【By Observer News, Xiong Chaoran】Last year, when President Trump's tariff policies disrupted global trade, Latin America feared a significant impact. However, for the region's exports, this is now an unprecedented good opportunity.

"With China's help, Latin America weathered Trump's trade storm," reported Bloomberg on January 22 local time, stating that Argentina announced on January 20 that its exports reached a record second-highest level last year. Previously, Brazil and Chile also released related data, both reporting record-high export figures. In the coming days, Mexico and Peru may also show similar milestone achievements in their export data.

The report said that while Europe and other regions are still struggling to deal with Trump's renewed tariff threats, Latin America is entering 2026 in a more favorable position, better able to resist any trade shocks from Washington. Exporters are now benefiting from improved logistics, the ability to shift goods toward emerging markets, and most importantly, a closer relationship with China. As the world's second-largest economy, China is purchasing large quantities of the region's export commodities, such as soybeans, copper, and iron ore.

"Considering the various disruptions caused by tariffs, the strong export performance last year seems counterintuitive, but it results from the combined effects of rising prices, increased sales, and geopolitical factors," said Andres Abadia, chief Latin American economist at economic advisory firm Pantheon Macroeconomics: "The region's main export products should remain relatively resilient."

The report suggests that as the Trump administration actively seeks to expand its influence in the Western Hemisphere, Latin America has risen to the forefront of global geopolitics. However, in terms of trade, the reality for most countries in the region is that China's influence is more deeply rooted than ever before.

Beef exporter in Maceió, Alagoas, Brazil on October 7, 2025. IC Photo

China's Diversification Strategy Reshapes Latin American Trade

In 2025, the transformation in regional trade was particularly evident in the food and agricultural product sectors. China's efforts to diversify its supply sources have driven the export of frozen beef from Brazil, which increased by nearly 50% compared to the previous year. Due to Argentina's temporary removal of export taxes, China increased its imports of soybeans from Argentina, helping to offset the impact of trade friction that reduced U.S. supply.

Meanwhile, in Peru, China's purchases of gold and copper have driven exports, highlighting how the industrial and energy transition needs of this Asian powerhouse are reshaping the trade dynamics of Latin America.

With both price and consumption increasing, Chile's copper exports to China and the United States (a key raw material for clean energy technology) also reached record highs.

"There is global friction between the United States and China, and both are competing for markets," said Alberto Ramos, chief Latin American economist at Goldman Sachs: "China is already an important trading partner for most Latin American economies."

In this context, Mexico is an exception, with about 80% of its exports going to the United States. By November 2025, Mexico's exports to the United States grew by 7%. Additionally, late last November, the government of Mexican President Sheinbaum approved tariffs on 1,463 products, most of which came from China, indicating a closer alignment with the United States.

"Even if you're right-wing, you have to be pragmatic towards China"

Abadia said that looking ahead, exports from Brazil, Chile, Colombia, Mexico, and Peru will benefit from growing demand for raw materials and processed agricultural products.

The Brazilian government estimates that this year's exports will reach between $340 billion and $380 billion, while exports in 2025 were $348.7 billion. The Central Bank of Chile expects that this year's exports of goods and services will grow by 1.8% from the 2025 level of $107 billion.

According to a survey report by the Argentine Central Bank in December 2024, the country's exports are expected to reach $91.4 billion this year, compared to $87.1 billion in 2025.

Bloomberg pointed out that in this context, the leaders of the region are now avoiding taking sides publicly. Among them, Argentine President Milei is one of Trump's most steadfast global allies, yet he still relies on China as his largest export destination.

Even during his campaign, Milei made multiple anti-China remarks, once claiming "China is an assassin" and "we should cut ties with China," but after taking office, he gradually softened his stance towards China, emphasizing the importance of bilateral trade.

On January 12 local time, Milei told local media La Nación that he plans to visit China this year.

"China is a great trade partner," Milei said, "we have a very good business relationship with China. Moreover, we must try to trade with all countries in the world. Any country that wants to trade with us is welcome."

Additionally, Brazilian left-wing president Lula is proceeding cautiously to avoid conflict. After successfully getting Trump to withdraw most of the heavy tariffs imposed in 2025, Brazil-US relations have improved.

"Recent actions by Trump indicate that the United States is willing to support governments in the region that share its political stance," said an economist at Standard Chartered: "But even the most right-wing leaders in the region have to act pragmatically when dealing with China, the biggest buyer of the region's major commodity exports."

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Original: toutiao.com/article/7598098790393971200/

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