ASSESSMENTS

China's Growing Presence in Central America

Jun 28, 2013 | 10:46 GMT

Nicaraguan President Daniel Ortega (L) with Wang Jing, head of Chinese company Hong Kong Nicaragua Development Gran Canal Interoceanico

(Inti Ocon/AFP/Getty Images)

Summary

China's growing economic activity and diplomatic involvement in Central America show Beijing strengthening its ties with the region, despite the United States' historical dominance there. The current presence of the Chinese government and corporations is relatively small, and Chinese strategy in Central America does not immediately threaten U.S. economic and political power in those countries. In the long term, however, China intends to use steadily increasing trade and investment to obtain access to Central America's emerging markets and gain political allies.

Beijing is using trade and investment to expand its influence in the region, despite historical U.S. dominance....

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