Brazil opts out of China’s Belt and Road Initiative, joining India’s stance in BRICS bloc

29 October,2024 11:29 AM IST |  Beijing  | 

Brazil has chosen not to join China’s Belt and Road Initiative (BRI), becoming the second BRICS nation after India to withhold support for the multi-billion-dollar project. Brazil aims to explore independent partnerships with China without formal ties to BRI.

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Key Highlights

Brazil has opted not to join China's multi-billion-dollar Belt and Road Initiative (BRI), marking it as the second BRICS nation, after India, to decline participation in Beijing's ambitious project aimed at developing infrastructure across partner countries. The decision signals Brazil's intent to seek independent avenues for collaboration with China, focusing instead on partnerships that align more closely with its national priorities, according to Celso Amorim, Brazil's special presidential adviser for international affairs.

Amorim recently told Brazilian newspaper O Globo that while Brazil intends to elevate its relationship with China, it sees no need to sign an accession contract for BRI membership. "We are not entering into a treaty," he explained, adding that Brazil prefers not to rely on BRI as an "insurance policy" for its infrastructure growth. Instead, he suggested a selective approach, considering only those aspects of BRI which may synergise with Brazil's own strategic projects and priorities, PTI reported.

This decision comes as a setback to China, which had reportedly hoped to showcase Brazil's support for BRI during Chinese President Xi Jinping's upcoming state visit to Brazil scheduled for November 20. However, opposition within Brazil's economy and foreign affairs ministries raised concerns that signing onto the BRI could complicate relations with other global powers, particularly the United States, especially if a potential Trump administration takes office in the future.

PTI quoted sources suggesting that senior officials, including Amorim and Brazil's chief of staff Rui Costa, returned "unconvinced and unimpressed" after recent discussions with Chinese counterparts in Beijing. Lula da Silva, Brazil's President, was also absent from this month's BRICS summit in Kazan due to an injury, though the Brazilian influence in BRICS is maintained by former President Dilma Rousseff, who heads the BRICS New Development Bank based in Shanghai.

Amorim's recent remarks align with Brazil's caution towards joining BRI's extensive network of international projects, which have attracted criticism for their perceived "debt trap" potential. India has similarly refrained from joining the initiative, voicing concerns over the China-Pakistan Economic Corridor (CPEC), a prominent BRI project routed through Pakistan-occupied Kashmir, which India considers a violation of its sovereignty.

India's stance on BRI has been grounded in principles of financial sustainability, governance, and transparency, noting that infrastructure projects should adhere to widely recognised international standards. As a result, India has consistently distanced itself from BRI engagements, having abstained from three high-profile BRI summits in recent years and articulating its stance through platforms like BRICS and the Shanghai Cooperation Organisation (SCO).

China's BRI, which initially attracted several smaller nations, has also come under scrutiny for reportedly contributing to financial strain among certain countries, such as Sri Lanka. The case of Sri Lanka's Hambantota Port, leased to China for 99 years in exchange for debt relief, has particularly fuelled criticisms about the long-term sustainability of BRI projects.

In a recent comment, US Trade Representative Katherine Tai urged Brazil to consider the risks associated with BRI, advising a "clear-eyed" approach. Her statement drew sharp criticism from China's embassy in Brasilia, which labelled her remarks as "irresponsible" and "disrespectful." The Chinese Global Times went further, criticising the US approach as reminiscent of the Monroe Doctrine and asserting that the cooperation between China and Brazil aligns with broader aims for a fairer international economic order in the Global South. "Brazil does not need others to dictate who to cooperate with," stated the editorial, suggesting that US scrutiny over China's role in Latin America is an attempt to control regional dynamics.

Brazil's decision to bypass BRI appears rooted in a broader strategy to maintain flexibility in its foreign policy, especially amid shifting global alliances.

(With inputs from PTI)

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