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Beyond copper: China and Chile relations

Beyond copper: China and Chile relations This study aims to investigate the Chile–China diplomatic and economic relations in the light of the extension of the bilateral free trade agreement (FTA) and the Chile's accession to the Belt and Road Initiative (BRI) in 2019.Design/methodology/approachThis study takes Chile as a case of study to identify the main upcoming challenges and opportunities for relations between China and Latin American and the Caribbean (LAC) countries. The study examines news and official data on trade, investment and foreign policy.FindingsThe findings are twofold. First, the increasing and diversification of exports from Chile to China. Second, the participation of Chinese companies in public tendering procedures, which is increasing Chinese foreign direct investment (FDI) in the country. The growing volume of trade does not make Chile's economy more dependent on copper exports, and Chinese investment may help solve the structural deficit in infrastructures of the Andean country.Originality/valueThis study presents an overview of Chile as a partner for China and evaluates the relationship's impact on the development of the former. Recently collected data on bilateral trade and investments are analyzed to contribute to the emerging literature on Chinese and Chile relations. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Asian Education and Development Studies Emerald Publishing

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Publisher
Emerald Publishing
Copyright
© Emerald Publishing Limited
ISSN
2046-3162
DOI
10.1108/aeds-08-2019-0132
Publisher site
See Article on Publisher Site

Abstract

This study aims to investigate the Chile–China diplomatic and economic relations in the light of the extension of the bilateral free trade agreement (FTA) and the Chile's accession to the Belt and Road Initiative (BRI) in 2019.Design/methodology/approachThis study takes Chile as a case of study to identify the main upcoming challenges and opportunities for relations between China and Latin American and the Caribbean (LAC) countries. The study examines news and official data on trade, investment and foreign policy.FindingsThe findings are twofold. First, the increasing and diversification of exports from Chile to China. Second, the participation of Chinese companies in public tendering procedures, which is increasing Chinese foreign direct investment (FDI) in the country. The growing volume of trade does not make Chile's economy more dependent on copper exports, and Chinese investment may help solve the structural deficit in infrastructures of the Andean country.Originality/valueThis study presents an overview of Chile as a partner for China and evaluates the relationship's impact on the development of the former. Recently collected data on bilateral trade and investments are analyzed to contribute to the emerging literature on Chinese and Chile relations.

Journal

Asian Education and Development StudiesEmerald Publishing

Published: Jun 18, 2021

Keywords: Belt and road initiative; Agriculture; Chile; China; Copper; Foreign direct investment; Free trade agreements; Infrastructure

References