Monday, April 1, 2013

Latin American Dealings w/China Hangs In The Balance Now With Francis

China/Latin America: Chinese government treats new Argentine pope with caution

Chinese government treats new Argentine pope with caution; Inter-American Development Bank benefits from further loans from China; Brazil and China to host a joint textile trade show in São Paulo.
 
Pope Francis and Xi Jinping
Chinese government treats new "Jesuit" Argentine Pope with caution

When Cardinal Jorge Bergoglio of Argentina was elected to the papal office on 13 March as Pope Francis, the Chinese government expressed its congratulations.  However the government, which is officially Communist and atheist, also used the opportunity to stress its aversion to Vatican interference in Chinese affairs.
Hua Chunying, a representative of the Foreign Ministry, voiced hopes for a fruitful partnership between China and the new Pope but also warned that the Vatican, ‘must stop interfering in China’s internal affairs, including in the name of religion’.
A persistent sore point is the Vatican’s diplomatic recognition of Taiwan since 1951, which flared up again this week when China reacted angrily to the presence of Taiwanese President, Ma Ying-jeou, at the inauguration of the Latin American pope and did not send its own delegation.  Efforts by previous Popes such as Benedict XVI to resolve the issue have been unsuccessful, and as yet it is unclear how Pope Francis will approach the situation.
China and the Vatican are also in conflict over the status of Chinese Catholics, of which number up to 12 million in China.  For the last 60 years the Communist regime has been in charge of the Catholic Church in China, known as the Catholic Patriotic Association, while the Vatican continues to exert unofficial influence in the country, causing a division between the state-run church and the ‘underground’ element that looks to Rome.
Chinese Catholics who worship at the underground churches face punishment, violating the Vatican’s calls for religious freedom.  Meanwhile the Vatican excommunicates Catholic bishops appointed without its approval.
However the Chinese government demands that the process of selection must remain in the hands of the Communist party.  During Benedict XVI’s tenure, at least three Chinese bishops ‘illegally’ appointed were excommunicated, which the government regarded as an encroachment of its authority.
However there are figures within the Catholic community who believe that Pope Francis could use his experiences as a priest in Argentina to good effect in easing tensions with China.  Bernardo Cervellera, who is the director of AsiaNews in Rome, a Catholic newsroom focusing on Asian affairs, believes that Francis’ experience in operating under various authoritarian regimes in Argentina and his advocacy on poverty issues during the Argentine economic crisis of 2002 will leave him well placed to make effective progress in relations with China.

Inter-American Development Bank benefits from further loans from China

The People’s Bank of China is partnering with the Inter-American Development Bank (IADB) to finance $2bn worth of loans for Latin America and the Caribbean, as the region continues to be beset with problems following the global financial crisis.  This latest financial aid will be used to set up a regional investment fund and comes in addition to a $1bn investment in the region in 2011 for infrastructure projects.
The IADB held its annual meeting last week in Panama City and released a report revealing that regional growth is expected to settle around 3.9% until 2017, down from 4.8% during 2002-2007.  The report also stated that the region’s growth will be constrained by falling commodity prices and expanding fiscal deficits, though slowing rates of inflation are giving Latin American banks the space to stimulate growth.
The IADB was established in 1959 and is the biggest source of development funding for Latin America and the Caribbean.  It has 48 members, of which China is a donor member.

Brazil and China to host a joint textile trade show in São Paulo  

From 23 to 25 October 2013 the Go Textile Sourcing Show (GOTEX) will be held at the Sao Paulo Anhembi Exhibition Centre.  The event will be organised by the China Chamber of Commerce for Import and Export of Textiles (CCCT), China Council for the Promotion of International Trade (CCPIT-TEX) and the Brazil Exhibition Company (FCEM) and is open to textile clothing suppliers from around the world.
Approximately 6000 buyers are expected to attend the trade show, which will promote the values of green sustainable development and textile sourcing.  The event is also designed to be a ‘hub of global textile supply chain in South America’ and ‘an ideal platform for international suppliers to take advantage of the great potential and new business opportunities in the Brazilian textiles and apparel market.’
The bilateral textile trade between Brazil and China has continued to expand – Chinese exports to Brazil were valued at more $3.5bn in 2011.  The President of CCPIT-TEX, Xu Yingxin, aims to use the trade show to strike up links with the local market at every stage of the industrial chain, from production to marketing.
Furthermore CCCT President, Jiang Hui, said, ‘As the largest market in South America, Brazil is an important goal for the industry and enterprises to explore a diversified international market… I hope that the GOTEX exhibition will provide an efficient and highly-qualified platform.’

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