News Analysis: Closer China-Latin America economic, trade cooperation benefits both

BEIJING, Feb. 10 (Xinhua) -- From cherries to electric cars, China and Latin American countries have seen closer mutually beneficial cooperation amid growing global uncertainties, driven by China's commitment to broader opening up, optimized trade structure and deepened industrial collaboration.

Data from the General Administration of Customs showed that China-Latin America trade value had reached 3.93 trillion yuan (about 565.28 billion U.S. dollars) in 2025, growing by 6.5 percent year on year and exceeding the 500 billion-U.S.-dollar mark for two consecutive years, while outpacing China's overall foreign trade growth.

The sound development of China-Latin America trade is fundamentally supported by the strong economic complementarity between the two sides, said Wang Fei, a researcher at the Institute of Latin American Studies of the Chinese Academy of Social Sciences.

"China boasts a huge consumer market and a complete industrial system, while Latin America is rich in agricultural products and mineral resources," Wang explained, adding that the two sides have formed stable cooperation in sectors such as energy, agriculture and manufacturing.

Official data revealed that China's imports from Latin America rose by 4.9 percent in 2025, with an average growth rate of 4.3 percent during the 2024-2025 period. Industry analysts note that China's sustained economic recovery has spurred demand for high-quality Latin American products, including farm produce like Chilean cherries and Argentine beef, catering to Chinese residents' diverse dietary needs.

According to a trade outlook report released by the Economic Commission for Latin America and the Caribbean (ECLAC), among the region's main trading partners, China is expected to account for the largest growth in the region's exports in 2025 with year-on-year growth of 7 percent, mainly driven by increased sales of meat and soybeans, as well as higher prices for minerals such as copper.

Underpinning this growth is China's new institutional opening-up system, vast market and firm stance to expand imports, said Wang. China's top officials have on numerous key occasions underscored their commitment to importing more high-quality products from Latin American countries and encouraging Chinese enterprises to expand investments in the region.

The implementation of free trade agreements between China and Latin American countries has reduced import costs through tariff concessions, with notably increased exports of Ecuadorian tuna, Peruvian fruits and other products to China, Wang noted.

"New deals and strategic agreements are made, tariffs are lowered and standards are implemented, giving firms extra confidence to invest in long-term supply arrangements," said Andre Queme, a Brazilian entrepreneur living in China and CEO of LatAm China Tech company.

Meanwhile, China's exports of high value-added products like new energy vehicles (NEVs) have driven the optimization of trade structure, according to Wang. He added that Chinese investments in relevant sectors have fueled the expansion of the new energy industrial chain in this region.

A new NEV factory belonging to Chinese auto manufacturer BYD was inaugurated in Camacari, Bahia State, Brazil in October last year, marking the official start of local production of electric and hybrid vehicles by this Chinese firm.

With an investment of 5.5 billion reais (roughly 1.06 billion U.S. dollars), the project is BYD's largest industrial park outside Asia and is expected to create up to 20,000 direct and indirect jobs.

Brazilian Vice President and Minister of Development, Industry, Trade and Services Geraldo Alckmin said the completion of the BYD factory has reinforced the goals of the "New Industry Brazil" program, which aims to modernize the manufacturing industry by focusing on innovation, sustainable development and competitiveness.

Wang said that China's exports of green products have boosted sustainable development in Latin American and Caribbean (LAC) countries, with NEVs and photovoltaic modules helping to reduce carbon emissions, improve energy structures and address climate change. Meanwhile, they also promote economic transformation by driving the growth of the new energy industrial chain, transforming the automotive industry and creating high-value-added jobs.

China has pledged to promote the sound and balanced development of China-LAC trade in its Policy Paper on Latin America and the Caribbean released last December.

Queme views it positively as it "signals a much-needed shift," moving away from pure volume growth in traditional areas toward the quality and structure of the relationship, grounded in today's realities but oriented toward future trade, which is essential for mutual development within the global economic framework.

The latest policy move places emphasis on expanding high-value-added and technology-intensive goods, services trade, and digital trade, he said, adding that there is also a strong role for culture, which serves as the bond that enables mutual understanding and promotes long-term cooperation. ■