Though China forged a new economic relationship with Venezuela under Hugo Chávez and Nicolás Maduro, the PRC’s continued presence is almost guaranteed through the need for Venezuelan oil.

President Xi Jinping’s presence at the recent G-20 Summit in Buenos Aires, Argentina reaffirmed that China is leading the way in nurturing bilateral trade and investment deals in Latin America.

The US should stop worrying about China’s intentions in Latin America.

What is China’s plan for Latin America?

American markets dominate the Mexican economy and will continue to do so for many decades, but the combination of China’s growing presence in Mexico and the election of a leftist firebrand to the Mexican presidency could further strain U.S. relationships with both of these countries.

The United States did not push Latin America and the Caribbean into China’s arms, but by pulling back, it created space for others to fill. Now, it appears that the United States seeks a course correction.

China’s most recent strides in Latin America are due in large part to a series of carefully crafted policies that advance China’s own interests while addressing Latin America’s top development priorities. The U.S. risks losing influence, competitiveness, and control in Latin America.

Is the Monroe Doctrine back?

During China’s President Xi Jinping most recent visit to the Latin American, he announced a renewed commitment to trade and investment throughout the Americas; by some accounts an estimated $250 billion in the next ten years. A project such as the proposed Nicaragua canal has raised critical questions about Chinese investments in Latin America.

The United States, China, and other nations are now faced with the decision as whether they will work together to put Venezuela on a more sustainable political and economic course. At some point soon, Beijing will have to determine whether China stands a better chance of realizing its fundamental interests by supporting Maduro or by working with the international community to press for change.