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Xi's trip highlights bustling Latin American ties

By Chen Weihua in Washington | China Daily | Updated: 2016-11-19 07:12

President Xi Jinping's state visit to Ecuador, Peru and Chile reflects China's strong commitment to forging strong relations with the region, according to US-based Latin American experts.

"It has been impressive for the commitment China has made to Latin America," said Eric Farnsworth, vice-president of the Americas Society and Council of the Americas, referring to the frequent trips there by Chinese leaders, including in the past few years by Xi, Premier Li Keqiang and other senior Chinese officials.

Farnsworth described Xi's trip as a continuation of that commitment, saying the three countries on Xi's itinerary all have a solid relationship with China.

Evan Ellis, a research professor of Latin American studies at the Strategic Studies Institute of the US Army War College, described the three countries as "a very positive story" for China.

A prolific writer on China's ties with Latin America, Ellis said there are significant opportunities for China to strengthen its Latin American business relationships.

Xi's trip highlights bustling Latin American ties

China is the largest trading partner for Peru and Chile and the third-largest for Ecuador.

Riordan Roett, a professor and director of the Latin American Studies Program at the Johns Hopkins University School of Advanced International Studies, said all three countries would welcome Chinese infrastructure investment.

He said Chinese companies are active in mining in Peru, but the ports and roads there are very poor. The situation is the same for Ecuador and other countries on the Pacific coast of Latin America.

Farnsworth, who just returned from a trip to China, said China continues to be a vital market for South America and its importance is growing. He said that Latin American countries are looking for a more diversified and balanced trade with China, which will include not only primary goods but also finished goods.

Farnsworth said that the three Latin American countries hope to further tap the Chinese market, citing the example of Chilean wine. Chile, the fifth-largest wine-producing nation, has become the second-largest supplier to China, according to a Financial Times report on April 19.

Farnsworth said the success story of Chilean wine can be duplicated in other sectors.

Roett agreed, saying that Latin Americans would like to export more to the Chinese market. "But Latin America is not very good in identifying the products that would be attractive in the Chinese market," he said.

In his view, many Latin American economies are not competitive and productive. "They really have to begin to find ways to become more competitive," he said.

While the dollar volume of exports from some of the South American countries has gone down due to falling commodity prices in the past few years, Ellis said these countries continue to see China as their major market. "I don't think any of the countries have stopped looking at China as a major market. That will certainly continue," he said.

Farnsworth said there is a broad acceptance in Latin America that the relationship with China is a good thing.

He said Latin America is looking for equals, not looking for another country like Spain, Portugal or Britain in the past as their protector.

Besides fast-growing economic, trade and investment relations, China also has been expanding cultural and educational ties.

Farnsworth said the promotion of tourism, business exchange, educational exchange and people-to-people ties will contribute to mutual understanding.

chenweihua@chinadailyusa.com

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