The EU and Latin America: A 24-month Forecast

The relations between the European Union (EU) and Latin America and the Caribbean (LAC) are characterized by political, economic, and cultural ties. The EU is one of the major trading partners and investors in the region, while Latin America is an important destination for European exports and investment. However, these relations have cooled in recent years for a variety of reasons. China’s growing influence in the region, as well as the need for new energy sources, has prompted the EU to re-energise its relations with Latin America.

Key judgement 1. It is highly likely that in the next 24 months, the EU will try to counter China’s influence in the region, establishing trade agreements and with an increase in investments.

Key judgement 2. The EU will likely seek to join forces with Latin America on issues such as green transition, digital transformation, and human rights next 24 months

Key judgement 3. Due to its close historical and cultural ties, Spain is poised to act as a link between the EU and LATAM in the coming years.

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