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peppertree

(22,850 posts)
2. There's the 'soft power' angle, yes - but also the fact that US & European firms tend to ignore them
Fri Feb 17, 2023, 02:29 PM
Feb 2023

Africa and South America have 1.9 billion people between them (430 million in S. America; 1.46 billion in Africa) - but they're often seen by U.S. and European firms (especially our CEOs) as "too remote, too restive, and too poor" to be worth their while.

This, of course, leaves a vacuum for Chinese investors - who tend to have a more long-term view of things.

It's another example of our CEOcracy basically making foreign policy - and leaving the U.S. at a disadvantage as a result.

In Argentina's case, the EV and lithium sectors are a good fit - since the country has the world's 2nd-largest lithium reserves (though, so far, only its 4th-largest output); and a fairly large (90,000), well-trained supply of auto/auto parts workers.

A very undervalued peso, moreover, makes Argentine labor costs comparable to China's - yet affords them a decent, lower-middle class living standard, which makes for good PR as well.

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China has been sinking huge amounts of money into Africa and South America for a reason. Irish_Dem Feb 2023 #1
There's the 'soft power' angle, yes - but also the fact that US & European firms tend to ignore them peppertree Feb 2023 #2
Russia and China are carving up the world behind the scenes. Irish_Dem Feb 2023 #3
Whatever influence Russia had, they frittered away peppertree Feb 2023 #4
Time will tell how this all plays out. Irish_Dem Feb 2023 #5
Absolutely. peppertree Feb 2023 #6
As long as Argentina understands there are strings attached. Irish_Dem Feb 2023 #7
Possibly - but nothing NEARLY as stringy as the loan Trump forced the IMF to give Argentina in 2018 peppertree Feb 2023 #8
It's all the same point I am making Irish_Dem Feb 2023 #9
You're saying Trump deliberately pushed Argentina into a corner, so they'd have to rely on China? peppertree Feb 2023 #10
I am going to shed a bit more light, my friend. Irish_Dem Feb 2023 #11
Thanks for the compliment! peppertree Feb 2023 #12
Trust me. There is something China wants from Argentina. Irish_Dem Feb 2023 #13
You're right: they're cornering (or at least, getting a leg up) on their lithium supply peppertree Feb 2023 #14
Either short sighted or by design. Irish_Dem Feb 2023 #15
Yeah - money talks. And often to the exclusion of other considerations. peppertree Feb 2023 #16
Delighted to interact with you! Irish_Dem Feb 2023 #17
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