenges in attracting foreign investment. The critical question raised here is, \"Why is Iran receiving substantial investment from Chinese companies despite its unfavorable business environment?\" A geoeconomic approach was used to develop a theoretical framework to explain the Iran-China BRI relations. In this context, Iran's geoeconomic significance is the main factor encouraging the flow of Chinese investment into the country. The BRI comprises mostly functional cooperation between China and countries along the Silk Road based on a specific geospatial environment. Iran's geospatial environment encourages Chinese investments in infrastructure, the main content of functional cooperation to a large extent.