China is broadening its presence in Latin America’s energy and strategic minerals sectors, posing challenges to the regional countries themselves as well as to the United States, according to a new white paper published by the Institute of the Americas (IOA).
In recent years, the Asian superpower has sharply increased its takeovers of major projects in electric power transmission and distribution, renewable energy and lithium, even as its other investments in the energy sector have declined. For example, in 2020 Chinese M&A deals in Latin American energy sectors surged, reaching $7.7 billion, or a quarter of all Chinese acquisitions worldwide, the study said.
Between 2000-2019, China made investments and loans of more than $58 billion in regional energy sectors, with most going to oil and natural gas projects, followed by renewable energy.
From acquisitions of Mexico’s largest private renewable energy firm and clean energy projects in Colombia t
