China’s New Push for Latin America

Colombia signed a joint cooperation plan with the Chinese , formally adding the key Latin American country to China ’s Belt and Road Initiative ( BRI ) Colombia is the first country to join the BRI since Jordan signed onto the project in December of 2023 .

The benefits of Chinese partnership with Latin American countries are significant.

For China , expanding markets in Latin America fits naturally into its economic and geopolitical strategy.

The failure of high-profile projects and the risks of default on China ’s generous credit have become major stressors.

China has begun focusing on the installation of green energy like wind and solar; these projects can be done on a much smaller scale than railroads and hydroelectric dams.

China is essentially acting to backstop its own investments by shoring up its balance sheets of its debtors and preventing defaults on its loans.