As the People’s Republic of China transforms itself into a technological and military superpower, while maintaining a party-state system, there is increasing debate at the heart of the EU about the terms on which relations with the country should be pursued. Pressure has been exerted on the debate by the EU’s main ally, the US, whose strategic rivalry with China is growing daily.
What are the implications of the Trump Administration’s security and trade policies on relations between China and Europe?
For the time being, Donald Trump’s decisions on defence and trade have not been so significant as to trigger a realignment of relations between the US, China and the EU. However, his term in office throws up opportunities for the strengthening of relations between the EU and China, especially if Europe decides to intensify its Common Security and Defence Policy and Beijing decides to take its process of economic reforms further and attain a greater level of reciprocity with Europe in terms of its trade and financial regulations.
China’s re-emergence over the last few decades coincides chronologically with the process of diversification in Latin America’s pattern of international insertion. We have witnessed Beijing grow from a marginal factor in Latin America, to become a key player in shaping the evolution of countries in the region and their process of regional integration. Deepening relations with non-traditional partners has opened a more pluralistic scenario for Latin American countries, extending the range of their international cooperation options in all spheres.
The economic dimension of Chinese-Latin American relations has blossomed in the areas of trade and finance. Beijing has become the second largest trade partner and the main source of international public finance for Latin America. With that being said, the economic development of some Latin American countries is so dependent on the performance of the Chinese economy that a fall of one percentage point in the growth rate of Chinese GDP would reduce Latin American growth by 0.6%, according to the World Bank. Therefore, it is particularly relevant to analyse whether engagement with China is healthy for the economic development of Latin America or not.