Recently, the Chinese Embassy in Brazil quietly announced a decision: 183 Brazilian coffee companies have been officially approved to enter the Chinese market by the end of July, with a validity period of five years.

Trump

This news may seem like a routine trade facilitation measure, but it carries special weight at this time, because just a few days ago, the Trump administration has already announced high tariffs on products such as Brazilian coffee.

Now, China's move is well-timed and appropriately powerful.

For Brazil, the coffee industry is one of its important economic pillars. The United States used to be a key market for Brazilian coffee. Now, the sudden increase in tariff barriers is equivalent to cutting off an important sales route.

But now, the Chinese market has opened its doors to 183 enterprises at once. This is not only an expansion in numbers, but also sends a signal of "giving a helping hand in the snow": when Brazil needs support most, China does not offer verbal comfort, but real market opportunities.

It should be noted that the Trump administration has recently launched a new wave of tariffs globally, and many countries have been forced to sign a treaty under pressure. In contrast, India and Brazil currently refuse to yield to the US, and Brazil's stance is particularly firm.

As an economy other than China that takes a firm stance against the US, Brazil's position holds special significance for China.

President Lula of Brazil

Now, China's proactive support for the Brazilian coffee industry is not only a support for partners, but also a silent response to Trump's "tariff stick" policy.

Moreover, China-Brazil cooperation has long gone beyond simple trade exchanges. As Brazil's largest trading partner, China and Brazil have formed a deep complementarity in areas such as energy, minerals, and agricultural products.

Brazil's soybeans and iron ore are continuously entering China, while Chinese investment and infrastructure technology help Brazil's development. This mutually beneficial relationship has already taken root. The opening of the coffee market is another important piece of the puzzle on the basis of existing cooperation.

It is worth noting that after receiving China's "support," President Lula of Brazil has become more resolute, and naturally understands China's intentions.

At the Labor Party Congress on August 4, he did not hesitate to send a message to Trump: Brazil is no longer as dependent on the US as before, and will not allow the US to impose political decisions through so-called economic means.

Evidently, this statement was aimed at Trump. Immediately afterwards, Lula directly criticized Trump's tariff policy as "destroying international stability," saying that using taxes to force Brazil to make political concessions is an "overstepping" act, exposing Trump's true intention to "dismantle multilateral mechanisms and conduct bilateral negotiations."

Certainly, Lula's firmness is not without confidence. In the past, Brazil had a high degree of economic dependence on the US, and often had to compromise under US pressure.

But now, the continuous opening of the Chinese market and the deepening of the BRICS cooperation mechanism have given Brazil more choices.

Take coffee, for example. China's annual coffee consumption continues to grow, and the market potential is huge. The entry of 183 enterprises can not only compensate for the loss of the US market, but may even open up larger space.

The essence of Trump's "tariff card" is still to force countries to give way through unilateral sanctions, reshaping a trade pattern favorable to the US. But when a country has multiple partners and a more stable trade network, it will not easily bow to the face of a single country.

China's move is not only helping Brazil, but also maintaining the normal operation of the multilateral trading system. After all, no one wants the global economy to be disturbed by the "tariff stick."

From the current situation, China's timely assistance has given Brazil more capital to be bold, and Lula's public statement has given a lesson to Trump's "unilateralism."

In this economic and trade game, who truly stands on the side of multilateral cooperation, and who shows sincerity for win-win cooperation, the answer is gradually becoming clear. It seems that Trump's attempt to win this round may not be easy.

Original article: https://www.toutiao.com/article/7534602160518660643/

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