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Why is China helping Venezuela? Venezuela has the world's largest oil reserves, but Venezuela is so poor

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On September 13, 2023, Venezuelan President Nicolas Maduro attended the closing session of the 17th China-Venezuela High Mixed Commission, which was successfully concluded. However, the remarkable news did not come from the topic of the meeting, but Maduro's announcement that Venezuela is planning to cooperate with China on a manned lunar landing. This is not a simple lunar exploration mission, but a manned lunar landing, a plan that has attracted widespread attention.

Why is China helping Venezuela? Venezuela has the world's largest oil reserves, but Venezuela is so poor

Maduro revealed that Venezuela has made a request to China to send an astronaut to participate in a future Chinese manned lunar landing program. The importance of this program is self-evident, so far, only the United States has completed a manned mission to the moon, and only 12 astronauts have set foot on the moon. If Venezuela's request is granted, the country will become "the second country in the world to successfully complete a manned mission to the moon," sharing this glory with China.

Why is China helping Venezuela? Venezuela has the world's largest oil reserves, but Venezuela is so poor

This decision underscores Venezuela's high level of trust in China and the close cooperation between China and Venezuela. What is even more impressive is the willingness of the two sides to cooperate in the high-tech field of manned lunar landing. But why is China willing to help Venezuela achieve this ambitious goal? Let's explore the reasons behind this.

Why is China helping Venezuela? Venezuela has the world's largest oil reserves, but Venezuela is so poor

First of all, Venezuela is a country rich in resources, especially known for its oil reserves. Among the world's known oil reserves, Venezuela tops the list with 300.9 billion barrels, far ahead of Saudi Arabia's 266.5 billion barrels in second place. In addition, Venezuela is rich in metal minerals, including iron, aluminum, nickel, coal and gold. These resources are of great appeal to China, the world's largest industrial country, because of the relative shortage of resources in oil, iron ore, copper ore, gold and so on.

Why is China helping Venezuela? Venezuela has the world's largest oil reserves, but Venezuela is so poor

However, despite Venezuela's rich mineral resources, its economy has been relatively backward. In 2022, Venezuela's total GDP was only about $160 billion, and its per capita GDP was about $5,949. By comparison, China's GDP per capita is about $13,000. Venezuela's GDP per capita is not even half that of China. This situation is caused by multiple factors, one of which is the exploitation of resources in Venezuela. Although Venezuela has one of the world's largest oil reserves, most of its oil is heavy and not easily processed, so it is not as popular as light oil in the international market.

Why is China helping Venezuela? Venezuela has the world's largest oil reserves, but Venezuela is so poor

Ironically, despite Venezuela's abundant resources, the country is in serious economic trouble for a number of reasons, including nationalization and diplomatic disputes with the United States. Venezuela has massively nationalized its domestic assets, but mismanaged it domestically, leading to inefficiencies for many businesses, especially in the oil industry, and declining capacity, which is devastating for a country that is highly dependent on oil exports. In addition, the United States imposed a strict economic blockade on Venezuela, exacerbating the country's economic decline.

Why is China helping Venezuela? Venezuela has the world's largest oil reserves, but Venezuela is so poor

It is for those reasons that Venezuela desperately needs international support and cooperation in order to improve its plight. In this context, China has become a natural partner for Venezuela. China's strong demand and technological prowess, as well as its thirst for Venezuelan resources, have led to close economic ties. China provides Venezuela with the necessary opportunities for cooperation to help the country achieve economic growth and resource development.

Why is China helping Venezuela? Venezuela has the world's largest oil reserves, but Venezuela is so poor

In summary, the cooperation plan between Venezuela and China not only reflects mutual trust between the two sides, but also highlights the potential for cooperation between resource-rich countries and technological powerhouses. This cooperation will not only boost Venezuela's economic development, but also provide valuable resources to China. It is based on these strategic considerations that China is willing to support Venezuela's participation in the manned lunar landing program to jointly explore new opportunities in the field of space.

Why is China helping Venezuela? Venezuela has the world's largest oil reserves, but Venezuela is so poor

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