News / Americas

    Cuba Hopes for More Investment as Chinese President Arrives

    China's President Xi Jinping, center, waves to the press accompanied by Cuba's Vice President Miguel Diaz-Canel, left, at his arrival at the Jose Marti International Airport in Havana, Cuba, July 21, 2014.
    China's President Xi Jinping, center, waves to the press accompanied by Cuba's Vice President Miguel Diaz-Canel, left, at his arrival at the Jose Marti International Airport in Havana, Cuba, July 21, 2014.
    Reuters

    Chinese President Xi Jinping begins a two-day visit to Cuba on Monday evening, stirring hopes on the island that China will finally invest in the country after a number of important deals never materialized.

    Xi is to meet with President Raul Castro on Tuesday and then fly to Santiago de Cuba to see plans to improve port facilities and recovery efforts from Hurricane Sandy, which devastated Cuba's second city almost two years ago.

    Xi was in Brazil last week for a summit of the BRICS nations, which also includes Russia, India and South Africa. He then traveled to Argentina and Venezuela, signing several multi-billion-dollar credit and investment agreements, before stopping in Cuba on his way home.

    Communist-run China and Cuba are close political allies.

    Generous trade credits have made China the island's largest creditor and second biggest trade partner after Venezuela at $1.4 billion last year.

    China has rescheduled Cuba's government and commercial debt, believed to top $6 billion. But large investment agreements for the nickel industry, signed in 2000, another in hotels, and a deal to expand an oil refinery agreed five years ago, have not materialized.

    Chinese-made cars, buses, locomotives, ships and household appliances are increasingly prevalent in Cuba. China's flag flies from leased oil rigs along the northwest coast and a modern container port boasts Chinese equipment, but direct investments are limited to a communications venture established 15 years ago and an onshore oil block in Pinar del Rio province.

    Chinese diplomats and businessmen have told Reuters over the years that they had little confidence in Cuba's ability to work efficiently with them, complained about the high cost of doing business, and said Cuba has balked at bringing construction crews in from China to build projects.

    Little of the $80 billion China has invested in Latin America and the Caribbean in recent years has been in Cuba.

    That, along with a review of debt and trade, will top this week's agenda.

    Raul Castro began instituting market-oriented reforms after taking over from ailing brother Fidel Castro in 2006, much as China did in the 1980s.

    This year, Cuba established its first Chinese-style special development zone and passed a more attractive foreign investment law with a particular eye to friendly nations such as Russia, China and Brazil. It includes a clause aimed at China that for the first time would allow investors to bring in their nationals for construction.

    Talks are reportedly underway for a number of investment projects, including in pharmaceuticals and automotive assembly, but no final investment agreements are expected this week.

    "The Chinese are not satisfied with the pace and depth of reforms in Cuba," said Christopher Sabatini, senior director of policy at the Americas Society and Council of the Americas.

    "This is ultimately a pragmatic government and it's not about to invest in Cuba for ideological reasons or even for geopolitical, long-term reasons if there isn't a profit or resource to be gained immediately," he said.

    You May Like

    Video Rubio Looks to Surge in New Hampshire

    Republican presidential candidate has moved into second place in several recent surveys and appears to be gaining ground on longtime frontrunner Donald Trump

    UN Calls for Global Ban on Female Genital Mutilation

    Recent UNICEF report finds at least 200 million girls and women alive today have undergone female genital mutilation in 30 countries

    UN Pilots New Peace Approach in CAR

    Approach launched in northern town of Kaga Bandoro, where former combatants of mainly Muslim Seleka armed group and Christian and animist anti-Balaka movement are being paid to do community work

    This forum has been closed.
    Comment Sorting
    Comments
         
    by: Wangchuk from: NY
    July 25, 2014 10:15 AM
    China might be willing to invest in Cuba but they will likely demand importing Chinese labor rather than use local Cuban labor. That's what China has been doing in parts of Africa and it has caused many problems. Next you will see Chinese consumer goods sold in Havana that will compete w/ local consumer products. In the end, the deals might benefit China but will not likely benefit Cubans.

    Featured Videos

    Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
    German Artists to Memorialize Refugees With Life Jacket Exhibiti
    X
    Hamada Elsaram
    February 05, 2016 4:30 PM
    Sold in every kind of shop in some Turkish port towns, life jackets have become a symbol of the refugee crisis that brought a million people to Europe in 2015.  On the shores of Lesbos, Greece, German artists collect discarded life jackets as they prepare an art installation they plan to display in Germany.  For VOA, Hamada Elrasam has this report from Lesbos, Greece.
    Video

    Video German Artists to Memorialize Refugees With Life Jacket Exhibit

    Sold in every kind of shop in some Turkish port towns, life jackets have become a symbol of the refugee crisis that brought a million people to Europe in 2015.  On the shores of Lesbos, Greece, German artists collect discarded life jackets as they prepare an art installation they plan to display in Germany.  For VOA, Hamada Elrasam has this report from Lesbos, Greece.
    Video

    Video E-readers Help Ease Africa's Book Shortage

    Millions of people in Africa can't read, and there's a chronic shortage of books. A non-profit organization called Worldreader is trying to help change all that one e-reader at a time. VOA’s Deborah Block tells us about a girls' school in Nairobi, Kenya where Worldreader is making a difference.
    Video

    Video Genius Lets World Share Its Knowledge

    Inspired by crowdsourcing companies like Wikipedia, Genius allows anyone to edit anything on the web, using its web annotation tool
    Video

    Video Former Drug CEO Martin Shkreli Angers US Lawmakers

    A former U.S. pharmaceutical business executive has angered lawmakers by refusing to explain why he raised the price of a life-saving pill by 5,000 percent. Martin Shkreli was removed from a congressional hearing on Thursday after citing his Fifth Amendment right to stay silent. Zlatica Hoke has more.
    Video

    Video Super Bowl TV Commercials are Super Business for Advertisers

    The Super Bowl, the championship clash between the two top teams in American Football, is the most-watched sporting event of the year, and advertisers are lining up and paying big bucks to get their commercials on the air. In fact, the TV commercials during the Super Bowl have become one of the most anticipated and popular features of the event. VOA's Brian Allen has a sneak peek of what you can expect to see when the big game goes to commercial break, and the real entertainment begins.
    Video

    Video In Philippines, Mixed Feelings About Greater US Military Presence

    In the Philippines, some who will be directly affected by a recent Supreme Court decision clearing the way for more United States troop visits are having mixed reactions.  The increased rotations come at a time when the Philippines is trying to build up its military in the face of growing maritime assertiveness from China.  From Bahile, Palawan on the coast of the South China Sea, Simone Orendain has this story.
    Video

    Video Microcephaly's Connection to Zika: Guilty Until Proven Innocent

    The Zika virus rarely causes problems for the people who get it, but it seems to be having a devastating impact on babies whose mothers are infected with Zika. VOA's Carol Pearson has more.
    Video

    Video Solar Innovation Provides Cheap, Clean Energy to Kenya Residents

    In Kenya, a company called M-Kopa Solar is providing clean energy to more than 300,000 homes across East Africa by allowing customers to "pay-as-you-go" via their cell phones. As Lenny Ruvaga reports from Kangemi, customers pay a small deposit for a solar unit and then pay less than a dollar a day to get clean energy to light up their homes or businesses.
    Video

    Video Stunning Artworks Attract Record Crowds, Thanks to Social Media

    A new exhibit at the oldest art museum in America is shattering attendance records. Thousands of visitors are lining up to see nine giant works of art that have gotten a much-deserved shot of viral marketing. The 150-year-old Smithsonian American Art Museum has never had a response quite like this. VOA's Julie Taboh reports.
    Video

    Video Apprenticeships Put Americans on Path Back to Work

    Trying to get more people into the U.S. workforce, the Obama administration last year announced $175 million in grants towards apprenticeship programs. VOA White House correspondent Aru Pande went inside one training center outside of Washington that has gained national recognition for helping put people on the path to employment.
    Video

    Video New Material May Reduce Concussion Effects

    As the 2016 National Football League season reaches its summit at the Super Bowl this coming Sunday (2/7), scientists are trying to learn how to more effectively protect football players from dangerous and damaging concussions. Researchers at Cardiff and Cambridge Universities say their origami-based material may solve the problem. VOA’s George Putic reports.
    Video

    Video Saudi Arabian Women's Sports Chip Away at Stereotypes

    Saudi Arabian female athletes say that sports are on the front line of busting traditions that quash women’s voices, both locally and internationally. In their hometown of Jeddah, a group of basketball players say that by connecting sports to health issues, they are encouraging women and girls to get out of their homes and participate in public life. VOA’s Heather Murdock reports.
    Video

    Video A Year Later, Fortunes Mixed for Syrians Forging New Lives in Berlin

    In April of last year, VOA followed the progress of six young Syrian refugees -- four brothers and their two friends -- as they made their way from Libya to Italy by boat, and eventually to Germany. Reporter Henry Ridgwell caught up with the refugees again in Berlin, as they struggle to forge new lives amid the turmoil of Europe's refugee crisis.
    Video

    Video Zika Virus May be Hard to Stop

    With the Zika virus spreading rapidly, the World Health Organization Monday declared Zika a global health emergency. As Alberto Pimienta reports, for many governments and experts, the worst is yet to come.

    More Americas News

    'Revenant's Inarritu wins top Directors Guild Prize

    Alejandro Gonzalez Inarritu's win, with only weeks to go before Academy Awards on February 28, race is still as wide open as ever

    Colombia: 3,100 Known Zika Cases in Pregnant Women

    But Santos says in televised address in his country that there's still no evidence definitively linking the virus to microcephaly in newborns

    Pope to OK Use of Indigenous Languages for Mass in Mexico

    Move before trip to the country next week is symbolic gestures in defense of Indian rights

    Ecuador Sacks Military Top Brass Over Questioned Land Deal

    Armed Forces apparently sold 66 lots to Environment Ministry for $48 million, but report from Attorney General's office says they were worth only $7 million

    Video Zika Virus Dubbed Inconsequential Except for Link to Microcephaly

    Virus fairly harmless overall, health expert says, but possible link to thousands of babies born with underdeveloped brains causing alarm worldwide

    Obama Ramps Up Aid to Colombia as Peace Deal With Rebels Nears

    Leaders mark anniversary of joint initiative begun to help end armed conflict, drug trade; Obama calls Colombia a country 'on the brink of peace'