Li keqiangs visit to Latin America

At present, the global economic recovery is slow, the economic growth has slowed both in Chinaand Latin American, facing many challenges.In this case, the Chinese premier Li keqiang arrived Brazil on May 18, started the official visit tothe four countries of Latin America.Li keqiangs visit to Latin American countries will further deepen China's integration with theregion's interests, booster to accelerate China's relations with Latin America for an all-directional,multilevel and wide-range development new pattern.On May 18, China's premier Li keqiang arrived in Brazil, marking the official start of the itineraryof the visit to the four countries of Latin America.Prime minister li keqiang and Brazil rousseff witnessed the two sides reaching an extremelyfruitful cooperation.During the visit of May 18 to 21, during the visit, the two sides made joint statement betweenChina and Pakistan government, signed a number of cooperation agreements covering industrial,energy, mining, agriculture, services and infrastructure.And then, Li will also visit Peru, Colombia, Chile in turn.It is understood that the prime minister Li keqiang's visit will focus on the capacity cooperation asthe breakthrough to realize the transformation of the economic and trade relations and create aupgrade for china-latin America relations.On local time May 19, Li keqiang delivered a speech on business summit between China andPakistan stressed that China would like to discuss with pull production capacity of the "three bythree" new mode of cooperation:One is to meet the needs of Latin American countries, the joint construction of logistics,information and power three thoroughfare, realizing the continent's connectivity;Two is to follow the rules of market economy, realize the benign interaction cooperation way ofenterprises, society and government;Three is around the cooperation project, develop three financing channels of funds, credit, andinsurance.Latin America at the Chinese academy of social sciences research center, the executive director ofthe Brazil zhi-wei zhou said to China economic times reporter, strengthening of the capacity ofcooperation of both sides is also in order to make the huge economic and trade relations cansustainable development, is a kind of mutually beneficial relations between us.Ya-xing wang, deputy director of the China people's university graduate school of business trade,thinks that in recent years, China invested a lot in Latin America with big strength, further enhancecooperation with Latin America is also our extension of "One belt and one road" strategy.At present, China is the second largest trading partner and the third largest source of investment inLatin America.In 2014, trade value reached 263.6 billion US dollars, up 0.8% from a year earlier.Earlier this year, Latin American and Caribbean countries community BBS in China the firstministerial conference, pull in to trade at $500 billion for 10 years, the investment stock of at least$250 billion.Infrastructure cooperation is the keyIn the China-Latin total body ministerial meeting, the two sides put forward with energy resources,

infrastructure construction, agriculture, manufacturing, innovation of science and technology,information technology for cooperation, advance of industry docking.Zhi-wei zhou thinks, from the short term, the six key areas of cooperation settled in the meeting,infrastructure construction is undoubtedly the most preferred, because it can achieve the mostefficient cooperation areas.Ya-xing wang, also thinks of the cooperation will focus on infrastructure construction andinvestment cooperation.And among them, the "two ocean railway" attached popular attention.On May 19, the two countries announced the launch the feasibility of the basic research work ofthe "two ocean railway".Ya-xing wang said: "from the perspective of geography has the advantages of a railway betweenBrazil and Peru will be very great."Brazil's ambassador to China also said Leonard mlodinow across the Atlantic and the Pacific,Brazil, Peru's 5000 kilometers long rail links would be a win-win results.Zhi-wei zhou told reporters that "two ocean railway" is a typical example, reflecting the strongdemand in the field of infrastructure of Latin America.Li keqiang's visit to pull in the Latin American media is looking forward to cooperation in thefield of infrastructure to achieve, the mainstream media in Brazil Sao Paulo newspaper on May 19,commented that China investment in Brazil for large pull local infrastructure construction, whichis the Brazilian government mired in an economic crisis couldn't solve on its own conditions.

At present, both China and Latin American countries face all kinds of problems and challenges.Zhou Zhiwei said that China is faced with the problem of downward economic growth, at thesame time needs to adjust and optimize industrial structure upgrade, and Latin American countriesare also to adjust industry, the core is the promotion of the competitiveness of the industry, thepurpose is to improve the position of Latin America in global value chain.In this process, why the two sides can hit it off?Zhou Zhiwei believes that China has a spare production capacity, production capacity in Chinaalso have high technical content, at the same time, under the "going out" strategy, it formed acomplementary relationship between China and Latin America.The Chinese academy of social sciences researcher at the institute of Latin American YueYunXiapointed out that the core problem is the insufficient investment of Latin America.Under the condition of cooperation in economy, this kind of cooperation is a strong support tothem. "China structural adjustment and Latin America industrial upgrading makes both partieshave the possibility of docking. And there is also necessary for Latin America and us cooperation,for the past emphasis on commodity exports enables Latin America's economic to face manychallenges, such as a problem of industrialization, Latin America is eager to change that." ZhouZhiwei said.Tsinghua university center for economic research in China and the world, researchers Yuan GangMing thinks that the both sides having their own difficulties is the opportunity to cooperate.Through production cooperation, both sides of the difficulties can be solved to a certain degree.Such as Latin America can alleviate the lack of infrastructure and the construction technology,equipment, and China's project to sea can avoid the domestic investment funds and return badproblem, and ease China's overcapacity situation, especially iron and steel industry such as

seamless steel pipe and welded steel pipe overcapacity problems.YueYunXia also said the cooperation capacity can solve the decline of the domestic investment ofChina to a certain extent, also help Chinese enterprises to expand enterprise scale, improve theefficiency of enterprises, and create more space for innovation.Upgrade of the trade and economic cooperationChina and Latin American countries has a good tradition of economic and trade cooperation for along time, however, under the new period, the partnership needs a new change of the past.Zhou Zhiwei told reporters, "in the past China and Latin America's highly complementary inresources and energy supply and demand, but now in Latin America by commodity is hard tomaintain sustained growth in this cooperation. Now, one is to increase the diversification of exportproducts of Latin America, the second is to increase the added value of export products."YueYunXia pointed out that in the past dozen years trade in primary products accounted for a largeproportion of the background of this kind of phenomenon is in the process of economicdevelopment in China the great demand for primary products is driven by the rise in the price ofthe product, led Latin American exports to China.And now, the international commodity prices decline phenomenon is also the result of the China'sown transformation growth pattern, at the same time is the old model needs to change.Future bilateral trade in primary products proportion will be reduced gradually, the proportion ofinvestment will increase, along with our country manufacturing industry to upgrade efficiency,innovation, excess capacity will gradually transferred out of traditional industries.