Introduction
China has recently pledged free trade, increased commerce, and $9.2 billion for Latin America. Colombia eagerly joined the New Silk Road initiative, but there are legitimate concerns about what China might bring to the region. While China’s influence and presence in Latin America have grown, its projects are marred by incomplete, low-quality work, labor exploitation, debt traps, and severe environmental damage.
China’s Controversial Projects in Latin America
- Mexico: The high-speed train project, known as the “bala” (bullet train), awarded to China Railway Construction Corporation in 2014, remains unfinished after 11 years due to a lack of transparency.
- Mexico: The Chicoasén II hydroelectric plant, funded by the Chinese, has faced heavy criticism for alleged labor rights abuses, including 12-hour workdays, insufficient protective gear, control over unions, and non-payment of overtime.
- Brazil: China has been criticized by international organizations for practices similar to modern slavery, both domestically and abroad. These include forced labor for ethnic and religious minorities (including Christians, Muslims, and others) in the name of “reeducation” to compete with U.S. products at lower prices.
- Peru: The interoceanic railway project, a $10 billion megaproject to connect the Atlantic and Pacific coasts between Brazil and Peru, has been delayed for years with significant geopolitical, environmental, and social costs for the region.
- Nicaragua: Under Daniel Ortega’s dictatorship, Nicaragua has been ravaged by natural resources exploitation, river contamination, deforestation, indigenous community invasions, and the extinction of rich ecosystems. Chinese companies operate with impunity, uninspected by local authorities.
- Guyana: In 2021, a deteriorated drainage system was suspected of causing flooding in Matthews Ridge, Guyana. Local authorities reported that the reservoir owned by Chinese company Guyana Manganese Inc (GMI) did not modify the drainage pipes installed years ago.
China’s Investments in Africa
China promised $51 billion in investments across 50 African countries over four years, primarily targeting mineral resources like copper and lithium. This is part of its industrial and military strategy under the Plan 2049.
- Zambia: China recently caused Zambia’s worst ecological disaster by spilling 50 million liters of acids and chemical waste into the Kafue River as part of its ambitious copper mining project led by Sino-Metals Leach Zambia.
- Zimbabwe, Uganda, and South Sudan: China’s investments in the energy and mining sectors have also been detrimental to these countries.
Key Questions and Answers
- What are the concerns about China’s involvement in Latin America? Concerns include incomplete projects, labor exploitation, debt traps, and severe environmental damage.
- What specific projects have been problematic? Examples include Mexico’s unfinished high-speed train, criticized hydroelectric plant in Mexico, forced labor allegations in Brazil, delayed interoceanic railway in Peru, environmental devastation in Nicaragua, and drainage system issues in Guyana.
- What is China’s strategy in Africa? China aims to secure mineral resources, particularly critical materials like copper and lithium, as part of its industrial and military strategy under Plan 2049.
- What recent ecological disaster occurred in Zambia? China spilled 50 million liters of acids and chemical waste into the Kafue River, causing Zambia’s worst ecological disaster.
