LAC Investment in China: A New Chapter in Latin America and the Caribbean-China Relations

This current study considers a large sample of LAC firms and analyzes in more detail how their strategies follow distinct patterns in different sectors. In doing so, we shed new light on how firms in the region have come to establish themselves in the Chinese market and draw policy recommendations for supporting private sector initiatives to penetrate the Chinese market. This report takes one step further in trying to fill a gap in our understanding of a potentially important avenue for achieving a more balanced LAC-China economic relationship. It proceeds as follows. Part I gives a brief macro overview of LAC-China trade and investment. The following section analyzes the presence of Latin American firms in China using an original dataset of 98 firms from the region and presents a typology of internationalization strategies employed. To conclude, Part III offers policy recommendations for supporting the private sector's efforts to enter the Chinese market, and area of increasing interest among LAC governments.