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American Focus > Blog > Economy > Latin America wary of US trade backlash as it builds relations with China
Economy

Latin America wary of US trade backlash as it builds relations with China

Last updated: May 11, 2025 2:40 am
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Latin America wary of US trade backlash as it builds relations with China
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Colombia is facing potential US trade retaliation after leftwing President Gustavo Petro announced plans to join Beijing’s Belt and Road infrastructure initiative during an upcoming visit to China for a regional meeting. This decision by Bogotá highlights the broader challenge confronting the 33-member Community of Latin American and Caribbean States (Celac) – how to expand trade and investment partnerships without incurring the wrath of US President Donald Trump. A ministerial forum between Beijing and Celac is scheduled for May 13.

As the current rotating president of Celac, Petro’s move to align with the BRI would represent a significant victory for Beijing, given Colombia’s historical alliance with Washington. The US has already issued a cautionary statement in response to Petro’s intentions.

The potential shift in Colombia’s stance has raised concerns among local businesses, particularly those reliant on exports to the US such as coffee and cut flowers. The US State Department’s special envoy for Latin America, Mauricio Claver-Carone, hinted at possible repercussions for Colombian products in the American market.

Amidst escalating trade tensions with the US, China views next week’s meeting with Celac as an opportunity to showcase continued cooperation despite challenges. Latin America holds substantial economic importance for China, with bilateral trade expected to exceed $500 billion this year.

The meeting serves as a strategic platform for Beijing to counter the impact of Trump’s tariffs on its global trade relationships. China seeks to mitigate the risk of losing crucial export markets while grappling with economic constraints at home.

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Latin American nations are navigating a delicate balance in their relations with China amidst geopolitical complexities. Recent pressure from the US prompted Panama to withdraw from the BRI, signaling broader concerns about Chinese influence over critical infrastructure projects.

Brazil, as China’s leading trade partner in the region, maintains a strategic engagement with Beijing as President Luiz Inácio Lula da Silva prepares for talks with Chinese President Xi Jinping. The focus remains on advancing multilateralism rather than responding directly to US trade policies.

The upcoming Celac ministerial meeting aims to establish a framework for sustained collaboration between Latin America and China in the face of US efforts to assert dominance in the region. Mexico, heavily reliant on US exports, faces growing scrutiny over its economic ties with China and has taken steps to address concerns.

By fostering closer ties with Latin America, China seeks to bolster its negotiating position with the US, particularly on sensitive issues like Taiwan and the South China Sea. Leveraging potential rifts between Latin American countries and the US could provide China with strategic leverage in broader geopolitical discussions.

Overall, the evolving dynamics between Latin America, China, and the US underscore the intricate balance of economic interests, regional alliances, and global power dynamics shaping the future of trade and investment in the region. The world of technology is ever-evolving, with new advancements and innovations constantly being introduced. One of the latest trends in technology is the rise of artificial intelligence (AI) and machine learning. These cutting-edge technologies are revolutionizing industries and changing the way we live and work.

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AI refers to the simulation of human intelligence in machines that are programmed to think and learn like humans. Machine learning is a subset of AI that enables machines to learn from data and improve their performance without being explicitly programmed. Together, these technologies are powering a new wave of innovation across various sectors.

One of the most prominent applications of AI and machine learning is in the field of healthcare. These technologies are being used to accelerate drug discovery, improve diagnostic accuracy, and personalize treatment plans for patients. AI-powered algorithms can analyze vast amounts of medical data to identify patterns and trends that may not be apparent to human experts. This has the potential to revolutionize the way diseases are diagnosed and treated, ultimately improving patient outcomes and reducing healthcare costs.

In the field of finance, AI and machine learning are being used to enhance fraud detection, automate trading strategies, and improve customer service. By analyzing large volumes of financial data in real-time, AI algorithms can identify suspicious patterns and transactions that may indicate fraudulent activity. This helps financial institutions mitigate risks and protect their customers from potential fraud.

In the retail industry, AI and machine learning are being used to personalize customer experiences, optimize inventory management, and streamline supply chain operations. By analyzing customer data and behavior, retailers can create personalized recommendations and offers that cater to individual preferences and shopping habits. This not only improves customer satisfaction but also increases sales and revenue for retailers.

In the automotive industry, AI and machine learning are driving innovation in autonomous vehicles, predictive maintenance, and vehicle safety. AI-powered algorithms can analyze data from sensors and cameras to navigate roads, detect obstacles, and make real-time decisions to ensure safe and efficient driving. This has the potential to revolutionize transportation and reduce accidents on the road.

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Overall, AI and machine learning are transforming industries and driving innovation across various sectors. As these technologies continue to evolve and improve, we can expect to see even more groundbreaking applications that will reshape the way we live and work. It is clear that AI and machine learning are here to stay and will play a crucial role in shaping the future of technology.

TAGGED:AmericaBacklashBuildsChinaLatinRelationsTradeWary
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