As the new US President promises a more distant relationship with Washington’s Latin American neighbors, China is keep to develop its economic links with the region, Petr Yakovlev of the Russian Academy of Sciences’ Institute of Latin America told Sputnik.
This week’s visit is Xi Jinping’s third to Latin America in the three years since he took office in March 2013. From November 17-23 the President will visit Ecuador, Peru and Chile, where he is expected to sign a range of agreements on infrastructure and economic development with the governments there.
Despite recent global economic uncertainty, China has an ambitious goal to increase its volume of trade with the Latin American continent to $500 billion, and invest $250 billion there.
Here China is a waiting in standby mode and wants to occupy those niches that might be forming in Latin America.” Beijing is planning a major change in its economic relationship with Latin America, from supplying industrial consumer goods, to providing the industrial equipment necessary for new enterprises. In connection with this, China is making large investments in infrastructure projects, considered to be the driver of economic growth.
When he arrives in Ecuador on Thursday, Xi Jinping and Ecuadorean president Rafael Correa will open the country’s largest hydroelectric power station, able to meet 30 percent of the country’s electricity needs.
The project is worth over $2 billion, and was financed and managed by the Chinese company. In all, China has helped to build or reconstruct eight hydroelectric power stations and ten highways in Ecuador, and made more than $10 billion of loans and investments. While China is seeking more engagement with the region, US President-elect Donald Trump has declared he wants to take a more isolationist and protectionism path.
“There is already a lot more attention being paid to (Chinese projects), in Peru and other Latin American countries. Officials are already saying that they are ready to take part in these projects, which are essentially under Chinese leadership. Pulling the Pacific Ocean countries of Latin America to these projects, which China is developing across the entire Asia-Pacific region, is another objective of Xi Jinping’s mission.”