The Chinese government's decision to halt the entry of Argentine soybean oil strained trade relations between the two countries and now developed into a diplomatic conflict. Last night, Foreign Minister Jorge Taiana announced on Monday decided to quote the Chinese ambassador in Buenos Aires, Gang Zeng. Spokesmen for the advanced foreign portfolio that will manifest itself Zeng Taiana "upset and concern of the Argentine government" by the latest measures would affect Argentina's exports of soybean oil destined for the Chinese market.

Shortly after the decision Taiana, Minister of Production, Deborah Giorgi came to economic arguments support the Argentine anger.

"The brakes on our exports of oil seems to be a para-tariff measures with health arguments. It is a disproportionate action, which is not understood by any parameter. Our oils are sold worldwide without any problems." Giorgi said.

Citing the health issue, Giorgi referred to the Chinese authorities put as a reason to stop the entry of soybean oil hexane residues, a solvent used in the milling of soya-oil in shipments coming from the Argentina.

"It is paradoxical that China may retaliate by dumping measures, if the country is in full force 102 AD and another 18 investigations in process."

For the Argentine government and business decision lies China, in fact, a sort of revenge for the brake that the Argentine government imposed on certain Chinese products, including textiles, footwear and stones. These measures were implemented by the secretariat of trade leads Guillermo Moreno. While the global crisis raged, Argentina imposed barriers to imports to guarantee the trade balance surplus.

Given this reasoning, Giorgi said: "Argentina are defending unfair competition, but not close imports. Today is Chinese shoes entering our country, but at a price above the minimum export value we set in our anti-dumping measure supports. domestic industry, working in Argentina. An anti-dumping investigation is always supported by the finding that there damage to the industry. "

Soybean sales to China and its derivatives are an essential element in the Argentine export basket. It is estimated that this year sales to China for soybean oil will reach 2,000 million dollars, according to estimates by the consultant abeceb.

Argentina has a growing trade deficit with China that began in 2008 with $ 700 million. In 2009 came to U.S. $ 1,200 million when it sold for U.S. $ 3,600 million and bought for U.S. $ 4,800 million. In the first two months of 2010 the deficit with China is U.S. $ 600 million, half the annual deficit in 2009.

Diplomatic relations with China is not good, since Cristina decided last January to suspend a trip to that country. Yesterday it was learned that Hu Jintao, Chinese President made a tour of the region this month, but will not stop in Buenos Aires.