Latin America is increasingly turning to China, as demonstrated by the APEC and G-20 summits. The region, once focused on Western trade alliances, now looks to China as a key economic partner due to its substantial investments and trade projects.
Western initiatives like the Free Trade Area of the Americas (FTAA) and EU-Mercosur talks have stalled over the years. Latin America, once hopeful for comprehensive trade agreements with the U.S. and Europe, finds itself without meaningful progress, nudging it toward China’s offers.
Chinese President Xi Jinping’s recent visits to Peru and Brazil, including the inauguration of a $1.3 billion port in Peru, showcase China’s growing influence in the region. These infrastructure projects, including new rail systems, are reshaping logistics and trade in Latin America.
While some leaders, like Argentina’s Javier Milei, initially criticized China, economic realities are pushing Latin American nations to strengthen ties with Beijing. Argentina’s renewed agricultural exports to China and China’s investment in Brazil’s electric vehicle industry reflect this trend.
As Latin American countries navigate pressure from the U.S., particularly with Trump’s protectionist stance, the region is increasingly turning to China. Despite challenges, China’s economic offerings remain attractive as the U.S. and Europe focus on other global priorities.