What's Driving the Surge in Brazil's Business Ties With China

BYD announced that it opened its 100th dealership in Brazil, highlighting the South American country's growing importance to the Chinese electric vehicle giant. It's a similar story across the board in tech, agriculture, and natural resources, among other sectors.
Trade and investment between China and Brazil is booming and is unlikely to slow anytime soon.
Tulio Cariello, director of content and research at the Brazil-China Business Council joins Eric & Cobus from Rio de Janeiro to explain how Brazil is benefitting a lot from Beijing's souring ties with Washington.
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[@gelinrefira]

"Overcapacity" is now the code word for "I'm unable to compete".

[@chinaglobalsouth]

I don't understand. China does a lot to protect its strategically vital industries, so why is it bad when other countries do it? - Eric

[@gelinrefira]

@@chinaglobalsouth Because it is the west that has been pushing for globalization when they can dominate other countries' economy. Now they found themselves unable to compete against China, you start hearing all kinds of excuses on why China is bad. "Overcapacity" is another nonsense recently used by yellen, accusing China of overcapacity and driving down the prices. There is no overcapacity when China's industrial capacity is not even running at near 100%, and that the world desperately need and demand affordable EVs, solar panels, and all the goods China is producing efficiently and cheaply for everyone. It is one of the few things that is keeping an already crazy inflation rate lower. "Overcapacity" is a dog whistle for attacking China for being too good at what they are doing and that the west can't compete. It's hypocritical, and dishonest to portray China this way, like 90% of the stuff western media writes about China.

[@gelinrefira]

@@chinaglobalsouth Because it is the west that has been pushing for globalization when they can dominate other countries' economy. Now they found themselves unable to compete against China, you start hearing all kinds of excuses on why China is bad. "Overcapacity" is another nonsense recently used by yellen, accusing China of overcapacity and driving down the prices. There is no overcapacity when China's industrial capacity is not even running at near 100%, and that the world desperately need and demand affordable EVs, solar panels, and all the goods China is producing efficiently and cheaply for everyone. It is one of the few things that is keeping an already crazy inflation rate lower. "Overcapacity" is a dog whistle for attacking China for being too good at what they are doing and that the west can't compete. It's hypocritical, and dishonest to portray China this way, like 90% of the stuff western media writes about China.

[@gelinrefira]

@@chinaglobalsouth Because it is the west that has been pushing for globalization when they can dominate other countries' economy. Now they found themselves unable to compete against China, you start hearing all kinds of excuses on why China is bad. "Overcapacity" is another nonsense recently used by yellen, accusing China of overcapacity and driving down the prices. There is no overcapacity when China's industrial capacity is not even running at near 100%, and that the world desperately need and demand affordable EVs, solar panels, and all the goods China is producing efficiently and cheaply for everyone. It is one of the few things that is keeping an already crazy inflation rate lower. "Overcapacity" is a dog whistle for attacking China for being too good at what they are doing and that the west can't compete. It's hypocritical, and dishonest to portray China this way, like 90% of the stuff western media writes about China. I hear that and I know the person saying it is western indoctrinated.

[@brianliew5901]

​@@chinaglobalsouthWhatever you couldn't understand means you've to go back to school.😢😢😢

[@liaojohnweechun7454]

CHINA IS GOING TO MAKE BRAZIL GREAT AGAIN ✊🇨🇳🫶🇧🇷🤝🇨🇳💚🇧🇷🥰

[@JA-pn4ji]

Your Brazilian guest was comprehensive and brilliant in summarising Sino-Brazilian trade and investment. The US stupidly thinks China is dependent on trade with them. China has moved fast to transfer its direct trade with the US to other countries, Vietnam, Mexico, Bangladesh,... The latest China trade patterns show that Chinese trade outside the Western bloc is substantial and growing. In fact, Biden's latest trade tariffs against China were a 'nothing burger', a mosquito bite on the back of an elephant. Also, you didn't cover the Yuan swaps that China has with Brazil and Argentina (and other countries in the global South), which allows both countries to trade with China outside the dollar system!

[@cheongseeksam3502]

Thanks to US, China is expanding the demand for resources away from US and finding new markets for its products. US is trying to retain its hegemonic control by threats while China exert influence thru mutually beneficial trades.

[@Mike-ys4sr2023]

US politicians have no idea of the meaning of overcapacity they should study Engineering to learn what Capacity means.and how Capacity is determined or calculated 😅 😂 . Politicians just make up their own words. 😅 😂

[@CarlosSilva-td3nn]

Excellent! Many thanks from Sao Paulo.

[@gl7252]

Interesting and informative episode. Also, good on you Eric for calling out the blatant bias in “The Political Playbook” regarding Chinese debt.

[@joeferreira657]

Great interview.

[@hisgloriousgirl]

So informative 👏🏻 👌 👍 🙌 🎉🎉❤

[@bertanelson8062]

This podcast was extremely interesting. I'll subscribe & see about joining.

[@prasitkoysiripong5150]

Good information.

[@koa818]

China Steel Sectors Productions Line s Very Important 👍❤❤❤

[@saulobortolon]

Please, call an specialist in iron ore & shipping market to talk about the VALEMAX case.

[@Bebraveonce]

Is that why Brazil has put tariffs on Chinese steel Mexico, Chile, and Brazil have raised tariffs - even doubling in some cases - on Chinese steel to protect domestic firms. The new duties come after domestic firms announced massive layoffs due to lack of demand

[@juliusmanabeng8071]

I know what you mean when you say you are hanging by a thread...........maybe you should also flash on screen your reference articles....

[@WinThang03]

Hello to all the 3 speakers. I am aware of the reality of us now is very well linked with consumption of meat, grains, raw commodities. But there is this underground trend with the technology of the future, the space technology, the new science, the science of plasma that emerge and come into reality to blend all these aspects of our routine occupations. Of course, this is not known, and also there is denial of this technology especially by governments and big companies (tho they are catching or picking up unformally of these), because the whole world is based on these economies. I am talking about the Keshe Foundation. The Foundation works on remedying on all these aspects of life, to cover all aspects of our lives on Earth. I believe it is resilient to have all these new technological developments of science and technologies of the future in mind, to lay new foundation of new life, of new living on Earth.

[@willgates8383]

Just proves the soft power of the US..Overcapacity is a total bs, but now in all the vocabulary of influencers!!! If a company is selling at a profit then there is no overcapacity !!! And all exports are at equal or higher prices than sold domestically!!

[@sirkeg1]

Yes and how quickly it happens! Coined just a few weeks ago by Yellin and now it's everywhere. You even have youtube explainers saying how "obvious" it is. But look at the headlines: NY Times, 2021: China is burning more coal, a growing climate challenge; NY Times, 2024: Yellen warns China against flood of cheap green energy exports. NY Post, July 16, 2023: China's export slump in the first half of 2023 dragged the world economy down; NY Post, March 13, 2024: China's export hike threatened the world economy.

[@gregwang8628]

Ordinary consumers just want goods that are well made and affordable, simple economic 101, what part don’t they understand?

[@sirkeg1]

Eric, how many years of misinformation does it take for you to consider that it may be intentional?

[@chinaglobalsouth]

I can see where you're coming from. I really can. But when you go to Washington and talk to think tankers, journalists and others who really have very limited knowledge about China's activities in Africa and yet speak with the utmost confidence on matters like debt, you realize that it's much more a combination of arrogance and ignorance than any preconceived conspiracy. They know they don't like China and that is often all they go on. What you're suggesting is that they are actually well-informed on these issues but willingly distribute bad information... which is not what I have seen in my experience. They are not well informed on China and distribute bad information. - Eric

[@gelinrefira]

@@chinaglobalsouth The US congress recently pass a bill allocating hundreds of millions to be used for negative propaganda - ie. lies, slander, disinformation, the whole nine yards and you are here saying like this is not a conspiracy?

[@JA-pn4ji]

@@chinaglobalsouth With all due respect, the ignorance is deliberate. They're not well-informed because they deliberately keep themselves ignorant. They focus exclusively on negative news and do not care to hear anything positive. They have created an echo chamber where anti-China ideologues initiate negative news which is echoed and repeated down the line like a priestly mantra throughout their political class.

[@skydragon23101979]

@@chinaglobalsouthI seriously doubt your assessment, I would just say that the think tanks are paid so they know what their bosses want. A great example is the senator Tom Cotton, and his famous interrogation of Tik Tok CEO. That guy is a harvard graduate who came to Singapore for an official visit before so he knows jolly well Singapore is not China.

[@koa818]

👍🤙🇨🇳❤🇧🇷👍

[@OComunaMaisFraco]

A questão é q o Brasil é um país na América. É insustentável pra China se basear nesse mercado, já que num provável acirramento com os US é fácil obstruir essa rota. Aqui nós costumamos dizer que somos o quintal dos estadunidenses

[@user-ed9so2rb4k]

You seem to be so pessimistic about what you can do? You think if there is a confrontation, it is a one-way traffic for the US? See what is happening in Ukraine today. Putin seems unstoppable! With that mentality, you are bound to wait from the scraps from their tables!

[@user-ed9so2rb4k]

You seem to think that US can still control things at its fancy?

[@brianliew5901]

China didn't force Brazil to trade at gunpoint.

[@OComunaMaisFraco]

@@brianliew5901 deve ter algum erro de tradução aí. Seu comentário não dialoga com o meu

[@brianliew5901]

@@OComunaMaisFraco Non-comphrendo, Amigo.

[@skydragon23101979]

Just wondering especially global south countries instead of tariffs when you have issues with Chinese exports why don’t you take a leaf out of the Chinese playbook? Get your governments talk to Chinese steel companies and attract investments with the rule being that maybe you have to have 50% co-owned by a local business. That way you learn how the Chinese do business and how they lower their costs.

[@chinaglobalsouth]

Do you think Chinese businesses in Brazil or elsewhere would be agreeable to enter into the same kind of joint ventures that China imposed on foreign companies in China, particularly in the automotive sector, where 50% of every dollar earned went to the JV partner? I don't think they would like that very much. - Eric

[@skydragon23101979]

@@chinaglobalsouth I think it’s highly possible considering that the other choices are tariffs and they are courting the cooperation of the global south. Chinese businesses are of course capitalists in it for profits.

[@tangtc60]

This is where you don’t understand about Chinese. Unlike the west, they are flexible and negotiable. They have far sight and win-win and cooperate to make things happen. That’s why China is very pragmatic and successful.

[@truthaboveall7988]

China can forgive debt is the difference & they do & they will - there is zero comparison to the US economic hitmen the IMF & the oligarch class in Africa are r anywhere else when China was poorer than Haiti they built a railroad in Africa w their supplies & ppl ;many died on this project) - inherently the Chinese view the world as one living organism & now we can add that Christianity is surging in China along w its growth - the charts r equal @ they r not like American Christians that pack into mega Church’s w an armed capitalist version of Jesus - these r like the earliest Christians w socialist communist beliefs - they r deeply interested in helping the world & r going out into it to do just that w a tremendous surge in $$ being shared w the most needy - its going to be the most Christian country by 2030 if it isn’t already fun fact

[@bertanelson8062]

Confucian philosophy is part of this as well. Chinese culture predates Christianity by thousands of years. The culture has its own sense of integrity & humanity.