Latin America and the United States

Throughout history, the relationship between Latin America and the United States of America has gone through many ups and downs. Fortunately, over the last few years the old idea that the USA is the region’s main adversary has been changing. However, much is still needed to achieve greater reciprocal closeness. The first step forward should be an increase in dialogue and mutual understanding in order to identify the enormous opportunities for win-wins on both sides.

On one hand, the USA has much more to learn about Latin America than Latin America does about the USA. In fact, young Latin Americans today do not only tend to learn English in school, but they are also relatively well-informed about events in the USA, at least better informed than young Americans are about Latin America.

On the other hand, Latin America needs the USA more than the USA needs Latin America. For good or bad, the USA is currently the world’s only super power, after the collapse of the Soviet Union and before China emerges as a global player. In addition, the USA has an enormous population that considers itself “Latino” or “Hispanic,” that today makes up the largest minority in the country. There are more than 50 million Americans who consider themselves Latinos, a group larger than the entire population of Argentina or Colombia.

One of the principal problems for negotiations between the USA and Latin America is the size and asymmetry of the two economies. The USA’s economy is many times larger than the entire Latin American economy, and although the big fish does not necessarily swallow the small fish, the force and power of the USA is enormous compared with the small and fragmented regional economies. For this reason it is important to have regional coordination and cooperation when negotiating with Latin America’s principal trading partner.

In Latin America, the most radical change of attitude has been Mexico’s. For Mexicans, the USA was considered the “traditional enemy” to whom Mexico lost over half its territory during the 19th century. In a drastic change of position, Mexico signed a major trade agreement with its neighbor to the north in 1994. The transformation was so radical for both countries that now the USA and Mexico have become indispensable trading partners to one another. In fact, Mexico has become the US’s second largest trading partner. At this moment, the words of ex-president John F. Kennedy are particularly relevant for Latin America: “The US can and should be the principal ally, not the principal adversary, of Latin America.”*

*This quote, though accurately translated, could not be independently verified.