USA. or China? Latin America under pressure to choose a side

Latin America It has become a battlefield between the United States and China. The countries of the region are forced to choose a side pressured by the new commercial policy imposed on Donald Trump.

The Republican administration has so far preferred the club than carrot in its strategy to counteract the growing influence in the China region, perceived as a threat to US national security and economy.

On several occasions, Trump threatened with “resume”The control of the Panama Canal, built by the United States, if it did not reduce the alleged Chinese influence on this commercial maritime route through which 40% of US goods passes.

China is also an indirect tariff white that Trump announced on steel and aluminum from allied countries such as Mexico.

The White House affirms that Chinese producers abuse the North America T-MEC Free Trade Agreement to pass aluminum to the United States via Mexico to avoid tariffs.

China has whipped what calls a “Cold War Mentality”, When accusing the United States to use“the pressure and coercion to denigrate and undermine”Your investments in Latin America.

“There is no doubt that the Trump administration perceives China’s presence in the region as an important threat to its security and its foreign policy interests”Arturo Sarukhan told AFP, who was an ambassador of Mexico in the United States from 2006 to 2013.

“It is mainly what explains the attacks of his diplomacy to Panama, his commercial policy of ‘United States first’, and his threats to end the Commercial Treaty of North America (T-MEC) “he said.

Strong rivalry

The United States has claimed for two centuries that Latin America is part of its sphere of influence.

However, China has made a space. Two thirds of Latin America countries have joined their infrastructure program of the “New Silk Route”And Beijing has displaced Washington as the main commercial partner of several countries, including Brazil, the first economic power in the region.

The concerns of the Trump administration seem to concentrate on Chinese influence near their territory, especially in Panama, and about its commercial partner, Mexico.

Chinese investments have increased considerably since Trump’s first mandate (2017-2021). Companies of the Asian giant transferred their production to Mexico to avoid US tariffs.

In response to Washington’s complaints, he remembers that he has a free trade agreement “With Mexico, not with China”, President Claudia Sheinbaum announced projects to reduce Chinese imports and promote local production.

Beijing has also been introduced into the Panamanian economy, beyond the exploitation of two ports by a company in Hong Kong on the Panama Canal, which has generated Washington concerns.

Jason Marczak, director of the Latin America Central of the ATLANTIC ASSOCIL EXPERTS Group in Washington, highlights that some parts of Panama are “Floods of Chinese replacing local entrepreneurs”

The Trump administration pressure seems to give results: Panama withdrew from the “New Silk Route” program days after a visit by the US Secretary of State, Marco Rubio.

Experts forecast a bitter rivalry in South America, where China has invested strongly in the extraction of strategic metals such as copper or lithium.

Before his arrival in power in 2023, the Argentine president, the ultra -liberal Javier Milei, who seeks a free trade agreement with the United States, promised that he would never do “Business with China or any other communist”

What did not prevent him, a while later, praise the second largest economy in the world as a “very interesting” business partner who asks for anything in return and renew with China in 2024 a swap (currency exchange) for the equivalent of the equivalent of US $ 5,000 million to 2026.

“To Beijing’s arms”

Brazil, meanwhile, maintains close relations with Washington and Beijing.

Sarukhan states that Trump’s threats and provocations towards Latin American countries “could push them even more to Beijing’s arms”

As is the case of Colombia. Its president, the leftist Gustavo Petro, announced plans to strengthen ties with China after being threatened with sanctions and tariffs for initially rejecting US flights with deported migrants.

For Marczak, “No country wants to be in the middle of a global geostrategic battle of the type ‘they against us’. But when the option occurs, there is a strong alignment with US and Western values ​​… and that is why US investment is preferred”