China will become the main trading partners in Brazil and benefit

2 November, JP Morgan, Managing Director and head of the China Securities and commodity President Li Jing publish reports that China has become Brazil's main trading partners, and its infrastructure to benefit from sufficient conditions.

Reported that China iron ores, crude oil and other commodities and demands of soybean and other agricultural products will remain the main Brazil exports push force.

2001-2009, the year the two countries trade 35.6% compound growth. The third quarter of 2010, Brazil exports to China have reached 276 million (year-on-year increase 30.1%). China and Brazil 2009 bilateral trade has been narrowing, but is expected in 2010 will be another all-time high, extend global pre-crisis growth trend.

"Despite the recent power limit on China's iron ore demand impacts, but Brazil China's imports of crude oil currently accounts 3.7%, much higher than the 2009 1-8 month period 1.7%. In 2005, China's oil exports in Brazil, the proportion of almost zero. Faced with this tremendous growth, such as Petrobras CEO SergioGabrielli hinted that China may eventually replace the United States, becoming Brazil's first major oil trading partners. "Li Jing said.

Brazil is not only a major Chinese supplier of raw materials, and has become China's important investment destination. After a series of transactions, China 2010 in Brazil's direct investment has more than 160 million (2009 8,200 million).

The report said that the Chinese investment in Brazil was mainly for the promotion of domestic growth required raw materials, mining, energy, oil and gas natural to become the most popular industry. In recent years, Brazil has been in the deep waters of thickness over 1 mile of salt layer, the discovery of huge oil reserves. In view of China well-funded petroleum resource shortages, while Brazil oil company you need money to develop these capital-intensive deep sea project, so that to provide the cooperation between the two countries.

Li Jing said: "as a low-cost development to a large-scale infrastructure projects in the country, the Government of China and Brazil and the construction company signed a cooperation agreement for full terms and conditions. ”

In April the "BRIC" Summit, Brazil's President Lula said that the Chinese enterprises have the opportunity to participate in Brazil in preparation for the World Cup in 2014 and the 2016 Olympics and the development of infrastructure projects.

China railway materials commercial Corporation (China railway materials) is participating in scheduled throughout the Campinas, São Paulo and Rio de Janeiro's bid for high-speed railway system.

"We believe that high speed railway just China and Brazil is one of the many areas of cooperation. Although developed countries and many developing countries are equipped with infrastructure projects of related professional experience, but China will rely on low cost advantage and take the initiative. ”