Although the trade relationship between China and Latin America might not be significant in global terms, it is significant at the regional level. China’s imports and exports from Latin America and the Caribbean have experienced a large increase in the last decades.
The effects of China’s continuous economic growth and its integration to the global economy has been felt at the global, regional, and state level. This discussion paper analyses some of the positive and negative impacts that China’s economic growth and global economic integration has had in Latin America in terms of trade, foreign direct investment, and in third markets. The paper argues that the “Chinese effect” has created winners and losers depending on the exports and imports of the individual countries, but that even those countries that have benefitted can face serious consequences in the long-term.Download the Discussion Paper