Title: Argentina**: Rollover reversal! China has become a savior?
Hello everyone, this is a military international relations blogger, and today I want to share with you a dazzling story about a "180-degree turn" in Milay, Argentina, and China's role in it is even more jaw-dropping.
Not long ago, Milley was elected Argentina **, and he announced a 54% currency depreciation at the inauguration ceremony, which attracted global attention for a while. This "South American Trump" took a tough stance on China during the campaign, claiming that he would sever diplomatic relations with China and Russia, and after returning home, he even issued a document saying that he would not join the BRICS, and it seemed that he would cut off all ties with China. However, in a short period of time, Milley's statement changed dramatically.
At the inauguration ceremony, Milley told the Chinese representative that the Arab side will adhere to the "one China" principle and carry out various cooperation with the Chinese side in the economic, trade, and cultural fields, so as to ensure the in-depth development of China-Arab relations. This is completely different from his previous attitude towards China, and one can't help but ask, what is going on?
The crux of the story is that Milley eagerly received the Chinese envoy after the inauguration, and offered to make a currency swap with Argentina and expand the scale. This is a big surprise! After all, during Milley's campaign, he referred to China as an "Assassin", saying "Would you like to make a deal with the Assassins?" Now, it has taken the initiative to extend an olive branch to China.
To understand all this, we need to go back in time. In an interview in August, Milley had called China an "assassin," however, on December 13, he announced a 54 percent devaluation of the currency. This has been interpreted as a kind of "shock**", which includes a series of economic policies such as reducing the number of ministries, suspending public works, reducing related subsidies, and improving social welfare.
In this way, the question arises, are Milley's policies good or bad? For the Argentine people, how to keep their wealth from losing is the most important thing. Milley's new official has three fires in office, but his policies could push the Argentine economy into an endless abyss.
At the same time, Milley took the initiative to find China, hoping for a currency swap. The reason behind this is that Argentina is facing a serious economic crisis and needs to find a stable partner. After all, China is Argentina's second largest partner, and Milley's currency depreciation policy makes it even more necessary for Argentina to deepen cooperation with China to tide over the difficulties.
Looking back at the history of the two countries, China and Argentina signed a currency swap agreement of up to 130 billion yuan as early as 2020, making the renminbi account for more than 40% of the foreign exchange reserves of the Arab side. In November last year, Argentina decided to expand the agreement to US$5 billion (about 33 billion yuan) to help Argentina get out of its predicament. And in June this year, the agreement between the two countries was extended for another three years, with a scale of 130 billion yuan 45 trillion pesos. It can be said that China's support for Argentina can be described as benevolent and righteous.
In this regard, the Chinese side also responded, emphasizing that China and Argentina are also large developing countries, and hopes to work with the Arab side to promote the stable development of bilateral relations. But at the same time, the Chinese side expressed a cautious attitude towards the currency issue, saying that the currency swap is to promote the internationalization of the renminbi, not to exchange it for the dollar. The Chinese side seems to be reminding Milley that if he wants China's support, he cannot go all over the place, not be clear with the United States on one side and ask for China's help on the other.
On the whole, the economic complementarity between China and the Arab world is very strong, but Milley must look at the problem with a cautious and long-term vision, and not fall into the trap of Western ideology. China does not want the peso in its hands to become a pile of "waste paper" at the end. After all, this is not only about Argentina's own economic stability, but also about long-term cooperation with China.
Overall, this story is not only a political and economic game, but also a journey of wisdom on how a country can survive in a crisis. How will Milley's "180-degree turn" affect relations between Argentina and China? Stay tuned for further developments, and we will continue to monitor this high-profile international topic.