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C hina's Economic Influence in L atin A merica
Author(s) -
Kotschwar Barbara
Publication year - 2014
Publication title -
asian economic policy review
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.58
H-Index - 20
eISSN - 1748-3131
pISSN - 1832-8105
DOI - 10.1111/aepr.12062
Subject(s) - economics , investment (military) , political science , law , politics
After decades of low‐level commercial interaction, C hina and L atin A merica significantly ramped up their economic relationship in the 2000s. C hina has jumped to first place as an export destination for many countries, and it is a major source of imports for all countries in the L atin A merica/ C aribbean region. While not a major source of foreign direct investment overall, C hina has built a strong investment presence in certain countries, particularly in the natural resource and infrastructure sectors. C hina's influence in L atin A merica has presented a great opportunity for many countries, but it has also brought new risks. Three main challenges face the region: how to mitigate the impacts of increased commodity concentration as a result of C hina's strong demand for natural resources; how to avoid other natural resource curse effects; and how to manage the tapering of this growth. L atin A merican countries' relationships with C hina vary widely, so there is no single, coordinated regional response.