By Scaria Cherian

Chinese President Xi Jinping (right) is welcomed by Brazilian President Luiz Inacio Lula da Silva before the start of the 19th G20 Summit in Rio de Janeiro, Brazil, Nov 18, 2024. (PHOTO / XINHUA)

The G20 summit held in Rio de Janeiro in November 2024 marked a new chapter in the bilateral relations between China and Brazil, deepening the ties between these two Global South giants. Over the past five decades, their relationship has been characterized by mutual respect, assistance, and shared benefits. The agreements signed and initiatives launched during the summit reflect a shared vision for a multipolar world order that emphasizes sustainable development, poverty alleviation, and equitable growth. Against the backdrop of geopolitical shifts, including the rise of right-wing ideologies in the West, this alliance is reshaping the dynamics of global governance.

In his speech, Xi Jinping emphasized Brazil’s crucial role in China’s trade and international policies, noting that Brazil was the first Latin American country to establish diplomatic ties with China. Since 2009, China has been Brazil’s largest trading partner. In recent years, the two countries have strengthened and elevated their strategic partnership, collectively becoming a prominent voice for the Global South in challenging the hegemonic dominance of the West and the United States.

The meeting resulted in the two countries signing nearly 40 agreements and rebranding their partnership as the Brazil-China Community, highlighting the mutual significance they place on their relationship. For China, this move is seen as a strategy to counter the anticipated trade wars under the incoming Trump administration, while Brazil views China as a crucial partner in advancing Latin America’s infrastructure development. The agreements covered a wide range of areas, including technology, agriculture, infrastructure, and sustainable development, building on the 2023 agreements but with a sharper focus on a “global strategic partnership.” Their collaboration within multilateral frameworks such as BRICS, the WTO, and the UN exemplifies this strategic partnership, which also serves to safeguard the interests of emerging markets globally.

China and Brazil jointly issued a six-point consensus on resolving the Ukraine crisis, emphasizing that dialogue and negotiation are the only feasible paths to peace. They also launched the “Friends for Peace” group, collaborating with other Global South nations to advocate for a peaceful resolution. In addition, both nations called for an immediate ceasefire in the ongoing Gaza conflict and reaffirmed their support for a two-state solution as the only viable resolution to the Palestinian issue.  

Addressing speculation about Brazil’s involvement in China’s Belt and Road Initiative (BRI), the two countries agreed to align Brazil’s development strategies, such as the Growth Acceleration Programme (PAC) and the New Brazilian Industry Plan, with the BRI. Although Brazil has not officially joined the initiative, this alignment effectively integrates its current and future projects with the BRI’s objectives, fostering closer cooperation between the two nations.

As part of the collaboration, Xi Jinping pledged support for the transcontinental railway project connecting Peru, Bolivia, and Brazil. China regards this initiative as a strategic step, viewing the railway as a means to access critical natural resources like lithium, which are expected to significantly impact the market as electric vehicles increasingly dominate transportation systems.

Another notable outcome of the meeting was the two countries’ agreement to advance their collaboration in the family farming project. Over the past few years, both nations have fostered a partnership in this area, and to further enhance its scope, they decided to establish a Joint Laboratory for Mechanization and Artificial Intelligence in Family Farming. This initiative aims to help small-scale farmers improve efficiency, lower labour costs, and boost crop yields.

The AI-powered tools introduced through this collaboration can support automated irrigation, pest detection, and soil health monitoring, enabling more precise cultivation of specific crops. This modernization is expected to yield higher-quality produce and boost the export of agricultural products from both nations. China, in particular, stands to benefit significantly from this initiative due to its heavy reliance on Brazilian agricultural goods. In 2023 alone, Brazil exported $58 million worth of agricultural products to China, accounting for 24.85% of China’s total agricultural imports. Additionally, China views this modernization as a strategic move to strengthen trade ties with Brazil, which could help offset potential trade barriers expected under the upcoming Trump administration.

The Brazilian Development Bank (BNDES) and the China Development Bank (CDB) have signed a significant funding agreement, underscoring the deepening economic ties between the two nations and their potential impact on global financial governance. For Brazil, this agreement represents substantial financial support from China for infrastructure development, reducing its reliance on Western financial institutions. These institutions have historically burdened Global South nations with exploitative loans and imposed austerity measures as a condition for funding.

From China’s perspective, the agreement strengthens its economic foothold in Latin America, securing access to a vast market that could help mitigate the impact of potential trade barriers or tariffs under the incoming Trump administration. Furthermore, the deal symbolizes a broader shift towards a multipolar financial system, challenging the dominance of Western financial institutions and signalling a move away from traditional financial hegemony.

To tackle the climate crisis, Brazil and China have forged a partnership focusing on sustainable development and the transition to clean energy. The agreement encompasses large-scale projects in wind, solar, and hydropower sectors, aiming to reduce Brazil’s reliance on fossil fuels. According to Luis Antonio Paulino, a professor at São Paulo State University, this renewable energy collaboration will enable Brazil to establish a more balanced electricity supply network, contributing significantly to global sustainable development.

In addition to renewable energy, China’s involvement in the development of the Brazilian satellite CBERS-6 is poised to deliver transformative benefits. The satellite will be equipped to monitor fires, water resources, natural disasters, urban expansion, and land use, with a special emphasis on preserving Brazil’s ecosystem. This initiative plays a vital role in curbing deforestation in the Amazon region, generating positive global environmental outcomes.

The deepening of Sino-Brazil strategic relations is pivotal for advancing multipolar global governance, particularly in the context of Donald Trump’s return to power and the increasing prominence of right-wing ideologies in Europe. China’s collaboration with Brazil not only bolsters its influence in Latin America but also serves as a platform to present an alternative development model centred on mutual respect, understanding, and equitable partnerships, in contrast to the traditional frameworks of hegemony and dependency.

This partnership indicated the potential of South-South cooperation to challenge the Western-centric development paradigm. It advocates for a multipolar world order with a focus on poverty alleviation, sustainable development, and reducing income inequality, marking a significant shift towards more inclusive and balanced global governance.

In sum, the strengthened Sino-Brazil partnership represents a bold step towards redefining global governance in the 21st century. By fostering collaboration in infrastructure, renewable energy, agriculture, and financial systems, the two nations are not only advancing their mutual interests but also providing a model of equitable and inclusive development for the Global South. Their shared commitment to sustainable practices and strategic multilateralism shows the potential of South-South cooperation to challenge hegemonic models and pave the way for a more balanced and multipolar global order. As Brazil and China continue to deepen their ties, their partnership could serve as a catalyst for a more equitable and sustainable world.

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