Flooded by cheap Chinese goods, Latin America is fighting back to protect its industries

HONG KONG (AP) — China has been flooding Latin American markets with low-priced exports, particularly autos and e-commerce goods, arsenic its exporters set to U.S. President Donald Trump's tariffs and geopolitical moves.

The world’s second-largest system has go a large trading spouse for galore Latin American nations, seeking entree to their abundant earthy resources and increasing markets portion expanding its power successful a portion Trump views arsenic America’s Backyard.

Chinese businesses look dilatory request astatine home. They request caller markets for their products arsenic the state ramps up accumulation successful galore industries. Exports to Latin America, a marketplace of much than 600 cardinal people, and different regions person climbed portion exports to the U.S. fell by 20% past year.

“Latin America has a coagulated mediate class, comparatively precocious purchasing powerfulness and existent demand,” said Margaret Myers, manager of the Asia and Latin America programme astatine the Inter-American Dialogue deliberation vessel successful Washington. “Those conditions marque it 1 of the easiest places for China to offload its excess concern production.”

The influx of made-in-China cars, clothing, electronics and location furnishings has rankled countries trying to physique their ain globally competitory industries. Some, specified arsenic Mexico, Chile and Brazil, person raised tariffs oregon taken different measures to support their section industries.

Cheap e-commerce goods summation marketplace share

Cheap goods from China are invited quality for galore Latin American consumers, but they’re a headache for section businesses.

Chinese e-commerce platforms, led by Temu and Shein, person accelerated that trend.

“I usage Temu each the time, whether to bargain apparel oregon household items. The aforesaid things I would find successful brand-name stores oregon buying malls, I find connected Temu astatine a overmuch little price,” said Chilean edifice manager Lady Mogollon.

Temu averaged 114 cardinal monthly progressive users successful Latin America successful the archetypal fractional of 2025, a 165% summation year-on-year from 2024, marketplace quality institution Sensor Tower estimates. Shein’s monthly progressive users successful the portion grew 18%.

It's not conscionable online shopping.

T-shirts, jackets, pants, toys, watches and furnishings and much products made successful China capable the stalls of thoroughfare vendors successful downtown Mexico City.

Ángel Ramírez, manager of a downtown lamp shop, is struggling to compete.

“The Chinese person invaded america successful presumption of merchandise,” said Ramírez, sitting down the antagonistic of his wholly deserted store.

Over the past fewer years the fig of shops selling Chinese-made goods successful Mexico City ’s downtown has much than tripled, Ramírez said, successful immoderate cases putting long-established Mexican stores retired of business.