In The News

Ayatollahs in the Backyard

December 1, 2009
At a time when he is under pressure domestically and around the world, Iranian president Mahmoud Ahmadinejad’s recent visit to Latin America – highlighted by a stop in Brazil – provided him an important boost. Iran has been involved with some ideologically-sympathetic countries in the region like Ecuador, providing loans for infrastructure. On the other hand, other countries, such as Mexico or...

China Rising: Have Cash, Buy Oil

Dilip Hiro October 9, 2009
While the global financial crisis has left much of the Western world in disarray, China’s position remains strong with a stockpile of cash ready to acquire cheap assets. In many cases, these assets are natural resources, especially hydrocarbons. According to author Dilip Hiro, Beijing’s acquisition strategy seeks to insulate itself from the vagaries of raw material price fluctuation while...

China Spreads Aid in Africa, With a Catch

Sharon Lafraniere, John Grobler September 23, 2009
In recent years, China has greatly increased its presence throughout the developing world by offering loans below market-rates, championing such efforts as win-win for both China and the receiving countries. Whereas Western nations have often attached political and economic reforms as conditions to their aid, China instead offered “no strings attached” assistance, disregarding human rights...

Obama's Trade Policy Taking Shape – Part I

Edward Gresser September 14, 2009
For all the furor about the US’ proposed tariff on Chinese car tires, the end result is more likely to be a whimper, according to trade specialist Edward Gresser of the Democratic Leadership Council in Washington. It is unlikely that this tariff will set off the next trade war, igniting a global depression similar to the 1930s precisely because such tariffs are usual and allowed by the WTO....

China and US: Tire-d of Fighting

Gady Epstein September 14, 2009
China and the US seem like Siamese twins that hate each other – joined at the hip by trade but pushed apart by issues as diverse as human rights, climate change, and security. The current financial crisis makes some believe focus on trade may take center stage. Gady Epstein from Forbes argues that the decision by President Obama over the influx of cheap Chinese tires reflects the deepening...

What Gorgon Means for Australia

Robert Gottliebsen August 27, 2009
China’s near insatiable hunger for natural resources appears to be dwarfing political concerns for the moment. Witness the final stages of approving the “Gorgon” project – the deal in which Australia will supply liquefied natural gas (LNG) to China valued at $50 billion – amid the downgrading of a diplomatic visit because Australia granted a visa to Uighur leader Rebiya Qadeer. Perhaps more...

The Dragon in the Backyard

August 20, 2009
New economic cooperation between Latin America and less traditional trading partners is having a significant impact on the region both economically and politically. Top on the list is China’s increasing visibility as a strategic economic partner of the continent, much to the US’ discontent. While China’s cheap manufacturing has hurt countries such as Mexico, its demand for commodities has driven...