logo Agência Brasil
International

China factor marks 200 years of relations between Brazil and USA

Interests of powers must benefit the country, say experts
Lucas Pordeus León
Published on 03/06/2024 - 13:06
Agência Brasil - Brasília
Palácio do Itamaraty na Esplanada dos Ministérios
© Fabio Rodrigues Pozzebom/Agência Brasil

Brazil and the United States celebrated 200 years of diplomatic relations in May. The occasion was marked not only by seminars and protocol hearings at the Ministry of Foreign Affairs and the Federal Senate in Brazil but also by the backdrop of Washington's dispute with Beijing on the international stage.

During a visit to Brazil for joint military exercises, General Laura Richardson, head of the US Southern Command, openly criticized China. She warned of supposed risks for Brazil if the country participates in the Chinese Silk Road project, which involves trade and infrastructure partnerships.

The Southern Command oversees US security in Latin America and the Caribbean. Laura Richardson highlighted the existence of a global dispute between democracies and dictatorships and warned that “like-minded democracies need to collaborate more effectively."

"We respect each other's people, the democracies, which is not the case with a communist country, because they don't respect the rights of their own people. The People's Republic of China has already established a history, not only in Latin America but also in other parts of the world," said the military officer in an interview with the newspaper Valor Econômico.

The Chinese Embassy in Brazil reacted in a statement, saying that the United States “adopts a typical Cold War mentality and obeys a hegemonist logic. They seek to distort the perception of public opinion, demoralize China's image and damage friendship and cooperation with Brazil, and thus constitute complete political lies.”

Sociologist Raphael Seabra, from the Department of Latin American Studies at the University of Brasília (UnB), suggests that the US military officer's position is not related to Brazil's democratic institutions but rather reflects the stance of Joe Biden's government. This stance, Seabra argues, is evident in recent laws aimed at taxing China's technological products.

"Her [Laura Richardson's] speech reflects an attempt to isolate China and foment conflict between the governments of Latin America, specifically the Brazilian government and the Chinese state. It's obvious that, for the United States, we've always been their backyard. It also shows a bit of desperation, considering the severe industrial crisis the United States has been experiencing, which is not new," he commented.

International relations professor Alexandre Pires stated that the United States is attempting to secure Brazil as an ally in its global efforts to contain China. "One option the United States has in this geopolitical dispute is to create allies. Brazil is a potential ally due to geographical proximity—we are in the same hemisphere. However, the United States must offer something to Brazil," said Pires, an expert at the Brazilian Institute of Capital Markets (Ibmec).

Brazil among powers

According to the Ibmec professor, Brazil should seek to benefit from the dispute between China and the US while avoiding conflict with either government to prevent potential retaliation. Brazil's dependence on both powers makes this approach crucial.

"You have to try to balance this economic war that's been ongoing between China and the United States. It's not just about hegemony; it's about energy transition, rare earths, and controlling the resource market. China has been playing hardball to control mines, routes, and ports, which goes against the interests of the United States," explained Alexandre Pires.

Professor Seabra highlighted that if two world powers are interested in Brazil, the country should leverage this dispute to its advantage and gain benefits.

"Do as Getúlio Vargas did. He reached a series of agreements with [Franklin Delano] Roosevelt [US president from 1933 to 1945], which led to Brazil developing a basic and strengthened national industry," he recalled.

Foreign trade

Since 2009, China has been Brazil's largest trading partner. In 2023, the trade flow between the two countries exceeded $157 billion, accounting for 30 percent of Brazil's total exports and 22 percent of its total imports.

The United States is Brazil's second-largest trading partner, with a trade flow of nearly $75 billion. Brazil exports 10 percent of its total exports to the United States, while 15 percent of the country's total imports originate from there. These figures have been disclosed by the Foreign Trade Secretariat (Secex), linked to the Ministry of Development, Industry, Trade, and Services.