Oil represents more than 60% of Venezuela's exports to China

Venezuela and Ecuador are the two countries receiving the largest funding from China

Venezuela's oil byproducts exports to China amount to 25.7% of total exports (File photo)

FRANK LÓPEZ BALLESTEROS | EL UNIVERSAL

Monday February 04, 2013 10:38 AM

As never before, in 2013 Venezuela's relations with China are vital. The Asian country has become Venezuela's top funding source, in a relation where Beijing grants loans to Caracas in exchange for oil.

By the end of 2011, oil accounted for 62.2% of Venezuela's exports to China, with oil byproducts at 28.5%, iron (8.1%), ferroalloys (1.6%), and common metal scraps (0.4%), according to a report compiled by the Economic Commission for Latin America and the Caribbean (Eclac), called The People's Republic of China and Latin America and the Caribbean: Dialogue and cooperation vis-a-vis the new challenges of the global economy.

In 2011, Venezuela-China trade stood at USD 18 billion, 24 times higher than in 2003 (USD 742 million).

Venezuelan Ambassador to Singapore Alfredo Toro Hardy estimated trade at USD 23 billion in 2012, 31 times the figure recorded nine years ago.

Similarly to Venezuela, Ecuador's oil exports account for 63.6% of total exports. After Colombia, the two countries are China's main oil suppliers in the region.

Translated by Jhean Cabrera

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José Vicente Rangel clearly said: "We are not conducting negotiations threatened with a gun in the head." He warned behind closed doors in the midst of the social upheaval occurred during the oil strike in 2002 and 2003. Dissenting Timoteo Zambrano answered back that no other option was available: "The thing is that otherwise, you do not negotiate."

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