On November 14, 2024, Chinese President Xi Jinping (left) and Peruvian President Dina Boluate met at the Government Palace in Lima during the Asia-Pacific Economic Cooperation (APEC) summit.
Ernesto Benavides | AFP | Getty Images
Experts told CNBC that Beijing is strengthening economic ties with Latin America, seeking to further boost trade and gain influence in the resource-rich region.
Chinese President Xi Jinping unveiled the $3.5 billion project last week giant portCOSCO Shipping Lines, controlled by Chinese state-owned shipping company COSCO, established a direct route between Shanghai and the Peruvian city of Chancay during its trip to Peru.
“China’s own economy is slowing, and the standard government response to that is to try to export its way out of trouble,” said William Reinsch, chair of the international business department at the Center for Strategic and International Studies in Latin America.
“Among other things, this means focusing on areas of the world that they have not yet penetrated widely,” Reinsch added, noting that the Western Hemisphere is rich in commodities, agricultural products and minerals that China needs.
Chinese Foreign Ministry spokesperson Lin Jian said that the Peruvian port under the “Belt and Road” initiative (China’s global infrastructure development strategy) will shorten the transportation time from Latin American countries to China by 23 days and reduce logistics costs by at least 20%. explain.
“The completion of the Port of Chancay will effectively consolidate Peru’s role as a gateway connecting land and sea routes, Asia and Latin America.” a spokesman said Friday.
Experts say the port cements China’s position as the top trading partner of Peru and the rest of Latin America as China displaces the United States in its own backyard.
“The port of Chancay is seen as a game-changer in Latin America’s logistics sector,” Juan Carlos Ladines Azalia, a professor of international affairs and international trade management at Peru’s Pacific University, told CNBC.
He added that this would open the door for more Chinese investment into South America as Beijing continues to squeeze out the region’s traditional partners, the United States and Europe.
between countries expected The port serves Brazil, a big buyer of Chinese products and one of the largest exporters of agricultural products and iron ore.
“The entire region is interested in benefiting from new ports,” Carlos Cardenas, head of insights and analysis for Latin America at S&P Global Market Intelligence, told CNBC.
He added that this also relaunched discussions about potential construction.”biological ocean corridor”, a railway linking the Pacific coast of Peru with the Atlantic coast of Brazil, could be used for exports to Asia via Chancay.
trade and influence
Xi Jinping paid his second state visit to Peru, attended the 31st APEC Leaders’ Informal Meeting, and then went to Brazil to attend the 19th G20 Leaders’ Summit.
His trip to South America was Peru and Brazil Figures from Beijing show that their bilateral trade with China has been expanding as economic ties deepen.
China is from Peru largest trading partnerhas signed the “One Belt, One Road” initiative, and at least 22 Latin American and Caribbean countries through different cooperation agreements.
Although Brazil has not yet signed up to the Belt and Road Initiative, China has long been part of Brazil’s Belt and Road Initiative. largest trading partner For more than a decade, Brazil has been China’s largest trading partner in Latin America.
“There are 33 countries in Latin America that consider themselves part of the so-called ‘South,’ and China is keen to expand its influence there through trade and investment,” said Ryan Berg, CSIS Americas Program Director.
“Trade relationships often develop into more strategic relationships, cultural exchanges, defense and security cooperation, etc.,” he said, adding that China’s long-term goal is to replace the United States in the region.
U.S. concerns grow
The United States has It is said Concern over China’s growing role in Peruvian infrastructure and port of Chancay, some officials claim Can be used by the Beijing Navy.
Meanwhile, an adviser to Donald Trump It is said The proposed 60% tariff on goods passing through Peru’s new port or any Chinese-owned or controlled port is consistent with the president-elect’s proposal to raise tariffs on all goods from China.
However, when it comes to Latin America accepting more Chinese investment, experts say the United States should be held accountable for its own concessions.
“The United States has strategically neglected its common neighbors. This vacuum has allowed China to expand with little resistance or controversy,” Berg said.
Reinsch of the Center for Strategic and International Studies (CSIS) said this is an economic and geopolitical mistake, although it is not necessarily a national security issue as some suggest.
“This is just the latest chapter in a long history of U.S. neglect of Latin America,” Reinche said.
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