How is brazil a strategic competitor
The great potential role in regional and global affairs was the most important impetus for both sides to establish the referred strategic relationship. These potential roles are becoming true in current stage. The international community is more frequently calling on both sides to enhance their cooperation for the solution of the major global issues in the economic, environmental, political and security issues.
Regional, multilateral and global issues are becoming important topics of the Strategic Dialogue between both Chancelleries. The joint action plan is a cornerstone of the strategic relationship. Besides the comprehensive bilateral cooperation agenda, both sides committed to cooperate on the broadest multilateral issues since the establishment of the strategic relationship.
According to the joint action plan, amongst the abovementioned multilateral issues are arms control and climate change, coordination in UN, WTO, and G20, support of cooperation mechanisms for major developing countries, need to safeguard the rights and interests of developing countries, and inter-regional cooperation between Asia and Latin America and Caribbean.
As emerging global players, both Brazil and China are constrained by their heavy domestic agenda, thus they are inward-looking countries to some extent.
The Brazilian public has not even begun to debate the ramifications of Brazil's new prominence, not to mention examining the potential costs and commitments involved. Poverty, inadequate public education, corruption, and public violence remain problems to be solved by further development in Brazil. Under the leadership of President Lula, Brazil has made important achievements in fighting hunger, building infrastructure, and accumulating foreign reserves by continuing market-friendly economic policies and stimulating private investment.
By its continued high economic growth, the country has earned more resources to provide external public goods. China, on its side, faces the challenge to enlarge its domestic consumer market and the economic structure transition to a more efficient and sustainable one. The domestic agenda and poor resources restrain the capacity of both countries to play a larger role in world affairs, but they are working hard to integrate their economies to world economy to overcome these shortcomings. In the long run, this strategy will work out finally.
To build a global and strategic partnership, both sides need to enhance the understanding of each other in terms of economy, society and culture beyond politics. There are some difficulties such as language, geographic distance, and economy frictions obstructing the mutual understanding.
Lack of Brazilian newspapers, magazines or media in English make it difficult for the Chinese to know a great deal about Brazil. There is no influential research institute focusing on China in Brazil.
Brazil's advanced economic structure, higher per-capita GDP, universal usage of bio-fuel, and other characteristics were unknown to many Chinese until the very recently. However, under the emphasis of the leaders to the importance of each other, scholars, entrepreneurs and travelers from both sides are beginning to have increasing interest in their counterparts.
Centers of Brazil Studies have been established in China's influential think-tanks and universities with the development of public diplomacy in China, CCTV-news is trying to introduce China's voice to the world, and more Brazilians will have chances to know China further.
Great events like Olympic Games , World Expo , hosted by China, and World Cup and Olympic Games , hosted by Brazil, have been and will offer great opportunity to mutual knowledge and understanding. The soft power resources of Brazil, such as soccer, Samba, beautiful cities, and renewable energy, impress Chinese very much.
The Chinese now know that they can import not only iron ore and soybean from Brazil but also regional jets and biotechnology. The Cultural Month of China in Brazil is planned for , and a similar event for Brazil will be held in China in These cultural activities plus educational exchange programs will be helpful to deepen the ties across both societies.
Though Brazil and China have a balanced and sustainable trade relationship, there are still some concerns about the bilateral trade model. Brazilian exports to China rely mainly on raw materials and food products, which lead to the worry of de-industrialization in Brazil.
This perspective fails to notice that Brazil also exports manufactured products to China and the raw-material and food sectors only constitute a small part of Brazil's economy. Trade with China in the recent decade has improved the trade condition of Brazil and contributed a lot to its export promotion in the condition of real appreciation. Bilateral trade showed spectacular growth of percent since the beginning of Lula's administration in , and reached 36 billion dollars in in spite of the global economic crisis.
Furthermore, the booming trade relationship with China also serves Brazil's trade strategy to diversify worldwide. China is not only a purchaser and consumer, but also an investor. Sectors of Brazilian mining, IT, infrastructure and the newfound oil field have got vast Chinese investments.
Brazil initiated a China Agenda in to identify the priorities in bilateral trade and investment, which is very helpful to find win-win ways. Brazil highly values the cooperation on the Earth Resources Satellites with China, and looks forward to the cooperation on bio-fuel and bio-energy.
The cooperation between financial sectors is also getting impetus in recent years. Actions such as to intensify macroeconomic policy dialogue, strengthen cooperation in multilateral financial forum, expand bilateral financial cooperation and facilitate trade finance by promoting the use of local currencies in bilateral trade have been listed to the Joint Action Plan.
It seems that most Brazilians are beginning to treat China as an opportunity other than a pure competitor or even a threat. Brazilians often complain that since we both countries are strategic partners, why doesn't China back Brazil's bid for a permanent seat at UN Security Council? In , China opposed to an increase in the number of permanent members in the Security Council, which Brazil seeks as a member of G4 together with Japan, Germany and India. China explained that its opposition was addressed to Japan and India, rather than Brazil, without expressing obvious support to Brazil.
The distress of Brazilian UN representatives remains since China doesn't offer its formal support to Brazil while, in past times, Brazil recognized China as a market economy. The opposition of the U. Unlike the neighbors with territorial disputes and historical differences, Brazil should be the most possible candidate to get China's support on biding for the permanent membership of UN Security Council, considering its comprehensive power, regional leadership, contribution to UN peace activities, and closer relationship with China.
The political will and consensus on treating each other as emerging global player are not very strong for both sides. Except for China's experts' dealing with Brazil and other emerging powers, the usual focus on great powers still treats traditional powers, rather than emerging powers, as influential global players in.
Cooperation with the U. The shift to priority on the cooperation among emerging powers is only a very recent topic. Initiative to focus on developing cooperation with South countries under President Lula has also led to debates in Brazil. Most of the emerging powers do see themselves as beneficiaries of the current international system, and try to maintain good relationship with traditional powers especially the U.
Indeed, the strategic dialogues with the U. Because of their different influence to the external world and domestic influence, it takes time for both China and Brazil to treat each other as the same level as strategic partner as the U. As BRIC members, both Brazil and China have attracted increasing individual attention from the international community; nevertheless, some countries still consider their international role through the framework of cooperation among emerging powers.
Some observers defend the idea that both countries seek a stronger and more influential place in international affairs and both would welcome a more constrained role for the United States. Cardoso's and Lula's approach to India, South Africa and China since the s have had twin goals of economic diversification and political balancing of U. China can't press the dollar status as the world currency only by doing the same with other creditors. Again, the effectiveness of financial statecraft improved when a concert of creditors sounded out a common position.
International Security, Vol. These observations show that when both China and Brazil can't effectively affect the main governance structure of world affairs individually. It boasted rapid economic growth, abundant natural resources, and a large and increasingly wealthy market of million consumers.
But because of economic deceleration in China and the abrupt fall in iron-ore and other commodity prices, growth began to slow. We are forecasting the Brazilian economy to recover only by mid, with GDP growing at an average of a mere 1. For example, scandal has severely limited the investment capacity of state-oil company Petrobras and many of the most important construction companies in the country that were also involved in its kickback scheme.
With demand from these three groups retrenching as a consequence of economic recession, companies will need to adopt a new Brazil playbook in order to maintain sales growth and profitability. There are two key strategies that multinational executives operating in Brazil should consider.
Each requires leaders to pay particular attention to nuances related to the Brazilian market. Second, corporations should take advantage of the unprecedented currency depreciation and localize their business operations. With economic recession, price sensitivity is bound to increase in Brazil—for customers, other businesses, and the government. Proactive companies should revisit their customer segments, making changes to account for shifts in purchasing power and buying behavior.
This level of responsiveness requires a change in mindset for local marketing teams, especially among junior team members who do not remember the years of economic recession and hyperinflation of the eighties and early nineties. We need to start thinking differently, and we need to do it fast if we want to maintain the same level of growth that we saw during the last decade. Trying to Sell Your Audio SystemYou are trying to sell your audio system an amplifier and speakers to raise money for an upcoming trip to overseas.
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