Argentina 3 Mar 2016

China’s contribution to the renewal of the Latin American economic model

Ties between China and Latin America are deep even having been built in a relatively short period. Despite the current economic climate, it appears that this relationship will be based on the long term and will not weaken.

The analysis of these relationships allows showing the problems of an economic development model based in the region since the nineteenth century. This model is grounded on the export of raw materials, but although it has brought great benefits at different times, it has important limitations.

The possibilities of growth and progress go through a sine qua non, an indispensable condition; the system of exporting commodities without added value cannot continue to survive in today’s economy. Latin America needs a sustainable economic system and it has to face structural change.

José Antonio Llorente
Founder and Chairman at LLORENTE & CUENCA

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