【Text by Observers Network, Wang Kaiwen】 As the United States and Argentina finalized a 20 billion US dollar currency swap framework agreement, the US is attempting to undermine Argentina's relationship with China and disrupt the Sino-Argentine currency swap agreement.

Bloomberg reported that on October 12 local time, Argentina's Minister of Economy Luis Caputo stated that the US Treasury's support for the Argentine peso is "unwavering," but he also pointed out that the US's intervention will not affect Argentina's currency swap with China.

According to the report, Caputo said in an interview with Buenos Aires TV channel LN+ that the US "is willing to continue purchasing pesos and bonds, and all options are under consideration."

"Today, the world's number one power is telling Argentines: We will do everything we can to help you get back on track," Caputo said.

Photo from video of Argentina's Minister of Economy Caputo

He made these remarks as Argentina's President Milei is about to visit the United States, where he will meet with US President Trump at the White House on October 14.

Meanwhile, less than two weeks remain until the closely watched Argentine midterm elections, which are seen as an important indicator of Milei's political strength.

On October 9 local time, the US Treasury announced directly purchasing Argentine pesos and finalizing a 20 billion US dollar currency swap framework agreement with the Argentine central bank. Previously, the Argentine government had repeatedly tried to prevent the depreciation of its currency without success.

The Trump administration views Milei's government as a firm ally. Bloomberg previously pointed out that the measures announced by the US aim to help Argentina's financial market escape turmoil and support Milei before the Argentine midterm election on October 26.

Caputo emphasized on the 11th that the agreement reached with the US Treasury does not mean that Argentina will implement dollarization or devalue the peso. He implied that Argentina will maintain its current exchange rate range system after the midterm election.

According to the report, Caputo also added that the US's intervention will not affect Argentina's 18 billion US dollar currency swap agreement with China.

Previously, it was reported that the Trump administration had pressured Argentina to cancel its currency swap agreement with China.

The South China Morning Post stated that US officials have long been critical of Argentina's currency swap agreement with China, claiming that this 18 billion US dollar currency swap agreement, renewed last year, poses a long-term risk to Argentina's sovereignty and creates an opportunity for China to expand its influence in South America.

Milei made controversial remarks about the future of Argentina-China relations during his presidential campaign, but after becoming president, his stance toward China took a complete turn. The South China Morning Post believes that from changing his view to calling China a "very interesting business partner" during an interview last October, to expressing that renewing the currency swap agreement with China made him "very surprised," this indicates that Milei has adopted a more "pragmatic" attitude toward China since taking office.

On the other hand, the United States is making every effort to sabotage the relationship between the two countries. Bloomberg reported that US Treasury Secretary Bensont said on Fox News on October 9 that Milei is "committed to driving China out."

Regarding Bensont's comments, the Chinese Embassy in Argentina refuted them.

According to a message from the Chinese Embassy in Argentina on the 11th, the spokesperson of the Chinese Embassy in Argentina stated that the provocative remarks by US Treasury Secretary Bensont regarding Sino-Argentine relations and Sino-Latin American cooperation once again exposed the deep-rooted Cold War and confrontation mentality of some people in the US.

The spokesperson pointed out that Latin America and the Caribbean are not the backyard of any country, and Sino-Latin American cooperation does not target a third party and should not be interfered with by a third party. Countries in the region have the right to independently choose their development path and partners. Instead of sowing discord and stirring up trouble in friendly cooperation between other countries, the US should do something practical for the development of Latin American and Caribbean countries.

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Original text: https://www.toutiao.com/article/7560624577420837410/

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