In the realm of geopolitics, two recent photographs have sparked discourse on the power dynamics between the United States and China in Latin America. President Xi Jinping takes center stage, radiating confidence alongside his Latin American counterparts. Meanwhile, President Joe Biden appears relegated to the background or missing entirely in these snapshots.
The images serve as poignant symbols of the shifting landscape in Latin America, once considered America’s backyard. At the recent Apec summit in Peru and the G20 meeting in Rio de Janeiro, the US-China rivalry was on full display. Despite official explanations citing alphabetical order or Biden’s delayed arrival, the underlying message was clear – China’s ascendance and America’s waning influence in the region.
Here are some key points to consider in this tussle for supremacy:
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Resource-Rich Region: Latin America boasts significant resources, including 57% of global lithium reserves, 37% of copper, one-fifth of the world’s oil, and a significant share of fresh water and primary forest.
The region’s strategic importance has not gone unnoticed by Xi, who made a grand entrance in Peru, inaugurating a multi-billion dollar port project aimed at transforming shipping routes to China. In contrast, Biden’s offerings of helicopters and refurbished trains seemed lackluster and outdated in comparison.
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Economic Stakes: China’s economic footprint in Latin America has expanded exponentially, with trade ballooning from $12 billion in 2000 to $450 billion in 2023. Beijing is now the primary trading partner for most countries in the region, with a rapidly growing investment portfolio.
Chinese investments in critical sectors such as minerals, energy, and infrastructure have reshaped the economic landscape of South America. High-tech industries have become a focal point, showcasing the mutual interests at play.
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US Policy Response: Despite concerns about China’s increasing influence, Washington’s response has been tepid. Initiatives like the Americas Partnership for Economic Prosperity have fallen short, failing to match China’s assertiveness in the region.
The potential return of Donald Trump to the White House is seen as a harbinger of further Chinese dominance in Latin America. Trump’s protectionist stance is expected to exacerbate tensions and polarize the region’s political landscape, with China poised to capitalize on the vacuum left by US inaction.
As we navigate this evolving geopolitical landscape, it is imperative for the US to reassess its strategies and engagement in Latin America. The battle for influence in the region is far from over, and the stakes couldn’t be higher. It’s time for America to step up its game and reclaim its position as a key player in its own backyard.
