What's driving Chinese foreign direct investment in Latin America?
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[ACCESS RESTRICTED TO THE UNIVERSITY OF MISSOURI AT AUTHOR'S REQUEST.] China and Chinese investment firms have only recently become major players in Latin America, while ten to fifteen years ago Latin American countries did not pay much attention to China as a source of foreign direct investment (FDI). However, over the last decade, China has increased their presence economically, politically, militarily, culturally, and diplomatically in Latin America. China has increased its role in the region through substantial amounts of FDI, and "it seems [that] each week a new blockbuster investment deal is announced." The Interoceanic Canal in Nicaragua represents one of these "blockbuster" deals. Through the use of two extensive literature reviews and one chapter that focuses on the Nicaraguan Interoceanic Canal as an illustration of my hypotheses, this thesis demonstrates that China and Chinese state owned enterprises (SOEs) and multinational corporations (MNCs) invest differently in Latin America than do their U.S. and OECD counterparts. They have been increasing their infrastructure investments related to shipping and transportation in the region because their concern is not for short-term investment returns, but for a long-term foothold in Latin America that will secure their rights to the shipping industry in Latin America, give them more control over global maritime trade, and make the transportation of goods to and from China much cheaper.