Dependence of Latin American Countries Toward the Asian-China Giant

In a globalized and dynamic world, understanding the factors that determine bilateral trade is crucial for Latin American economies, especially in relation to emerging trading powers like China. This study therefore aims to analyze the dependence of Latin American countries on China, considering the bilateral real exchange rate, exports, and imports. A regression analysis will be performed within the methodology, using data processing to present a reflection of the comparative rates of dependence that each Latin American nation has on China. The corresponding dependence ratios will then be evaluated through the notion of the bilateral real exchange rate. Ultimately, the findings from this analysis will be used to highlight the growing significance of China–Latin American relations for the region—particularly concerning trade and economic development, with an emphasis on the complexity of the factors that are currently influencing trade relations and the relative exchange rates across the region.