and oil was the collateral.
This will get very ugly very quickly. US soy bean farmers best switch crops ASAP because it doesn't seem trade with China will get better anytime soon.
edited to add: https://www.wionews.com/world/china-s-100-billion-in-loans-at-stake-in-venezuela-after-us-captures-maduro-1767522844314]
Venezuela has long been viewed as a crucial component of China’s strategy to expand its influence beyond Asia. The relationship took formal shape in 2006, under President Hugo Chávez, with Caracas signing several trade agreements with Beijing and describing China as a “Great Wall” against US influence.
Under these agreements, Venezuela committed to supplying up to one million barrels of oil per day to China. In return, Beijing promised political backing, including support for Venezuela’s bid for a non-permanent seat on the United Nations Security Council, according to media reports. By 2008, Beijing was sourcing nearly half of its oil supply from Venezuela, making it a key component in China's energy dynamics.
The partnership soon turned financial. China began extending large loans to Venezuela, backed by future oil supplies. In 2006, Beijing provided $2 billion in loans, which rose to $7 billion in 2007, according to AidData, a US-based research group. Lending surged in the following years, with $8 billion extended in 2009 and around $27 billion in 2010.
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