The New International Role of China and its Relations with Argentina in Times of Crisis

OVIEDO, EDUARDO DANIEL

Journal of Global Development and Peace

Unversity of Bridgeport

Lugar: Bridgeport; Año: 2010 p. 41 - 76

2152-3908

This article studies the ways in which China?s rise in the pecking order of the world?s economies impacted Argentine-Chinese bilateral relations at the beginning of the current international economic crisis. First of all, China?s rise widened the asymmetry of powers, changing the scheme of bilateral relations between China and Argentina from a traditional South-South model of cooperation to a North-South relation. Secondly, the trade between these two countries, indicated by Argentina?s export of soybeans and soy by-products to China, is the staple for maintenance of productive political relations. These economic ties have influenced Argentine foreign policy toward China, especially on the ?China question.? China?s evolving economic role is pertinent to understanding the recent historic transformation of foreign trade in Argentina. In 2007, for the first time in Argentina?s economic history, exports to Asia exceeded exports to Europe. Thirdly, at a time when the United States and the European Union are preoccupied with resolving the challenges of the international economic crisis, the Chinese government has published its first ?white paper? on Latin America and the Caribbean region. This document outlines the intentions that China?s government has for China-Latin American relations medium to long-term and also what impact this will have upon Argentina. Lastly, the extent of interdependency and the role that domestic markets can play in alleviating this are the most important factors in grasping different countries? reactions to the current economic crisis. Argentina and China are not exceptions in this matter and lessons can be learned from the ways in which different countries addressed the Great Depression of the 1930s.