Chinese Investment and Public Opinion in Peru and Argentina

• In Event: International Responses to China’s Global Presence

Abstract

Although China has established a significant presence in Latin America, we know relatively little about how Latin Americans perceive China and how Latin Americans’ experiences with Chinese firms over the past two decades have shaped their views. Have Chinese efforts at cultivating “soft power” worked? Are different types of Chinese investment associated with distinct perceptions of China? Using the Latin American Public Opinion Project (LAPOP) survey coupled with data on Chinese investments from the China Global Investment Tracker (American Enterprise Institute), I examine public opinion of China in Peru and Argentina over five waves of the LAPOP survey, starting in 2012 and culminating in 2021. Preliminary findings suggest that, although extractive industries may dampen enthusiasm for Chinese investment, China still has an opportunity to shape public opinion in Latin America.

While Peru and Argentina both receive large amounts of Chinese investment, Chinese investment in Peru is concentrated in mining, while Chinese investment in Argentina is distributed across agriculture, oil and gas, renewable energy, and also mining. With these data, I examine respondents’ levels of trust in the Chinese and US governments over time, as trust in China appears to be rising while trust in the US is falling. Then, I examine whether respondents who live in regions with Chinese investment projects are more or less likely to hold favorable views of China and whether the type of investment project is associated with opinions of China. I complement the statistical analysis with case studies of firm behavior in each country using both Chinese and Latin American sources. In Peru, Chinese mining firms have had difficulty cultivating good relationships with local communities, while Chinese firms working in renewable energy in Argentina have had greater success in building relationships with key stakeholders to support their projects. This research suggests that, despite conflicts over extractive industries, China has the potential to cultivate stronger ties in Latin America and continue to foster greater political influence in the region.

Author

• Kerry Ratigan, Amherst College