China–venezuela relations in a context of change

Abstract

The chapter looks into China–Venezuela relations. Chávez’s aspiration to global and regional leadership and the increasing involvement of China in the Global South and in Latin America are crucial factors for understanding the recent period of Chinese–Venezuelan relations. The Chinese presence in the Venezuelan market and financial cooperation are indicators of the important bilateral relation. The process of indebtedness of Venezuela to China deserves a special mention. The debt contracted with China was US$ 62.2 trillion, which represents a little more than 40% of the US$ 150 trillion disbursed by China in Latin America. The political consequences for Venezuela have led to the fear of a new dependency. Huge commitments have been made to supply oil in exchange for investments, but the volume of loans is enormous and the current political and economic instability in Venezuela is a source of concern for China.