In recent years, China’s Belt and Road Initiative (BRI) has created an important area of cooperation in Latin America, offering new opportunities in the infrastructure, energy and trade sectors. This initiative, which aims to increase connectivity on a global scale, has deepened economic ties with Latin American countries and encouraged mutual investment. Many countries in the region have turned to joint projects with China to improve transportation and energy infrastructure, strengthen trade networks and accelerate economic development.
This cooperation process means new sources of financing and expanded trade opportunities for Latin American countries. In particular, large-scale infrastructure projects and energy investments have the potential to make long-term contributions to regional economies. The development of relations between China and Latin America is seen as part of global economic integration and contributes to the strengthening of multilateral partnerships.
Argentina joined the BRI in 2022 and started cooperation with China on large-scale infrastructure projects.[1] Ongoing projects include the Santa Cruz hydroelectric power plants and Chinese-funded rail modernization efforts.[2] Completed projects include the modernization of the Belgrano Cargas Railway. Chinese investment in Argentina’s lithium mining and renewable energy projects is expected to increase in the future.
Bolivia cooperates closely with China, especially in the fields of energy and mining. China has made significant investments in Bolivia in the field of lithium mining and aims to cooperate in exploiting the world’s largest lithium reserves.[3] Ongoing projects include joint mining projects with the Bolivian Lithium Deposits (BLD) and solar power plants. More Chinese-backed energy projects are expected to start in Bolivia in the coming years.
Brazil is one of China’s largest trading partners in Latin America, with BRI projects in agriculture, mining and energy. Completed projects include power transmission lines built by the State Grid Corporation of China.[4] Ongoing projects include the Trans-Amazon railway project and lithium mining investments. China’s investments in Brazil are expected to focus more on logistics and green energy projects in the coming years.
Chile has strong trade ties with China and attracts Chinese investment, especially in the copper mining and energy sectors.[5] Completed projects include environmentally friendly power plants and copper mining facilities. Among ongoing projects, investments to increase Chile’s lithium production stand out. In the future, China is expected to focus on telecommunications infrastructure and green energy investments in Chile.
Although Colombia has not formally joined the BRI, it is engaged in large-scale infrastructure projects with China. Chinese companies are building metro and railway projects and investing in power plants in the country.[6] Among the ongoing projects, the Bogotá Metro Project is one of the largest urban transportation projects built by Chinese firms. China is expected to undertake more energy and transportation projects in Colombia in the future.
Peru remains one of China’s most important investment destinations in Latin America. Cooperation, particularly in mining and port infrastructure, is deepening year by year. Completed projects include large-scale mining operations, power plants and the Chancay Port. Inaugurated in 2024, the Chancay Port stands out as one of the most strategic investments aimed at increasing China’s maritime transportation capacity in Latin America.[7] This port provides a direct link to Asia across the Pacific, making Peru a regional logistics hub. Chinese-backed investments in logistics, transportation and industrial zones in Peru are expected to continue to increase in the future.
Panama was one of the first Latin American countries to join the BRI in 2017, and has already established strong economic cooperation with China.[8] Projects completed in this framework include the expansion of the Port of Panama and the establishment of various logistics centers. However, in light of the recent escalation of geopolitical tensions between the US and China and domestic political trends, the Panamanian government reviewed its ties with the BRI and decided to formally withdraw from this cooperation.[9] This development raises new strategic considerations about China’s influence in the region and creates uncertainty about the direction of Panama’s future infrastructure and foreign investment policies.
Venezuela has developed close economic relations with China and has invested heavily in energy and infrastructure. China has completed projects in Venezuela, building oil extraction facilities, hydroelectric power plants and transportation infrastructure.[10] Ongoing projects include renewable energy projects and mining investments. China is expected to continue its economic investments in Venezuela in the oil and energy sector.
The Dominican Republic strengthened its cooperation with China by joining the BRI in 2019. Completed projects include investments in tourism and transportation infrastructure development, but there are also ongoing projects such as industrial facilities and renewable energy.[11] China is expected to invest more in infrastructure and energy in the country going forward.
Ecuador is one of the Latin American countries receiving large-scale loans and investment from China. Completed projects include hydroelectric power plants, roads and bridges.[12] Ongoing projects include new energy investments and digital infrastructure projects. China’s interest in Ecuador’s mining and energy sector is expected to grow in the future.
The BRI is not only seen as an economic and commercial expansion in Latin America, but also as an important factor affecting the global balance of power. Traditionally in the US sphere of influence, the region is becoming more integrated into the global economy through Chinese infrastructure investments, energy projects and trade agreements. The long-term financing and large-scale projects offered by China are creating significant opportunities for economic growth and development for Latin American countries, while also strengthening the region’s position in the global trade network.
[1] “China, Argentina Agree to Jointly Promote ‘Belt and Road’ Initiative”, Reuters, www.reuters.com/world/china-argentina-agree-jointly-promote-belt-road-initiative-2023-06-02/, (Accessed Date: 03.22.2025).
[2] Shang, Yanyan. “China-Argentina Trade and Investment: Key Opportunities in 2025 and Beyond.” China Briefing, www.china-briefing.com/news/china-argentina-trade-and-investment-key-opportunities-in-2025-and-beyond/, (Accessed Date: 03.22.2025).
[3] “Bolivia Announces $1 Bn Deal with China to Build Lithium Plants”, France 24, www.france24.com/en/live-news/20241127-bolivia-announces-1-bn-deal-with-china-to-build-lithium-plants, (Accessed Date: 03.22.2025).
[4] “Brazil Signs Historic Energy Agreement with China’s State Grid Corp”, Fundación Andrés Bello, www.fundacionandresbello.org/en/news/brazil-%F0%9F%87%A7%F0%9F%87%B7/brazil-signs-historic-energy-agreement-with-chinas-state-grid-corp/, (Accessed Date: 03.22.2025).
[5] “China-Chile Economic Ties: Trade, Investment, and Future Prospects”, China Briefing, www.china-briefing.com/news/china-chile-economic-ties-trade-investment-and-future-prospects/, (Accessed Date: 03.22.2025).
[6] “China Invierte en Colombia: El Megaproyecto del Corredor La Dorada-Chiriguaná”, Fundación Andrés Bello, www.fundacionandresbello.org/noticias/colombia-%F0%9F%87%A8%F0%9F%87%B4/china-invierte-en-colombia-el-megaproyecto-del-corredor-la-dorada-chiriguana/, (Accessed Date: 03.22.2025).
[7] “Cómo el Megapuerto de Chancay que China Estrena en Perú Puede Impactar en la Economía de Otros Países de América Latina”, BBC News Mundo, www.bbc.com/mundo/articles/c8jywxmxkryo, (Accessed Date: 03.22.2025).
[8] “Panama Quits China’s Belt and Road Initiative”, Diálogo Americas, www.dialogo-americas.com/articles/panama-quits-chinas-belt-and-road-initiative/, (Accessed Date: 03.22.2025).
[9] Ibid.
[10] Hayley, Andrew. “China’s Oil Trade and Investment in Venezuela”, Reuters, www.reuters.com/business/energy/chinas-oil-trade-investment-venezuela-2023-09-12/, (Accessed Date: 03.22.2025).
[11] “The Evolution of Chinese Engagement in the Dominican Republic”, Center for Strategic and International Studies (CSIS), www.csis.org/analysis/evolution-chinese-engagement-dominican-republic, (Accessed Date: 03.22.2025).
[12] “The Surge of Chinese Investment into Ecuador”, Uría Menéndez Abogados, www.uria.com/documentos/galerias/2252/imagen/4362/Ecuador_-_The_surge_of_Chinese_investments.pdf?id=4362, (Accessed Date: 03.22.2025).
