The Latin Lineup Strengthening cooperation brings opportunities for China and Latin American countries By Ding Ying

NEW AMIGOS:Chinese President Xi Jinping shakes hands with Mexican President Enrique Peña Nieto after signing a joint statement in Mexico City on June 4

Distance is no longer a barrier to improving relations between countries.China and Latin American nations now have an opportunity to cooperate in a wider scope.

Chinese President Xi Jinping’s recent trip to Latin America presented an ideal moment to enhance China’s relationships with countries in the region.Observers believe that this visit will create momentum for the development of China-Latin America relations.

Thoughtful planning

Xi conducted a three-nation Latin America tour to Trinidad Tobago,Costa Rica and Mexico from May 31 to June 6.It was the Chinese president’s second tour abroad since assuming office in March.China has shown pronounced enthusiasm toward the region,intending to further build the China-Latin America relationship in the future.

Chen Xiangyang,a researcher on international political studies with the China Institutes of Contemporary International Relations,pointed out that China and Latin America have both shown a stronger interest in one another alongside improving political trust,trade and economic cooperation in recent years.“The prospect of China-Latin America cooperation is encouraging and promising,”said Chen.

Chinese observers said that each of the three Latin American countries hold great significance for China.

Xi is the first Chinese president to visit Trinidad and Tobago and English-speaking Caribbean countries.“President Xi’s visit to Trinidad and Tobago will enhance not only the bilateral relationship,but also practical cooperation between China and other Caribbean countries,”Chen predicted.

Trinidad and Tobago established diplomatic relations with China in 1974,and the bilateral political relationship has been stable ever since,while their economic connection has been strengthening.

“Trinidad and Tobago is a very influential and representative Caribbean nation to China.It can be considered a leader of the Caribbean.The Chinese president’s recent visit will vigorously drive China’s friendly cooperation with the whole Caribbean region,”said Xu Shicheng,a researcher on Latin American studies with the Chinese Academy of Social Sciences (CASS).He added that Trinidad and Tobago’s capital,Port of Spain,is home to the Association of Caribbean States’ headquarters.Moreover,the country will be the rotating chair state of the Caribbean Community from July 1 to December 31.

During his visit,Xi also met with leaders of several more nations in the region,including Antigua and Barbuda,the Bahamas,Dominica,Grenada,Guyana,Suriname and Jamaica.Such an arrangement was based on Trinidad and Tobago’s special influence in the Caribbean area,and showed China’s strong desire to boost relations with all these countries.

China and Costa Rica forged diplomatic relations in 2007.Costa Rica is the only Central American country to have established diplomatic relations with China.The two have signed a bilateral free trade agreement,and China is now Costa Rica’s second biggest trade partner.In addition,China provided Costa Rica with assistance totaling nearly $160 million from 2006 to 2012.Costa Rica has offered an encouraging example to other Central American countries that are hesitating to build a diplomatic relationship with China.

Chen pointed out that while cementing bilateral ties,President Xi’s visit to Costa Rica will exert a positive influence on other Central American countries.

Mexico was the last leg of the Chinese president’s Latin America trip.Xi and his Mexican counterpart Enrique Peña Nieto agreed on June 4 to lift the bilateral relationship to a“comprehensive strategic partnership.”They reached consensus that strengthening China-Mexico long-term friendly cooperation serves the fundamental interests of the two countries and peoples,and helps promote unity and cooperation among developing countries.

Mexico,one of the most important emerging markets,is the second biggest economy in Latin America.It is also one of China’s most important partners in the region.The two countries established diplomatic relations 41 years ago.In 2003,the two sides confirmed their strategic partnership.Now China is Mexico’s second biggest trade partner,and Mexico is China’s second biggest trade partner in Latin America.

Chen pointed out that the China-Mexico relationship is of global and strategic importance,as both of them are influential developing countries.“Their communication and coordination on important global issues will help make the international order and system fairer and more equitable,”Chen stressed.

LATINO LINK:Chinese President Xi Jinping and his wife Peng Liyuan (second right,front) visit a farmer’s family in Costa Rica on June 3

Flourishing partnership

It is worth mentioning that highlevel exchanges between China and Latin America have been frequent since the Chinese leadership transition.Before President Xi’s three-nation trip,Chinese Vice President Li Yuanchao made his first tour to Venezuela and Argentina.China-Latin America relations are an integral part of the Chinese Government’s overall diplomatic balance.

“The Chinese president’s Latin America visit was aimed at deepening China-Latin America relations and improving long-term cooperation with countries in the region.In this way,their relationship can realize a breakthrough of comprehensive development with mutual political trust,reciprocal economic cooperation and active cultural dialogue,”said Chen.

CARIBBEAN ENCOUNTERS:Chinese President Xi Jinping and Trinidad and Tobago’s Prime Minister Kamla Persad-Bissessar attend the commencement ceremony for a children’s hospital in Couva on June 1

Before kicking off the tour,Xi gave an interview with media from the three Latin American countries,in which he suggested a four-point view of developing the China-Latin America relationship:Politically,he stressed strengthening mutual strategic trust,support and understanding on major issues concerning each other’s core interests;economically,Xi said practical cooperation would bring real benefits to Chinese and Latin American peoples;in terms of international affairs,he advocated intensifying coordination to protect their essential common interests and the shared interests of developing countries;and lastly,he underlined the need to build the China-Latin America Cooperation Forum as a better platform for pushing forward all-round cooperation between China and Latin America.

China has signed free trade agreements with three Latin American countries—Chile,Peru and Costa Rica.China is now the second biggest trade partner of Latin America.In spite of the global economic downturn and the European debt crisis,bilateral trade exceeded $261 billion in 2012,an increase of 8.1 percent over the previous year.It is expected to reach $400 billion in 2017.China’s investment in Latin America has totaled nearly $65 billion,creating abundant job opportunities in Latin American countries.According to the latest forecast of the Inter-American Development Bank,China is expected to be Latin America’s top trade partner in five years.

“Developing relations with Latin America is of great significance,”said Wu Hongying,Vice President of the Chinese Association for Latin American Studies.Wu Hongying explained that emerging developing countries now have become the impetus driving world economic recovery,as most developed countries are still struggling with the financial crisis.Boosting China-Latin America cooperation will deliver tangible benefits to them and also help build a multi-polar world.Moreover,conducting trans-Pacific economic cooperation with Latin American countries will contribute to peace and development of the Asia-Pacific region.

Wu Hongying stressed that developing relations with Latin American countries represents the direction of China’s peaceful development,because the development of China-Latin America relations is open,inclusive,cooperative and win-win.“It conforms to the common interests of China and Latin America,and will make active contributions to regional and global peace,stability and prosperity,”said Wu Hongying.

In November 2008,China issued a policy paper on Latin America and the Caribbean,setting a basis for its strategic cooperation with Latin America.China hopes to establish longterm strategic relations with countries in the region,and raise their practical cooperation to a higher level.During Xi’s visit,China and the three Latin American countries signed cooperative agreements in areas such as agriculture,technology,energy,environmental protection and processing.

In addition to their wide-ranging and multilevel strategic cooperation,China and Latin America have provided mutual assistance on various global issues,which has greatly increased both sides’ influence in the world,said Wu Baiyi,a researcher on Latin American studies with the CASS.

China and Latin America are inseparable in terms of South-South cooperation.Both sides have exchanged views and supported each other on a variety of issues through world-class platforms like APEC,BRICS and G20 summits as well as the newly established Latin America panel at the Boao Forum for Asia.

“The China-Latin America relationship has entered a mature stage of high-speed development.Latin America’s status in China’s global cooperative blueprint has greatly improved,”Wu Baiyi said.