• Research
  • Emissary
  • About
  • Experts
Carnegie Global logoCarnegie lettermark logo
DemocracyIran
  • Donate
{
  "authors": [
    "Matt Ferchen"
  ],
  "type": "legacyinthemedia",
  "centerAffiliationAll": "",
  "centers": [
    "Carnegie Endowment for International Peace",
    "Carnegie China"
  ],
  "collections": [
    "China and the Developing World",
    "China’s Foreign Relations"
  ],
  "englishNewsletterAll": "",
  "nonEnglishNewsletterAll": "",
  "primaryCenter": "Carnegie China",
  "programAffiliation": "",
  "programs": [],
  "projects": [],
  "regions": [
    "North America",
    "United States",
    "South America",
    "East Asia",
    "China"
  ],
  "topics": [
    "Economy",
    "Trade",
    "Foreign Policy"
  ]
}

Source: Getty

In The Media
Carnegie China

Do Latin America’s Ties With China Come “at a Price”?

It is Trump administration policies and attitudes that have provided China a rhetorical opening in Latin America at a time when China’s economic and political relations with the region face serious challenges.

Link Copied
By Matt Ferchen
Published on Feb 20, 2018

Source: Latin America Advisor

Inter-American Dialogue:  Peruvian Trade Minister Eduardo Ferreyros on Feb. 6 defended China as a good trade partner for the South American country. His comments came days after U.S. Secretary of State Rex Tillerson said in a speech that “China’s offer always comes at a price” and cautioned Latin American countries against reliance on “new imperial powers that seek only to benefit their own people.” Are Latin American countries relying too much on China? What are the main benefits and drawbacks countries are experiencing from their economic and political links with China? What factors have led to increased Chinese investment and influence in Latin America? How does China’s approach to engagement with Latin America differ from that of the United States?

Matt Ferchen: Secretary Tillerson’s warning to Latin American countries to be wary of China’s role in the region is best understood as part of a broader pushback by the Trump administration against the perceived threats of China’s mercantilist economic statecraft around the world. Yet the timing and content of his comments are both misconceived. American credibility with its southern neighbors is at a low ebb, given President Trump’s hostility toward Mexico and toward Latino immigrants in general. At the same time, claims of Chinese mercantilist practices in Latin America are largely off base given that trade ties, which in some South American cases certainly have exacerbated concerns about heightened commodity dependency, have mostly capitalized on simple comparative advantage. No matter the timing, American lectures to Latin Americans on how to conduct their foreign policy are self-defeating. If anything, it is Trump administration policies and attitudes that have provided China a rhetorical opening in Latin America at a time when China’s economic and political relations with the region face serious challenges. In the post commodity boom era, the ‘win-win’ trade story is no longer as easy to sell to Latin American publics, while promises of Chinese investment and infrastructure deals often fail to meet the hype. But as always, Venezuela remains the most difficult economic and political challenge for China, and it is here where the trading of diplomatic jibes between the United States and China is most unproductive. Along with Venezuela’s Latin American neighbors, American and Chinese interests in helping Venezuela move off the path of self-immiseration should create, not foreclose, an opening for creative diplomacy.

This piece was republished with permission from the Inter-American Dialogue’s daily Latin America Advisor.

About the Author

Matt Ferchen

Former Nonresident Scholar, Carnegie-Tsinghua Center for Global Policy

Ferchen specializes in China’s political-economic relations with emerging economies. At the Carnegie–Tsinghua Center for Global Policy, he ran a program on China’s economic and political relations with the developing world, including Latin America.

    Recent Work

  • Q&A
    How China Is Reshaping International Development

      Matt Ferchen

  • Article
    Why Unsustainable Chinese Infrastructure Deals Are a Two-Way Street

      Matt Ferchen, Anarkalee Perera

Matt Ferchen
Former Nonresident Scholar, Carnegie-Tsinghua Center for Global Policy
Matt Ferchen
EconomyTradeForeign PolicyNorth AmericaUnited StatesSouth AmericaEast AsiaChina

Carnegie does not take institutional positions on public policy issues; the views represented herein are those of the author(s) and do not necessarily reflect the views of Carnegie, its staff, or its trustees.

More Work from Carnegie Endowment for International Peace

  • Commentary
    Carnegie Politika
    What’s Having More Impact on Russian Oil Export Revenues: Ukrainian Strikes or Rising Prices?

    Although Ukrainian strikes have led to a noticeable decline in the physical volume of Russian oil exports, the rise in prices has more than made up for it.

      • Sergey Vakulenko

      Sergey Vakulenko

  • Shipping port at dawn from above
    Commentary
    Emissary
    The U.S. Export-Import Bank Was Built for a Different Era. Here's How to Fix It.

    Five problems—and solutions—to make it actually work as a tool of great power competition.

      • Afren Akhter

      Afreen Akhter

  • Commentary
    Carnegie Politika
    Russia Is Meddling for Meddling’s Sake in the Middle East

    The Russian leadership wants to avoid a dangerous precedent in which it is squeezed out of Iran by the United States and Israel—and left powerless to respond in any meaningful way.

      Nikita Smagin

  • Man speaking into two mics
    Commentary
    Emissary
    Three Scenarios for the Gulf States After the Iran War

    One is hopeful. One is realistic. One is cautionary.

      • Andrew Leber

      Andrew Leber, Sam Worby

  • Commentary
    Strategic Europe
    The Fog of AI War

    In Ukraine, Gaza, and Iran, AI warfare has come to dominate, with barely any oversight or accountability. Europe must lead the charge on the responsible use of new military technologies.

      Raluca Csernatoni

Get more news and analysis from
Carnegie Endowment for International Peace
Carnegie global logo, stacked
1779 Massachusetts Avenue NWWashington, DC, 20036-2103Phone: 202 483 7600Fax: 202 483 1840
  • Research
  • Emissary
  • About
  • Experts
  • Donate
  • Programs
  • Events
  • Blogs
  • Podcasts
  • Contact
  • Annual Reports
  • Careers
  • Privacy
  • For Media
  • Government Resources
Get more news and analysis from
Carnegie Endowment for International Peace
© 2026 Carnegie Endowment for International Peace. All rights reserved.