InfoAnda - China's Hu keeps up courtship with Peru deal

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Navigation Primary Navigation Home Singapore Asia Pacific World Business Entertainment Sports Technology Top Stories Most Popular Secondary Navigation Australia China India Indonesia Japan Malaysia Philippines Thailand Vietnam Search Search: China's Hu keeps up courtship with Peru deal AFP - Thursday, November 20 LIMA (AFP) - - Chinese President Hu Jintao wrapped up talks on a free-trade deal with Peru on his final stop of a three-nation swing through Latin America that has underscored the Asian giant's growing clout. Arriving two days before a 21-member Asia-Pacific summit , Hu received a warm welcome in Lima. His Peruvian hosts closed off streets and escorted him by limousine, surrounded by horses bearing ceremonial banners. Hu headed here after stops in Costa Rica and Cuba. The trip comes as China -- which has dramatically stepped up its economic and political diplomacy worldwide -- sets its sights on the emerging economies of Latin America. Peruvian President Alan Garcia announced that his country had completed negotiations for a free-trade agreement with the world's most populous nation. "We can announce here today in the presence of President Hu Jintao the joyous conclusion of negotiations on a free-trade agreement with China, which we are sure will be a base for great development between Peru and China," Garcia said. Garcia and Hu shared a toast of pisco sour, the Peruvian national drink made of brandy and lime. "This demonstrates that ties have entered a new phase and through the efforts of both sides, I believe that we can push relations between the two countries to an even better future," Hu said. Trade between China and the region remains relatively small but is growing rapidly. China's state-run Xinhua news agency reported this month that exports to Latin America grew 52 percent in the first nine months of 2008 to 111.5 billion dollars. China has been aggressively seeking new sources of energy, minerals and other raw materials, with Latin America coming into focus as a potential key new supplier. Peru's opposition La Republica newspaper even devoted nearly the entire front page of its Wednesday edition to a photo of Hu under the Chinese characters for "welcome." By contrast, when US President George W. Bush arrives later in the week, he was expected to be met by protesters who blame Bush policies for causing the world's economic troubles. The warm welcome for Hu is driven in part by hope in the region that increasing engagement with China could help blunt the effects of the global financial crisis. During his current trip, Hu has demonstrated the ability of China -- with its 1.9 trillion dollars in foreign exchange reserves -- to play that role. In Cuba, he brought millions of dollars in aid and promises of closer future trade ties. In Costa Rica, besides the free trade talks, Hu and President Oscar Arias signed a number of business deals including a joint venture in which China will help modernize Costa Rica's state-owned oil refiner. Hu's travels also symbolize China's rising influence in a region long considered a diplomatic stronghold of Beijing's rival Taiwan. Costa Rica last year became the first Central American country to break off Taiwan ties in favor of China, a step that led to the bilateral free-trade talks. China has steadily won over former Taiwan allies over the years as its growing economic and diplomatic clout trumps Cold War alliances. Email Story IM Story Printable View Blog This Recommend this article Average (1 vote) Sign in to recommend this article » Most Recommended Stories » Related Articles: Asia Pacific Australian Qaida supporter asks for more freedomAP - 24 minutes ago South Pacific search for 29 missing fishermenAP - 26 minutes ago Athletics-World champion to pound streets in Singapore marathonReuters - 41 minutes ago Activists send more leaflets to NKorea despite pleas, threatsAFP - 46 minutes ago Malaysian island may lose heritage status over building row: reportAFP - 52 minutes ago Enlarge Photo China's Hu keeps up courtship with Peru deal Most Popular – Asia Pacific Viewed Obama girls visit their future White House home US economy faces 'catastrophic collapse' without auto bailout: GM Saudi super-tanker taken to Somali pirate lair Exercise, sleep cuts cancer risk: study Citigroup to slash 50,000 jobs, expenses worldwide View Complete List » Search: Home Singapore Asia Pacific World Business Entertainment Sports Technology Top Stories Most Popular

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