China and Latin America: Building a Mutually Beneficial Strategic Alliance: Focus: China-Venezuela

摘要

The economy of China has experienced considerable continued growth during the last few decades. It has reached a Real Gross Domestic Product (GDP) growth of 10,45% in average (Annual percent change - A%c) during the last 10 years, while the world has reached 3,83% in the same period of time. This is the reason that the economy of China is currently at the forefront of the Emerging Potential Group which is comprised by Brazil (the only Latin American Country), Russia, India, China, and South Africa (BRICS). Meanwhile, Latin America and the Caribbean (in this paper referred to as "Latin America" or "region"), is well-known for its huge economic potential and abundant supply of natural resources. These economies, China and Latin America, have been developing their commercial relations and increasing their level of investment during the last few years and are in fact set to make a qualitative leap towards a mutually beneficial strategic alliance in order to change the world's economy. Latin America must double its efforts in order to build an equitable and commercially favorable environment that allows for its development. There are joint challenges to be faced, and China faces challenges of its own. This paper attempts to address different factors, gaps, and market opportunities that have to be attended to, with a special focus on Venezuela, one of the biggest potential economies in this region.