China LatAm in­vest­ment di­ver­si­fies

China Daily (USA) - - ACROSS AMERICAS - By JING SHUIYU and ZHONG NAN in Bei­jing Con­tact the writ­ers at zhong­nan@chi­nadaily.com.cn

As China’s do­mes­tic de­mand ex­pands and Latin Amer­ica un­der­goes eco­nomic re­struc­tur­ing, the two sides’ trade and in­vest­ment ac­tiv­i­ties are di­ver­si­fy­ing, the Min­istry of Com­merce said on Thurs­day.

The economies of China and Latin Amer­ica, which is a vi­brant and promis­ing mar­ket, highly com­ple­ment each other, said min­istry spokesman Sun Ji­wen.

“We have no­ticed that more merger and ac­qui­si­tion ac­tiv­i­ties have been car­ried out by Chi­nese com­pa­nies, not only in Latin Amer­i­can coun­tries’ en­ergy and com­modi­ties sec­tors, but also ex­tend­ing to agri­cul­tural, cul­tural, fi­nan­cial and in­for­ma­tion ser­vice busi­nesses,” he said dur­ing a news con­fer­ence in Bei­jing.

Bi­lat­eral eco­nomic ties have de­vel­oped rapidly since China was ad­mit­ted into the World Trade Or­ga­ni­za­tion in 2001, and trade fig­ures show that China has pur­chased more com­mod­ity and en­ergy prod­ucts in­clud­ing soy­beans, iron ore, coal and crude oil from the re­gion over the past decade.

China is Latin Amer­ica’s sec­ond-largest trade part­ner af­ter the United States. Bi­lat­eral trade be­tween the two sides to­taled $236.5 bil­lion last year, ac­cord­ing to the Gen­eral Ad­min­is­tra­tion of Cus­toms. In 2000, the bi­lat­eral trade was $12.6 bil­lion.

“On the whole, bi­lat­eral trade still cen­ters on tra­di­tional prod­ucts, but both sides have al­ready opened more mar­ket ac­cess to each other’s high-tech prod­ucts and com­mod­ity goods, such as China’s rail­way ve­hi­cles, telecom­mu­ni­ca­tion equip­ment and con­struc­tion ma­chin­ery and Brazil­ian soy­beans and beef, as well as Chilean wines and fruits,” said Sun.

There is room for more busi­ness, he said. China has ad­van­tages in ar­eas such as so­lar power and large equip­ment, while Latin Amer­ica is pro­mot­ing a low-car­bon econ­omy.

Li Guanghui, vice-pres­i­dent of the Chi­nese Acad­emy of In­ter­na­tional Trade and Eco­nomic Co­op­er­a­tion in Bei­jing, said Latin Amer­ica is highly mar­ket-ori­ented. He added that he ex­pects greater two-way di­rect in­vest­ment be­cause of the re­gion’s rich re­sources, sta­ble eco­nomic en­vi­ron­ment and sound le­gal frame­work.

The In­ter­na­tional Mone­tary Fund pro­jected that Peru, Chile and Brazil will show the strong­est eco­nomic growth in the re­gion from 2013 to 2017.

“In ad­di­tion to big-ticket in­fra­struc­ture projects, fu­ture bi­lat­eral in­vest­ment ac­tiv­i­ties can fo­cus on sec­tors in­clud­ing new en­ergy, new ma­te­ri­als, en­ergy conservation and en­vi­ron­men­tal pro­tec­tion, bio-in­dus­try, aerospace, auto man­u­fac­tur­ing, elec­tronic in­for­ma­tion and me­chan­i­cal equip­ment,” said Li.

Newspapers in English

Newspapers from China

© PressReader. All rights reserved.