Abstract

We review in this paper the expansion of economic relations between China and Latin America Countries (LAC) in the last decade. The large process of Chinese urbanization was the main driver for LAC commodity exports and China became the largest market for export and large supplier of manufactures for many LAC and its contribution for investment and credit has enlarged as well. In this process of restructuring of international division of labor we considered two different effects, a “demand effect” and a “structure effect” and investigated how complementarity and competitive pressures affected trade within region and in LAC according to their different patterns and productive structure. 

JEL Classification: O1; O5; F1; F4; F6.