The embrace between Brazil and China continues, two different and geographically distant giants but united by many convergences. First of all: economics.
The BRICS, the Global South and now also the Belt and Road Initiative (BRI), or the New Silk Road. The embrace between Brazil and China continues, two different and geographically distant giants but united by many convergences.
One above all: the desire to make the global order more inclusive, a reflection not only of the great Western powers but also of the countries of the South of the world and those in the developing world, limiting, for example, the specific weight of the dollar in the international economy.
Brazilian President Luiz Inacio Lula da Silva revealed that his administration is developing “a proposal to join” the BRI, China’s flagship infrastructure and investment project. Describing a synergy between Chinese interests and his country’s infrastructural gap, Lula said he is open to joining the Silk Road, as long as it brings tangible results.
“Since China wants to discuss this Silk Road, we will have to prepare a proposal to evaluate ’What do we gain? What does Brazil gain if we participate in this?’” he explained. Music to the ears of Beijing, which is happy to deepen the dialogue with the Latin American giant, a strategic partner as regards, for example, the agri-food sector.
Brazil’s change of pace
This is the first time that the Brazilian government has openly discussed the possibility of joining the BRI. And this is despite China having repeatedly extended its invitation to Brasilia in the past. As the South China Morning Post wrote, even though it represents one of the largest recipients of investments from mainland China, Brazil has so far always been reluctant to join the commercial and infrastructural network proposed by Xi Jinping.
To date, Brazil is one of only three South American countries not to take part in the project, along with Colombia and Paraguay (the latter does not have formal diplomatic relations with mainland China due to its ties to Taiwan). The reason for such a stance has always been driven by the fear that a possible membership could compromise relations between Brasilia and the Western partners, signaling an automatic alignment with the Dragon.
However, the parties, Brazil and China, have discussed the BRI several times. Liu Jianchao, minister of the Chinese Communist Party’s International Department, said Beijing "really wants" Brazil to join the trade and infrastructure strategy, but has no intention of "setting a deadline." “It’s up to the Brazilian government to decide,” Liu told reporters.
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2024 could be the right year to witness the white smoke, and therefore the Brazilian entry into the BRI. Brazil and China are celebrating 50 years of bilateral relations, and then Xi Jinping is expected to participate in the G20 summit in Rio de Janeiro scheduled for November.
Lula in turn declared that he will be a guest at the Asia-Pacific Economic Cooperation summit, which will be held in Peru in November; China is a member of APEC and Xi is also expected to attend the meeting, during which the Chancay deep-sea port is expected to be inaugurated. Financed by Belt and Road funds, the port is expected to expand China’s trade volume with South America.
Referring to the APEC summit, Lula explained that it was "the first time that Brazil was invited and, even if I don’t have much free time, I have already decided that I will go because Brazil wants to enter this Chinese world". “No one can stop Brazil from continuing to develop its relations with China,” he thundered in 2023, during a visit to Beijing.
China buys about a third of all Brazilian exports, including the majority of soy and beef. This agricultural trade relationship has made Beijing increasingly dependent on Brazilian products, but it has also created a powerful pro-China lobby in Brazil.
The Brazilian agribusiness caucus, in particular, has an interest in ensuring that relations with its main client remain friendly, as became clear when former president Jair Bolsonaro was forced to moderate his tough stance against China in the face of their opposition. Who knows, a hypothetical entry of Brasilia into the BRI might make all these pressure groups happy...
Original article published on Money.it Italy 2024-08-09 06:24:00. Original title: Lula abbraccia la Cina: il Brasile è pronto ad aderire alla Belt and Road Initiative
