| ID | 184223 |
| Title Proper | Chinese Economic Statecraft and China's Oil Development Finance in Brazil |
| Language | ENG |
| Author | Barbosa, Pedro Henrique Batista |
| Summary / Abstract (Note) | Over the last years, Brazil and China's oil-related finance activities have expanded substantially. Between 2007 and 2019, Brazilian companies received approximately one-fourth of Chinese policy banks overseas oil-related loans, and Chinese financial institutions became Brazil's biggest oil company Petrobras’ main creditor. A deep analysis of these loans highlights their usage as economic statecraft tools, with impacts on the bilateral crude trade and investments. Loan-for-oil mechanisms, content purchase requirements, and a countercyclical lending pattern have helped to influence Brazilian players to behave in a manner conducive to the Chinese state's energy security objectives and strategic goals, namely increase of imports, diversification of sources, and internationalisation of firms. With these loans, China has satisfactorily guaranteed a stable oil supply over time and has helped Chinese equipment makers and service providers to expand their footage in Brazil. |
| `In' analytical Note | Journal of Current Chinese Affairs Vol. 50, No.3; Dec 2021: p.366-390 |
| Journal Source | Journal of Current Chinese Affairs Vol: 50 No 3 |
| Key Words | Oil ; Economic Statecraft ; Brazil–China ; Oil-Backed Loans ; Content Requirements |