Economy Argentina on track to start corn exports to China in July - We are on the right track

[legend]

Milei is doing things right, and we are already seeing progress.

https://www.reuters.com/markets/commodities/argentina-track-start-corn-exports-china-july-grains-chamber-head-2024-05-28/

 

[Uncle Wong]

I guess Argentina needs China after all!

 

[Uncle Wong]

This should be a huge source of revenue for Argentina! This is a good example of one of the mistakes Milei made in his early days of saying Argentina wouldn't do business with China. He is realizing now that he needs China.

Argentina to begin corn exports to China next July

At times the world's third supplier of corn, (behind Brazil and the US), Argentina expects to begin sending corn shipments to China as of next July, the head of the grains' exporter chamber, Gustavo Idigoras revealed. The Argentine government had anticipated that it was targeting corn exports to...

en.mercopress.com

 

[Avocado]

This should be a huge source of revenue for Argentina! This is a good example of one of the mistakes Milei made in his early days of saying Argentina wouldn't do business with China. He is realizing now that he needs China.

Argentina to begin corn exports to China next July

At times the world's third supplier of corn, (behind Brazil and the US), Argentina expects to begin sending corn shipments to China as of next July, the head of the grains' exporter chamber, Gustavo Idigoras revealed. The Argentine government had anticipated that it was targeting corn exports to...

en.mercopress.com

Very good news. Turn around for Argentina depends on many exports and a good harvest. They say this will be a good year. Let's all hope.

 

[Uncle Wong]

Also I see that Uruguay is doing the wise thing and making it a priority to make ties with China. Smart.

Uruguay to prioritize Mercosur's ties with China

Uruguay's Foreign Ministry Omar Paganini anticipated that revitalizing dialogue with China will be a main priority once his country takes over the pro-tempore presidency of the South American Common Market (Mercosur) on July 8.

en.mercopress.com

 

[Utopos]

Very smart for Miilei to change his rhetoric on China.

https://twitter.com/x/status/1800918114131132486

 

[Uncle Wong]

Great news that Argentina is getting ready for first China corn shipments in 15 years. Should be some great $$$$

Argentina poised for first China corn cargoes in 15 years

Argentina is preparing corn shipments to China that will be the first in 15 years, the latest move by the two countries to expand agricultural trade.

www.batimes.com.ar

 

[TonyTigre]

When looking at the Argentina/China relationship, of course there are natural biases in terms of how people view who needs whom more. However, there is an universal truth and that this each country only care about their interests and all relationships between two countries are based on those interests.

Surely no one in their right mind would believe that Milei ever intended to end trade relations with China when he stated that he would not make any pacts with communists. Yes, such statements probably made China worried that their relationship with Argentina would not be smooth sailing under Milei. Yes, I said "worried" because while some will argue that Argentina needs China more than China needs Argentina, that debate actually irrelevant; the reality is that China has a lot of interests in Argentina and China export to Argentina more than they import. In fact, before Milei, China exported significantly more than they import from Argentina. https://www.statista.com/statistics/1105941/argentina-trade-value-china/

So when you consider the trade balance, the Chinese projects in Argentina, and the food and other natural resources that China wants from Argentina, it's clearly in the interest of China to have a good relationship with Argentina. So China being "worried" about that relationship is not a bad thing for Argentina. It gives China more motivation to keep and to improve the relationship. Yes, China made some moves to remind Argentina that Argentina can also benefits from their relationship with China. That just gives both sides an excuse to get to the negotiation table without losing face.

Look at the trade balance between Argentina and China going forward, and then judge whether Milei making China worried about their two countries' relationship is a bad thing. First corn shipment to China in 15 years was obviously part of the negotiations. Making China and the US compete for influence in Argentina is a good thing for Argentina. It will be interesting to see what else Milei can get from China after the his visit this month.

Btw, the way I understand it, the only thing that would cause irreparable damage to relationship with China is to go against the One China Principle. In other words, as long as you don't say Taiwan is an independent country from China, you're ok and China would love to trade with you.

 

[GraceH]

When looking at the Argentina/China relationship, of course there are natural biases in terms of how people view who needs whom more. However, there is an universal truth and that this each country only care about their interests and all relationships between two countries are based on those interests.

Surely no one in their right mind would believe that Milei ever intended to end trade relations with China when he stated that he would not make any pacts with communists. Yes, such statements probably made China worried that their relationship with Argentina would not be smooth sailing under Milei. Yes, I said "worried" because while some will argue that Argentina needs China more than China needs Argentina, that debate actually irrelevant; the reality is that China has a lot of interests in Argentina and China export to Argentina more than they import. In fact, before Milei, China exported significantly more than they import from Argentina. https://www.statista.com/statistics/1105941/argentina-trade-value-china/

So when you consider the trade balance, the Chinese projects in Argentina, and the food and other natural resources that China wants from Argentina, it's clearly in the interest of China to have a good relationship with Argentina. So China being "worried" about that relationship is not a bad thing for Argentina. It gives China more motivation to keep and to improve the relationship. Yes, China made some moves to remind Argentina that Argentina can also benefits from their relationship with China. That just gives both sides an excuse to get to the negotiation table without losing face.

Look at the trade balance between Argentina and China going forward, and then judge whether Milei making China worried about their two countries' relationship is a bad thing. First corn shipment to China in 15 years was obviously part of the negotiations. Making China and the US compete for influence in Argentina is a good thing for Argentina. It will be interesting to see what else Milei can get from China after the his visit this month.

Btw, the way I understand it, the only thing that would cause irreparable damage to relationship with China is to go against the One China Principle. In other words, as long as you don't say Taiwan is an independent country from China, you're ok and China would love to trade with you.

Well said. I hope Milei doesn’t take the USA side like with Israel and Ukraine and just stays out of the Taiwan dispute.