It is a development “with potentially huge geopolitical implications”, writes the Times Latin American editor, Richard Lapper, based on “solid economic fundamentals”. China’s insatiable economy needs Brazilian iron ore and other commodities, and Brazil is seeking Chinese capital to develop the infrastructure to bring them to market.
The Asian power’s rapidly developing trade ties throughout Latin America poses a significant challenge for the US “right in its own backyard”, says Lapper, especially at a time when American relations with Brazil, Argentina, and Venezuela have “deteriorated”, raising the spectre of “new power blocs in the region”. He suggests the US and other OECD countries will need to further invest and open their markets and borders to Latin American products and labour to compete with China.
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