In a bid to counter China’s growing influence in Latin America, United States President Donald Trump is hosting a summit for regional leaders at his Mar-a-Lago estate. This high-profile event, dubbed the “Shield of the Americas” summit, comes as China has increasingly eclipsed the U.S. As a dominant trading partner in the region over the past two decades. Since taking office for a second term, Trump has sought to reverse this trend through various aggressive maneuvers aimed at China’s allies in Latin America.
The summit is set to take place on Saturday, with nearly a dozen countries represented, including conservative leaders from Argentina, Bolivia, Chile, Costa Rica, Ecuador, El Salvador, the Dominican Republic, Honduras, Panama, Paraguay, and Trinidad and Tobago. Notably absent are Mexico and Brazil, the region’s largest economies, which are currently led by left-leaning governments.
Trump’s administration has recently taken several actions to exert pressure on nations perceived as too close to China. This includes revoking U.S. Visas for officials in Costa Rica, Panama, and Chile due to their ties to Beijing, as well as threatening to reclaim control over the Panama Canal amid allegations of Chinese influence in its operations. The U.S. Recently forced Venezuela to halt oil exports to China following the military operation that resulted in the abduction of President Nicolás Maduro.
Experts suggest that although the summit may signal Washington’s intention to provide concrete offers to Latin American leaders, securing meaningful commitments will require more than just a photo opportunity. Francisco Urdinez, an expert on regional relations with China at Chile’s Pontifical Catholic University, emphasized the demand for significant economic incentives to accompany political alignment. “What they’re really hoping is that Washington backs up the political alignment with tangible economic benefits,” he stated.
Reinforcing the Monroe Doctrine
The Trump administration framed the summit as a “historic meeting reinforcing the Monroe Doctrine,” a policy aimed at establishing U.S. Dominance in the Western Hemisphere. This strategy involves assembling a coalition of ideological allies to counteract Chinese influence, which has grow pronounced in a region increasingly reliant on its economy.
Gimena Sanchez, the Andes director at the Washington Office on Latin America (WOLA), noted the challenge of persuading countries to reduce their economic ties with China. “The U.S. Is trying to get countries to agree that they’re not going to have China as one of their primary trading partners, and they really can’t at this point,” she said. “For most countries, China is either their top, second, or third trading partner.” According to estimates, bilateral trade between China and Latin America reached $518 billion in 2024.
Despite China’s strong economic presence, the U.S. Remains the biggest outside trade force in Latin America and the Caribbean, largely due to its close relationship with Mexico. In 2024, U.S. Imports from Latin America surged to $661 billion, while exports were valued at $517 billion. Many countries in the region are attempting to strike a balance between the two powers.
The Stakes of Economic Engagement
For the U.S. To effectively negotiate with these nations, it cannot arrive empty-handed. Sanchez emphasized, “If the U.S. Is very boldly telling countries to cut off strengthening ties with China, the U.S. Is going to have to offer them something.” Recent economic lifelines extended by Trump include a $20 billion currency swap with Argentina, aimed at stabilizing the peso, and increased import allowances for Argentinian beef, despite pushback from U.S. Cattle farmers.
These incentives, although, are often tied to supporting political movements aligned with Trump’s administration. In Argentina, for example, the $20 billion swap coincided with a critical election for President Javier Milei’s right-wing party, which Trump supports.
In terms of regional security, the U.S. Has expressed concerns over China’s control of strategic infrastructure and critical minerals in Latin America, especially as Bolivia, Argentina, and Chile are believed to hold the largest lithium deposits in the world. This resource is essential for energy storage and rechargeable batteries, making it a strategic asset in global supply chains.
The Trump administration’s national security strategy has highlighted these risks, stating that reversing foreign influence in the region will be difficult, particularly due to existing political alignments with China. The document points out that many Latin American governments are not ideologically aligned with foreign powers but are drawn to business opportunities for reasons like lower costs and fewer regulatory hurdles.
What Comes Next?
As Trump prepares for his upcoming meeting with Chinese President Xi Jinping in early April, the summit is seen as a way to potentially bolster U.S. Leverage in negotiations with Beijing. Observers like Henrietta Levin from the Center for Strategic and International Studies have indicated that many Latin American countries would prefer deeper economic ties with the U.S. Over China, but they often lack viable alternatives.
Ecuador’s recent decision to sign a free trade agreement with China after unsuccessful negotiations with the U.S. Underscores the urgency of the situation. Critics argue that the U.S. Needs to offer competitive alternatives to maintain influence in the region. “Until Washington is willing to fill the economic space it’s asking countries to vacate, the rollback strategy will remain more aspiration than reality,” Urdinez cautioned.
As the summit unfolds, many will be watching to witness if the U.S. Can provide the necessary economic incentives to strengthen ties with Latin American nations and effectively counter China’s growing presence.
We invite readers to share their thoughts in the comments below and stay tuned for further updates on this developing story.
