Third are their different interests in trade and resource aspects. As an agricultural products exporter, Brazil supports the free trade of agricultural products, as opposed to India, which chooses trade protectionism for its farmers' interests. Both China and India are highly interested in Russian oil and natural gas. The two countries also compete with each other in the regional labor market and exports.

Fourth, the four economies have different ideas on establishing a new world financial system. With no intention of posing a threat to the United States, China supports the dominance of the dollar. Russia and Brazil, the weaker two among the BRIC countries, actively promote a new system that reduces their dollar reliance. China also promotes the internationalization of the renminbi, its currency, and has signed bilateral currency swap agreements with several countries and regions. India, Brazil and Russia show a conservative attitude toward the renminbi's internationalization because of their respective national interests.

Economic Bonds

Brazil: China's Biggest Trade Partner in Latin America

China and Brazil have made great strides in their economic and trade cooperation since they established diplomatic relations more than 30 years ago. Brazil is currently China's biggest trade partner in Latin America, while China is Brazil's second biggest trade partner, export destination and import source. Two-way trade reached $48.497 billion in 2008, an increase of 63.2 percent over the previous year. China's exports and imports were $18.75 billion and $29.747 billion, respectively. Its main exports include electromechanical products, hi-tech products, clothes, coal, coke, textiles, and automatic data processing equipment and parts. Its main imports include beans, sugar, iron ore, electromechanical products, paper pulp, regional jets, automobile parts, leather, steel and wood.

China and Brazil have made rapid progress in their economic and technological cooperation since 1984. By September 2008, China had made a paid-up investment of $210 million in mining, wood processing and home-appliance assembling projects in Brazil. Brazil's paid-up investment in China totaled $270 million, mainly distributed among projects in regional jet manufacturing, production of air compressors, coal, real estate, production of automobile parts, hydropower and textiles.

Russia: Diverse Fields of Cooperation

Two-way trade between China and Russia reached $56.83 billion in 2008, up 18 percent year on year, according to statistics from Chinese customs. China's exports to Russia amounted to $33.01 billion, a year-on-year increase of 15.9 percent, while its imports from Russia totaled $23.83 billion, a year-on-year increase of 21 percent.

Chinese Commerce Minister Chen Deming co-chaired the 11th meeting of the subcommittee on China-Russia economic and trade cooperation with E.S. Nabiullina, Minister of Russia for Economic Development, on October 14, 2008.

The Third China-Russia Economic and Business Summit, co-chaired by Chinese Premier Wen Jiabao and Russian Prime Minister Vladimir Putin, was held in Moscow on October 28, 2008. More than 400 representatives from the two countries' central and local governments as well as business communities attended the event. Forums and seminars on cooperation in energy, finance, agriculture, infrastructure, wood processing, and science and technology and cooperation at local levels were held along with the summit.

India: Exploring New Frontiers of Trade

Bilateral trade between China and India has grown rapidly, with the areas for their economic cooperation constantly broadening. Two-way trade totaled $51.78 billion in 2008, up 34 percent year on year. China is India's second biggest trade partner, while India is China's ninth biggest trade partner. China's main exports to India include electromechanical products, chemical products, textiles, plastics and rubber, and porcelain and glass products. Its main imports from India include iron ore, chrome ore, precious stones and metals, vegetable oil and textiles.

A Chinese trade delegation led by Vice Minister of Commerce Gao Hucheng visited India in October 2008. During the visit, China and India signed a memorandum of understanding on trade remedy. Chinese entrepreneurs also signed purchase contracts and agreements worth $390 million with Indian enterprises.

(Source: The Ministry of Foreign Affairs)