Brazil and China enter “new era” of economic relations

BEIJING - China has signed off US$27 billion worth of deals with Brazil. Observers says this will help Brazil more effectively address issues such as its fifth straight year of sluggish growth and spiralling inflation.

Meeting with Brazilian President Dilma Rousseff, Chinese Premier Li said: “A deepened co-operation between China and Brazil will contribute to not only both countries, but to the recovery of the world’s economy.”

This “new era” of economic relations between the two countries has a heavy focus on infrastructure development, as well as a shift in the bilateral trade focus on resources to a “more comprehensive, balanced pattern” that touches on railroad, mining industry, power supplies and equipment manufacturing.

Former Chinese Ambassador to Uruguay and Venezuela, Wang Zhen, said: “China is seeking to diversify its trade pattern by exporting more industrial production capacity, while Latin American countries rely too much on exports of raw materials.”

Also included in the deals are projects such as a proposed Chinese-built, a cross-Andes transcontinental railway linking Brazil and Peru, and the purchase by China of 22 jetliners from the Brazilian aerospace conglomerate Embraer. China will also lift its ban on imports of Brazilian beef. www.webershandwick,cn (ATI).