A Paradigm Shift in International Cooperation? China and Europe: A Political Economy Perspective from Latin America

A dramatic global transformation in international politics, economics, and security is disrupting the conventional power structure of the US-led international order. The rise of China, the COVID-19 pandemic, the US failure in Afghanistan, and the Russian-Ukrainian war are some of the events that accelerate this trend. To understand this transformation, a paradigm shift is needed. Drawing on Thomas Kuhn’s paradigm concept, this chapter aims to delve into China’s cooperation approach and its challenge to the Euro-American, OECD-based aid regime. Specifically, it explores the type of South-South cooperation engaged by China, promoting and expanding its ambitious projection in LAC countries, investments, loans, commercial initiatives, and assistance. Chinese engagement in international cooperation dates back to the 1950s and it boosted following the economic growth and global expansion of the last decades. We argue that Chinese South-South paradigm has appealing characteristics for LAC partners, proving to be functional, flexible, multidimensional, and holistic, thus posing a challenge to traditional DAC donors. COVID-19 pandemic was emblematic: while China accelerated the rapprochement to LAC partners (governmental and non-governmental), the EU largely neglected the region, concentrating on the effectiveness of its domestic response to the emergency.