Latin American leaders gathered in Beijing on Tuesday for the fourth ministerial summit between the Community of Latin American and Caribbean States (CELAC) and China. Speaking at the opening ceremony, Chinese President Xi Jinping underlined the start of a new, more united chapter of this relationship; CELAC leaders emphasised the need for a more balanced, multipolar world, and framed the bloc’s partnership with China as a pathway to greater autonomy in global affairs.
Founded in 2010, CELAC is a regional intergovernmental organisation that brings together all the countries of Latin America and the Caribbean. The China-CELAC Forum was established in 2014 to promote partnerships between the regions. Each previous China-CELAC summit has produced joint cooperation action plans, covering a variety of areas, from sustainable development to cultural collaborations.
Tuesday’s summit was officially a ministerial meeting, but several national leaders attended: Colombia’s Gustavo Petro, Gabriel Boric of Chile, and Brazil’s Luiz Inácio Lula da Silva all travelled to Beijing for the opening ceremony.
President Xi’s speech included the announcement of a CNY 66 billion (USD 9.15 billion) credit line to support development in CELAC countries. This figure is slightly less than half that pledged at the 2015 summit.
“Although China and the LAC [Latin America and Caribbean] region are geographically distant, the bonds of our friendship stretch back through centuries,” Xi said. “Together, China and LAC countries champion true multilateralism, uphold international fairness and justice, advance global governance reform, and promote global multipolarity and greater democracy in international relations.”
Xi added that China and Latin America should expand cooperation on clean energy, artificial intelligence and the digital economy. He said that China will increase imports of “quality products” from Latin America, and that Chinese companies will be encouraged to expand investment in the region.
Chile’s Boric concurred, claiming this as the time “to take a qualitative leap forward in economic ties with China”. Petro – whose country Colombia is currently assuming CELAC’s rotating presidency – proposed a fibre optic cable to connect Asia with Latin America. Brazil’s Lula advocated for strong trade with China and deeper cooperation on the energy transition. He also defended multilateralism: “Chinese support is crucial to getting highways, railways, ports and transmission lines off the ground.”
In a 28-point joint statement issued late on Tuesday, the China-CELAC Forum underlined its commitment to multilateralism and international cooperation, and to “strengthening all pillars of the climate change mechanism”.
A summit amid a trade war
The China-CELAC summit took place amid a cooling in the tariff war between the United States and China. On Monday, the two countries agreed to a rollback on the trading terms and reciprocal tariff hikes that had been escalating in severity since January. On Tuesday, the US dropped its tariffs on Chinese imports from 145% to 30%, while China signed off on a reduction from 125% to 10%. However, this will be reviewed in 90 days.
With trade barriers all over the place, it’s an important moment to come together and reaffirm commitment to multilateralismRebecca Ray, senior researcher, Boston University Global Development Policy Center
This trade conflict has placed Latin America in a challenging position. While US President Donald Trump has close allies in the region, such as Argentina’s President Javier Milei and El Salvador’s President Nayib Bukele, others in Latin America have sought to diversify their partners. For example, on Monday, Petro confirmed Colombia’s joining of China’s Belt and Road Initiative (BRI).
The BRI has expanded in the region over the past decade, and Colombia will become the 23rd CELAC country to sign up.
First announced by Xi Jinping in 2013, the Belt and Road Initiative (BRI) is a global infrastructure development strategy designed to boost trade and economic growth.
“Belt” refers to the Silk Road Economic Belt – a series of overland routes linking China to Europe via Central Asia and the Middle East; “Road” acknowledges the 21st-century maritime Silk Road – a sea route connecting China’s southern coast to the Mediterranean via East Africa.
A vast range of projects, including motorways, ports, power plants and factories, have been described as being part of the Belt and Road Initiative. Find our reporting on BRI projects – and China’s growing role in global development and environmental governance – here.
Dialogue Earth consulted Francisco Urdinez, who directs the Millennium Nucleus on the Impacts of China in Latin America, an interdisciplinary research initiative. He says the summit’s main goal was to “show the world that multilateralism still exists and that free trade is still possible”.
Rebecca Ray, senior academic researcher for the Boston University Global Development Policy Center, agrees: “With trade barriers all over the place, it’s an important moment to come together and reaffirm commitment to multilateralism. The region is committing to pragmatic, open, non-discriminatory relations with the world to achieve its goals.”
Further investments
For Parsifal D’Sola Alvarado, executive director of the Andrés Bello Foundation (FAB)’s Latin American Chinese Research Center, the most important parts of the summit were the bilateral interactions that the leaders of Brazil, Colombia and Chile each had with China. “The rest was just statements from the governments and a lack of definitions,” Alvarado adds.
Companies from China, Brazil’s primary trading partner, expressed their intention to invest approximately USD 4.5 billion in various sectors of the Brazilian economy.
According to the Brazilian Trade and Investment Promotion Agency (ApexBrasil), that will include renewable energy, mining, automobiles, food, logistics and the health sector.
Brazil also issued a joint statement with China on the margins of the summit, in which both countries agreed to cooperate on projects related to the environment, energy transition and science and technology, among other areas.
Brazil has so far chosen not to join the BRI. But the country still desires closer ties with China, says political scientist and international relations professor Maurício Santoro: “In recent years, we have seen a diversification of Chinese investments in Brazil, such as in the electric vehicle sector. Major car manufacturers such as BYD are building factories in the country.”
The Chile-China Business Forum also took place in Beijing this week, organised by the Boric administration. At the forum, the Chilean president lauded multilateralism and free trade, and the reciprocal benefits they bring. Both countries indicated willingness to collaborate on solutions to challenges facing the energy transition and the digital transformation, among other issues.
Meanwhile, Nicaragua, which resumed diplomatic relations with China in 2021, signed four agreements with Chinese companies on the margins of the summit, including a deal with Yutong on electric vehicles. Hydroelectric and mining deals were also floated.
Margaret Myers, managing director of the Johns Hopkins University’s Institute for America, China and the Future of Global Affairs, notes China’s lower credit commitment compared to previous summits. But she says it remains significant given the US’ withdrawal of certain forms of assistance, such as USAID, and the slow progress of Europe’s Global Gateway programme.
“Whether China’s billions materialise or not will depend on multiple factors,” says Myers, “including China’s own economic prospects, the extent to which bankable projects are available to Chinese companies, and the interests of individual countries and localities. But China seems committed to continued engagement with the region.”
