During a meeting at the United Nations, Chinese Foreign Minister Wang Yi assured Bolivia's Foreign Minister Celinda Sosa that China will continue to be a "trustworthy" friend and partner to Latin America. Emphasizing that Latin America is not anyone's "backyard," Wang expressed China's commitment to strengthening its strategic partnership with Bolivia.
Bolivia, which established diplomatic relations with China in 1985, is one of several South American countries that have deepened economic ties with China through debt and investments. China holds a significant financial stake in Bolivia, being owed over $1.7 billion and having invested $6 billion in various sectors like metals, energy, and transport. In comparison, U.S. foreign direct investment in Bolivia amounts to around $430 million, primarily in oil, gas, and manufacturing industries.
The growing economic rivalry between the U.S. and China in Central and South America is evident, with Chinese investments, especially in energy and infrastructure, challenging traditional U.S. influence. Recent diplomatic exchanges between the two powers, including the U.S. engaging Panama over its ties with China, and China supporting Latin American countries in upholding their sovereignty, underscore this competition.
Moreover, China's backing of Latin American countries in the face of U.S. pressures, such as the recent demand from Trump concerning a common currency within the BRICS group, shows its efforts to foster alternative economic alliances in the region. While the U.S. has threatened trade repercussions and punitive measures to maintain its influence, China aims to solidify strategic partnerships with individual Latin American nations, offering an alternative economic support system.